HRIS & Payroll Excellence December 2022

On the Cover

10 HR Leaders Share How They Will Improve Payroll In 2023 Best practices for future - Brett Farmiloe, Founder / CEO and CHRO, Terkel.io

Articles

11 What Can Be Done to Reprice Underwater Stock Options?

Companies can consider multiple ways to reinvigorate these unique incentive options

- Stephen Rickles, Partner, Spencer Fane LLP

16 Ways Blockchain Technology Will Change Corporate Leadership

Achieving blockchain transformation and realizing its goals requires many factors

- Mostafa Sayyadi, Management Consultant, & Michael J. Provitera, Management Consultant and Associate Professor

22 Hiring Seasonal Workers: Rules And Regulations HR Must Be Aware Of

Establishing right policies to avoid workplace disruptions - Ramsey Aburaneh, Head, Digital Growth, BrightHR

30 People Analytics Trends: What To Expect In 2023

How and where to maximize talent ROI in the new year

- Anil Dharni, Co-founder and CEO, Sense

Improving HR Using Automation

Automation saves businesses time and money

- Jason Duprat, Founder, Healthcare Entrepreneur Academy

Earned Wage Access: Aiding Unbanked And Underbanked Employees

Most Americans have little money left over at the end of the month

- Robert Moore, Director, Workforce Management Solutions, Time Equipment Company

On-Demand Pay: Easing Employees’ Monetary Stress And Improving Financial Wellness

How people are paid have not kept up with the time

- Brian Brinkley, CEO, QRails

FAMLI: The Ins And Outs

Offering employees with greater access and more flexibility in terms of leave policies

- Cinda Daggett, Director, Human Resources, Full Velocity Consulting

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Editorial Purpose

What to Consider When Designing Payroll Policies for 2023

It is time to bid adieu to yet another challenging year.

In 2022, we saw how companies made changes to their workplace policies around remote and hybrid work, how tech giants like Google, Meta, Microsoft and Apple are investing in Metaverse, and how an increasing number of companies are utilizing data and analytics to drive employee engagement, well-being, retention, DEI, talent acquisition, etc.

This year also witnessed mass layoffs, mass quitting, and an acute shortage of talent like never before. We also witnessed how inflation and people’s changing priorities predominantly dominated the discussions around work and workplace.

The challenges aren’t over yet.

As the world is preparing for yet another onslaught of the pandemic, and with an imminent economic recession looming large over our heads, there is a lot that human resources managers need to be prepared for in 2023.

How do you plan to change your payroll policies to cater to your business’s changing requirements? What are the new workplace laws and policies that HR should be aware of?

What is earned wage access and why is it relevant today?

Learn these and more in the December edition of HRIS & Payroll Excellence as we line up a few handpicked articles from HRIS and payroll experts.

From leveraging artificial intelligence to implementing more cloud-based software, Terkel.io’s Brett Farmiloe shares how some of the top HR leaders are going to improve payroll in 2023

In Improving HR Using Automation, Healthcare Entrepreneur Academy’s Jason Duprat will tell us how in the age of The Great Resignation, savvy utilization of automation can help HR with employee retention.

Also, read Time Equipment Company Robert Moore’s Earned Wage Access: Aiding Unbanked And Underbanked Employees to understand the nuances of EWA.

That is not all! We have featured several other articles this month, and hope this edition of HRIS & Payroll will help you achieve excellence in your core HR and payroll processes.

Happy New Year!

Disclaimer: The views, information, or opinions expressed in the Excellence ePublications are solely those of the authors and do not necessarily represent those of HR.com and its employees. Under no circumstances shall HR.com or its partners or affiliates be responsible or liable for any indirect or incidental damages arising out of these opinions and content.

Deepa Damodaran Editor, HRIS & Payroll Excellence

Debbie Mcgrath Publisher, HR.com

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Excellence publications are my ‘go-to’ resource for contemporary and actionable information to improve leadership, engagement, results, and retention. Each edition offers rich and diverse perspectives for improving the employee experience and the workplace in general.

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I regularly read and contribute to Leadership Excellence and Talent Management Excellence. I use many of the articles I read to augment my own presentations and I often share the articles with my clients. They are always quick, right on target for the latest issues in my field, and appreciated by my clients. If you want to stay up to date on the latest HR trends, choose a few of the different issues from the Excellence series of publications.

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10 HR Leaders Share How They Will Improve Payroll In 2023

Best practices for future

By Brett Farmiloe, Terkel.io

From leveraging artificial intelligence to implementing more cloud-based software, here are 10 answers to the questions, “How will you tackle payroll in 2023, and what will you do differently to improve from the previous year?”

● Leverage Artificial Intelligence

● Promote Payment Flexibility and On-Demand Pay

● Develop Better Position and Salary Policies

● Offer a Self-Service Approach to Payroll

● Encourage Interaction to Create a Positive Environment

● Fully Automate Our System

● Conduct Audits to Ensure Tax Withholdings

Are Accurate

● Lean into Outsourcing

● Create an Open, Technology-based Payroll System

● Implement More Cloud-based Software

Leverage Artificial Intelligence

In 2023, we are expecting to use artificial intelligence to transform how payroll is processed. AI will take our payroll from a purely transactional process to one with a significant analytical and decision-support focus.

The insights we glean from AI will inform our labor management decisions in many areas, such as scheduling, time approval, and compliance. Additionally, machine learning algorithms will automate routine payroll tasks, freeing up our payroll team to work on more strategic projects.

Many organizations are already using AI in limited areas, such as process automation, but we set the stage for AI to revolutionize payroll.

David Aylor, CEO & Lawyer, David Aylor Law Offices

Promote Payment Flexibility and On-Demand Pay

As inflation makes it harder for consumers to manage a budget, we want to relieve some financial pressure on our employees by giving them more convenient payment options. While we will still offer employees direct deposit and standard checks, we are looking into systems that allow employees to fully manage their own payments.

If they prefer to receive crypto, we want to make space for that. And on-demand payment systems can help reduce the financial burdens on employees waiting 2 weeks for their next paycheck that need the money now.

Employees should have access to the money they earned with fewer delays, so we are working towards that.

Ruben Gamez, Founder & CEO, SignWell

Offer a Self-Service Approach to Payroll

We are moving our payroll management to the cloud for mobile access to help our team record and manage hours worked from anywhere.

These self-service options also allow employees to submit timekeeping corrections for management review, trade shifts, and view performance history. Wherever we can automate the process to put more data in the hands of our employees, we are working toward it.

We want to make as much of their information accessible to them as possible, so we can offer the transparency they demand without burdening our payroll team with these time-consuming tasks.

Brian Dechesare, CEO, Breaking Into Wall Street

Develop Better Position and Salary Policies

To calculate the payroll more quickly, companies need to define internal rules and standards that will guide the management of their employees. The job and salary structure is the set of internal controls that guide the management of people within a company. It determines the position of each professional in the workforce.

These rules will ensure that we make the payment of salaries according to positions, benefits, and other variables that make up the employee’s final remuneration. Through this control, you will know how many employees are in each position. This facilitates the calculation of expenses because it is possible to group similar profiles.

Ricardo von Groll, Manager, Talentify

Fully Automate Our System

As embarrassing as it is to admit, I have dragged my feet on some recent technological leaps. As a small business owner, it is easy to feel like taking any time to reevaluate a working system is a waste.

But the truth is, a few hours of adaptation can fix an inefficient system. So in 2023, I am finally going to fully automate my payroll process. Right now, it is a hodgepodge of unintegrated systems, some manual, some automated, and there are a few glaring blind spots.

For instance, when workers need to update their banking information, we are still using a handwritten form! A simple command in QuickBooks will allow workers to change their own personal information. Minor tasks like that add up to a lot of time wasted, and that is a priority to fix in 2023.

Linn Atiyeh, CEO, Bemana

Encourage Interaction to Create a Positive Environment

In 2023, I am excited to see what new things can be done to improve our payroll process. As an HR leader, I will continue to look for ways to make sure every employee knows that their time is valued and appreciated.

By focusing on being friendly and positive about the work we do, I believe we can create a more positive working environment for employees. A great way to do this is by encouraging interaction between departments and employees at all levels of the company. This will help us build relationships with each other and create a better understanding of what challenges face each department.

I have seen many improvements in the past year from our previous system; however, there are still some areas that need improvement. I plan on implementing additional training programs throughout the year that will focus on these areas so that we can continue making improvements.

Andrew Griffith, Owner, Garden Furniture

Lean into Outsourcing

As our team continues to grow, we are relying on our payroll system to deliver more than ever before. We need it to support tax filing in multiple states, pay different employee classes on different cycles, and we need it to increase employee self-service.

This has become a full-time job for some of our management team, and we have decided that in 2023, it will be a better use of resources to outsource payroll processing either via a PEO or by hiring a bookkeeper or HR-managed services firm.

Brett Ungashick, CEO & CHRO, OutSail

Conduct Audits to Ensure Tax Withholdings

Are Accurate

Over the past couple of years, as remote work has become more prevalent, several of our employees have moved out of state. While this may seem trivial, from an HR perspective, it is not.

Ultimately, it is the employer’s responsibility to keep accurate records and properly calculate taxes as they vary from state to state. Unfortunately, as some of our employees have moved, our HR team did not update our system in a timely fashion, which has created a nightmare to reconcile payroll taxes.

As such, in 2023, our team is implementing quarterly audits of our employee database to ensure we are accurate and compliant with all federal and state deadlines, wages, and tax withholdings.

Alaina

Ross, Co-Founder & HR Director, Sleep Family

Create an Open, Technology-based Payroll System

2022 was a year of awakening for many industries. We have, as a world of industries, made a dramatic shift in workplace standards. Remote and hybrid work allows companies to take a more technological approach in the company, and we intend to do the same.

While our company is an online database, we want to improve our efforts behind the scenes. This includes restructuring our payroll system. Instead of employees being allowed to only view their pay stubs or W-2, we want to implement a system where employees can create a profile and become more involved with their benefits and compensation.

We have yet to choose a specific payroll system, but we are leaning toward an interactive one that provides us database that aligns with our goals of providing our employees with customizable profiles, communication with human resources, benefit outlines, and IT management capabilities for those on my technology team.

Ana Codallo, CTO, Key Opinion Leaders

Implement More Cloud-based Software

Cloud-based software is quickly becoming the norm for payroll. Companies are transitioning from traditional on-premise systems (which are more costly and require a lot of manual effort to manage) to cloud-based solutions, which offer 24/7 access, improved scalability, and cost savings.

The benefits of cloud-based payroll systems extend beyond just cost considerations. Cloud-based systems can provide real-time data about employee hours worked, wage rates, overtime payments, vacation entitlements, and other payment schedules. We can also easily integrate them with existing HR systems, allowing for customizable reporting capabilities.

As we move into 2023, we will invest further in cloud-based payroll systems, enabling us to streamline processes, improve accuracy and efficiency, reduce operational costs, and remain compliant with labor laws.

Karl Robinson, CEO, Logicata

Brett Farmiloe is the Founder and CEO – and currently CHRO - of Terkel.io . Brett is an SHRM Influencer and has also been a keynote speaker at several state SHRM conferences around the topic of employee engagement.”

What Can Be Done to Reprice Underwater Stock Options?

Companies can consider multiple ways to reinvigorate these unique incentive options

By Stephen Rickles, Spencer Fane LLP

When the value of a company’s equity has declined since the issuance of stock options, causing the options to be considered underwater and the options no longer provide the intended incentive, companies often consider repricing the options.

This may be accomplished by amending the option agreements to reset the exercise price (but not below current fair market value), or by canceling the existing options and issuing new options. The repricing may be applied to all outstanding underwater options or may be limited to specific individuals or groups of employees.

Unless required by the term of the company’s stock option plan, reducing the strike price of the options would not require the consent of the optionee, nor would it be necessary for a privately held company to obtain shareholder approval of the repricing. Different shareholder approval rules apply to public companies.

Additional terms and conditions might be included in the amended or replacement options with the agreement of the affected employees. For example, a company may use the repricing of a stock option as an opportunity to add or modify the vesting schedule reflected in the original option.

Changes requiring the consent of the optionee may raise securities law considerations that are beyond the scope of this article. The new or amended options may retain the expiration date of the original option, or set a new expiration date (e.g., 10 years from the date of the repricing; five years in the case of greater than 10% shareholders).

While the repricing of a nonqualified option may be treated as an amendment of the original option, the rules are different for Incentive Stock Options (ISOs). The modification of an ISO that benefits the optionee is treated as the grant of a new option. A repricing is considered to be such a modification. The date of grant of the option affects a number of provisions applicable to ISO’s.

For example, one prerequisite for the beneficial tax treatment applicable to ISO’s is that the option shares be held for at least two years from the date of grant. If an ISO is repriced, this two-year holding period starts anew.

An optionee may wish to decline an offered change, for various reasons. No modification is deemed to have occurred solely because a company offers to change the terms of the option if the optionee does not accept the change, unless the offer remains outstanding for 30 days or more. An inadvertent modification may be reversed before exercise of the option or, if earlier, before the last day of the calendar year.

The repricing of an ISO also may have other unintended consequences. For instance, in order to qualify for ISO tax treatment, the maximum fair market value (determined as of the date of grant) of options that first become exercisable in any calendar year is limited to $100,000. Repricing an ISO may cause this limit to be exceeded. In recalculating this limit, both the old and new options are counted in the year of repricing.

Although repricing options can trigger many complicated technical considerations, repricing may be an effective means of reinvigorating the incentive provided by options that are now underwater.

Steve Rickles is a Partner at Spencer Fane LLP in the law firm’s Denver office. His practice focuses on employee benefits, estate planning, and business and tax-exempt organizations areas.

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Improving HR Using Automation

Automation saves businesses time and money

By Jason Duprat, Healthcare Entrepreneur Academy

Most

businesses are kept running with some laborious and tedious tasks that, in decades past, were undertaken by human personnel. With technological advancements, those tasks that would have bogged down departments like HR are being handled more often by automation. Automation has revolutionized most industries, and every passing year seems to bring more incredible innovations that take us further down the automation path.

Automation saves businesses time, money, and helps improve the quality of their customer service. In the age of The Great Resignation, savvy utilization of automation can even help with employee retention.

Improved Service with Automation

Much can be improved by implementing automation within a business, though customer service support may be the most crucial factor. Automation of customer service support can effectively eliminate human

error. When customers or clients can receive answers to their questions via intuitive auto-response or chatbot customer service options, this not only improves the customer experience, it frees up human personnel to handle more complicated customer matters.

Some automation options that can improve experiences — such as renewal reminders, subscription sign-ups, or onboarding for new employees — include automated emails and sign-ups that bring people into sales or hiring funnels, auto reminders, and auto follow-ups.

According to studies, people have higher expectations for customer service experiences than ever before. They expect that their issues will be handled quickly, that companies will be proactive with outreach, and that support will be available 24/7. The only way many businesses can meet or exceed those expectations is by automating some of the more involved administrative tasks.

The same holds true for teams that deal with employee needs. By automating tasks, such as time off requests or pre-interview assessments, HR professionals can concentrate personally on employee or potential employee needs.

Making Room for Creativity

Entrepreneurs are known for their innovative ideas and creative approaches to building businesses, but are not often known for loving administrative tasks, busy work, or tedious to-do lists. In today’s world, the fact that many of those tasks can be automated frees up time for entrepreneurs and business leaders to tackle the creative side of owning a business.

Overall, automation is reliable and accurate. While business owners may want to have their hands in every area of their business, they cannot be connected to every area of their businesses one hundred percent. Automation can allow leaders a measure of balance.

HR-specific Automation

HR departments can very specifically benefit from automation. Human resources are essential, and they have many tasks that they are responsible for within an organization day-to-day. Many HR department heads are learning to adapt to burgeoning automation and how it may help them serve their companies in the best way possible. Instead of fearing being replaced by AI technology, modern HR professionals are learning how their jobs are changing and pivoting with the evolving technology.

With automation tackling some of the more standard administrative tasks associated with HR departments, HR professionals can better focus on complex

decision-making and strategizing in their areas of specialization. Automation in HR departments can be cost-effective. Companies can save thousands every year by automating tasks like payroll or general communication needs. HR departments also deal with highly-sensitive personnel information, and automated security measures can help protect that information, building trust between a company and its employees.

While automation may sound like something from the far-off future, it is already here and being utilized by businesses to tighten processes, improve sales or hiring funnels, and save time and money. Most, if not all, departments within an organization can benefit from

some measure of automation. By taking advantage of everything automation offers, leaders can return to the crux of what is essential in business — the people.

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Jason Duprat is the Founder of Healthcare Entrepreneur Academy

Ways Blockchain Technology Will Change Corporate Leadership

Achieving blockchain transformation and realizing its goals requires many factors

By Mostafa Sayyadi and Michael J. Provitera, BusinessExpertPress

The advent of digital transformation is an important paradigm that changed the world. In search of different definitions of digital transformation, perhaps the best definition can be suggested that includes all dimensions of digital transformation, and that is:

Digital transformation has changed the world of business and has become data-driven using emerging technologies encoded by the world wide web.

The Internet has led to a dramatic reduction in communication costs, it has also become a suitable platform for transforming intuition-based decisions into data-driven. This breakthrough greatly reduces errors and has become the foundation of the future of blockchain thinking. Blockchain is defined as:

A system in which a record of transactions made in bitcoin, or another cryptocurrency is maintained across several computers that are linked in a peer-to-peer network.

Moving towards the future, blockchain, which first appeared in Bitcoin transactions, is based on a virtual currency system that facilitates financial transactions between two parties, peer-to-peer, without any intermediaries such as lawyers and Bankers. This currency and data driven technology has made it possible for quick easy access to a host of expediter information.

The bureaucratic systems change may lead to a drastic reduction of organizational costs. By using blockchain, transactions are done in just a few seconds instead of a week, and many ledgers are replicated

in databases, and each party to the transaction can easily access them, and the error rate is almost zero. There is no mediation between the transactions, and any changes in the ledger are made simultaneously in all its versions that are available to the transaction parties. In addition, the risk of hacker penetration is greatly reduced, and countless exchanges that have had millions of dollars stolen from them as a result of hacker penetration have no place in these transactions.

The Future

Achieving blockchain transformation and realizing its goals requires many factors. Blockchain will cause huge changes in the current form of business models in the not-toodistant future. And with these big changes, many opportunities will be provided to organizations to interact more effectively with their ecosystem.

Our first suggestion is that the development of human skill technology infrastructure becomes an integral part of the strategic plans of organizations. Also, we recommend that organizations design more flexible structures to accept future changes and new innovations. Blockchain, like digital transformation, begins with change. And this change should not only be done in people’s vision to accept innovations, but should be accompanied by the development of more flexible structures. To develop more flexible structures, our suggestion is that all organizational processes be digitalized under the leadership of Chief Financial Officers who will be using emerging technologies such as artificial intelligence.

Our next suggestion is to use external blockchain consultants in organizations. It is a fatal misconception to think that this change will happen in the future and we will only go along with it as it spreads. What we are seeing today is the development of private blockchains around the world, especially in the US and Canada. This wind of change will soon reach Europe, Asia, and even Africa and will bring great change.

Also, it is recommended that external blockchain consultants coordinate extensively with the customer service management department. Entering this new age requires changing the behavior of customers. And this change depends on the development of an effective plan by these consultants and in

full coordination with different departments of the organization, especially the customer relationship management department. Customers must feel safe and secure in the new digital divide.

Along with the big changes at the social and economic levels and the adoption of new standards by governments, our next suggestion for many managers is to launch a trial blockchain among the units in their organizations. In fact, with the help of external blockchain consultants to launch this trial blockchain, there will be maximum preparation for a more effective response to external changes. This solution will greatly reduce operational risk for future changes and increase the probability of the organization’s survival against rapid changes.

We also suggest that maximum cooperation be established between the legal, information technology and human resources departments in the organization.

This recommendation is based on the argument that with technological changes and the development of human capabilities, the legal

departments of the organization should prepare themselves for the development of new ways of setting up contracts that are smart and lack traditional intermediaries such as lawyers and bankers.

In Conclusion

Considering the new horizons ahead and the big changes that will happen in the future, blockchain will affect business and managers should effectively pay attention to the development of various infrastructures that are needed to better coordinate with this great transformation. Building a platform for blockchain development is the secret to an organization’s survival and organizations that refuse to accept this change may not survive. Developing an effective strategic plan and empowering organizations to prepare for this great transformation of the future will pay dividends for centuries.

Michael J. Provitera is an internationally-recognized management consultant, an associate professor of organizational behavior, and an author of the book titled “Mastering Self-Motivation” published by BusinessExpertPress. He earned his MBA in finance from St. John’s University in Jamaica, Queens,New York. He obtained his DBA from Nova Southeastern University.

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Mostafa Sayyadi Ghasabeh works with senior business leaders to effectively develop innovation in companies, and helps companies—from start-ups to the Fortune 100—succeed by improving the effectiveness of their leaders. He is a business book author and a long-time contributor to business publications and his work has been featured in top-flight business publications.

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Earned Wage Access: Aiding Unbanked And Underbanked Employees

Most Americans have little money left over at the end of the month

By Robert Moore, Time Equipment Company

Easier access to wages is a hot button for many employees. One reason for this need is the number of unbanked and underbanked individuals in the U.S. The FDIC reports that approximately 7.1 million U.S. households are unbanked, meaning no one in the household has a checking or savings account at a bank or credit union. This issue became vital as federal stimulus checks attempted to get into these individuals’ hands.

In addition, ‘underbanked households’ have just as big a challenge, with nearly 20% of U.S. households falling in this category. Underbanked households have at least one person with an account at a federally insured institution. However, they also regularly use alternative financial services and products, like payday lenders or check cashing services.

Unbanked/underbanked rates are higher among Black, Hispanic, American Indian, Alaska Native, and working-age disabled households at nearly three times the national average.

The number one reason cited for people being unbanked/underbanked is that they do not have enough money to meet minimum balance requirements (48.9%). Traditional banks then charge

these accounts for not maintaining a minimum balance. As a result, most of these individuals carry minimal average daily balances in their accounts while living paycheck to paycheck.

A June 2021 research study states that over 125 million U.S. adults live paycheck to paycheck. In addition, 70% of Millennials (currently ages 25 to 42) currently, live paycheck to paycheck. This segment is the largest share of any generation. Thirty-three percent of Millennials struggle to pay their bills on time.

Most Americans, even those with higher wages, have little money left over at the end of the month. In addition, the pandemic compounded some of the complexities of balancing finances.These circumstances suggest that the need for more immediate access to wages will grow as new challenges and opportunities emerge in the months and years ahead. Moreover, such tools may be vital in helping consumers cover the expenses that can arise as part of daily life.

with this service. The advantage is that there is no additional workload on payroll, and employees get immediate access to a portion of their earned wages. Some EWA providers charge a nominal fee to the employee, employer, or both to access these funds compared to payday lenders.

However, EWA providers use the merchant service fee associated with the debit card provided to cover this expense. Most people are familiar with getting “1.5% cash back” on purchases with a debit card. Rather than the consumer getting the funds, they are used to offset the cost of EWA fees. In reality, the merchant pays the EWA fee, so there is no cost to the employee or employer.

The need for low or no-fee access to earned wages is significant to the unbanked/underbanked employee. They no longer need to use costly payday lenders or check-cashing services. Ultimately, this improves employees’ financial well-being, increases retention, lowers costs, and helps with diversity and inclusion initiatives.

Payroll departments are looking for ways to help with these issues while keeping costs at a minimum. In a recent poll of payroll professionals, 25% stated that on-demand pay is necessary for improving the employee experience. In addition, they believe earned wage access is a differentiating benefit for employers in the future.

Modern earned wage access (EWA) services offer easy access to a federally insured bank account with a debit card at no cost to the employee or employer. Workers submit their requests via mobile app at the end of their shift when funds are needed, and available wages are transferred onto this debit card. Depending on the EWA provider, these funds are immediately available to the employee. This action can be done because these EWA services are integrated with the company’s time and attendance system. Because workers set up their direct deposit to this new account, when payroll is deposited, the system automatically collects any wage advances.

Many companies protect their employees by only offering a portion of their total wages to be available

Robert Moore is the Director of Training for Time Equipment Company’s workforce management solutions. He provides a unique educational perspective with a Bachelor in Drama, MBA, and SHRM-CP Certification. In addition, his decades of experience and exposure to various business types offer a holistic understanding of the complex workforce. Robert’s presentations on “Becoming an Employer of Choice” and “Understanding the New Generations” make him a sought-after speaker around the country.

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The need for low or no-fee access to earned wages is significant to the unbanked/underbanked employee

Hiring Seasonal Workers: Rules And Regulations HR Must Be Aware Of

By Ramsey Aburaneh, BrightHR

Many businesses hire seasonal staff during holiday season. At this time of year, busy industries, such as retailers, restaurants, and event companies often see a spike in customers, requiring more assistance to accommodate high demand.

Although seasonal staff members are hired typically for six months or less, this type of employment poses many questions. For example, do seasonal staff have the same rights as full-time employees? Do you need an employment contact?

It’s crucial for employers to have a plan in place to not only ensure they hire well-skilled seasonal workers, but also have the right policies in place to avoid any workplace disruptions. Following are some valuable information for every employer who is hiring seasonal workers.

Workplace Rights

Seasonal workers are protected under the Employment Standards Act and have the same rights as full-time staff. This includes minimum wage, overtime, vacation pay, and hours of work. Seasonal workers are also covered under health and safety, human rights, and worker’s compensation legislation.

Employment Contract

Employers tend to overlook the fact that seasonal workers need an employment contract, even though the employee will only be working for a short period of time. It is important to note that contracts benefit both the employee and employer as it paints a clear picture of what is expected, which helps to avoid any confusion.

Additionally, seasonal employment contracts containing a valid termination clause can be useful for employers in limiting the employees’ entitlements upon termination.

Recruiting Rules and Policies

Begin your recruitment process in advance to not only fill spots, but to also find the right candidates. Job descriptions need to clearly outline the job requirements and work schedule. This includes being upfront about physical requirements and working later hours.

Employee Retention

The busy holiday season can take a toll on staff and become overwhelming, but there are a few things employers can do to keep staff feeling satisfied and motivated. Employers can offer end-of-season bonuses, and provide benefits as well as perks.

Workforce Management

Using smart HR technology, employers can help properly manage staff all from the click of a button. The shifts and schedule feature lets you make schedule changes, edit shifts, and accept/ decline shifts.

Not only does it instantly notify the respective manager and team to ensure a solution can be worked on immediately, but it also clears up any confusion and reduces no-shows due to last-minute schedule changes. This works to improve transparency and keep everyone up to date when it comes to last-minute changes.

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Ramsey Aburaneh is the Head of Digital Growth at BrightHR

Hiring Seasonal Workers: Rules And Regulations HR Must Be Aware Of

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On-Demand Pay: Easing Employees’ Monetary Stress And Improving Financial Wellness

How people are paid have not kept up with the time

By Brian Brinkley, QRails

American employees of all income levels are facing financial stress. A recent Gallup poll found respondents’ top concerns are paying their monthly bills, maintaining their standard of living and doling out earnings for mortgage or rent.

Their financial worries are understandable, with inflation at 8.6%, a 40-year high, and nationwide gasoline prices hovering around $5 per gallon. Plus, short-term interest rates tripled their usual amount, hiked by 0.75%, which is the most the Fed has raised them in 28 years.

These concerns trickle down into the workplace –employees in financial duress are not as productive or engaged as they could be. As such, human resource leaders should be on the hunt for innovative programs and solutions to help ease workers’ worries and support their financial journeys in productive ways.

This could include financial wellness programs that provide savings and spending planning advice. It could also incorporate a modern payment solution enabling employees access to their earned wages before a traditional payday.

In today’s on-demand society, the manner and frequency in which people are paid have not kept up with the times. This is something HR should strongly consider exploring and updating, as upgrading to a more flexible payroll process not only helps employees’ financial health but helps employers attract and retain the best talent.

On-Demand Pay Benefits All Income Levels

Consider the financial struggles of many Americans:

● While the number of U.S. households that have access to a bank account has steadily

Wellness

risen in the last decade, approximately 5.4% of American households remain unbanked, according to the Federal Deposit Insurance Corporation’s (FDIC’s) How America Banks: Household Use of Banking and Financial Services report. Further, while wages are rising across the United States, 61% of Americans live paycheck to paycheck.

● Financial challenges are not just impacting lower-income earners. The February 2022 New Reality Check: The Paycheck-to-Paycheck Report found 42% of consumers earning more than $100,000 annually lived paycheck to paycheck in December 2021, an increase from 39% in May 2021. They are not only challenged to pay monthly bills but would have trouble covering an emergency expense of $400.

● PwC’s “Employee Financial Wellness Survey” found 63% of employees saying their financial stress has increased since the beginning of the pandemic. Among those with money-related anxiety, nearly half (49%) said their mental health has been adversely affected, including 41% citing on-the-job productivity challenges, along with declining engagement and attendance. Further, 42% of this group is twice as likely to be looking for a new job.

On-Demand Pay: Easing Employees’ Monetary Stress And Improving Financial

Therefore, helping employees work toward financial wellness should be top of mind with HR professionals.

Today’s Earners Don’t Want to Wait for Payday

Financial freedom and flexibility are increasingly important for today’s consumers. The prevailing thought process for many is, ‘It’s my money, I earned it, so why is my employer holding onto it for two weeks or more?’ And technology and business processes have evolved to match today’s on-demand world – with the exception of payroll.

People can click an app or swipe a card to get everything from a rideshare to a meal, yet many are still only paying their employees every two weeks.

One of the most common arguments for changing paycheck frequency is that the old system leaves workers financially frazzled. More regular payroll frequency provides employees with greater flexibility and control over their personal finances, allowing them to handle any unexpected expenses or jump on a limited-time discount on a purchase they have been planning without having to wait up to two weeks for payday to roll around.

However, earnings on demand, also known as on-demand pay or earned wage access (EWA), allows employees to access a portion of their pay right after working a shift, increasing their financial flexibility and wellness. Plus, it matches the needs of today’s on-demand world.

For employers, EWA eliminates the costs associated with payroll, such as printing and mailing checks. Better yet, it can help companies become an employer of choice by better attracting and retaining employees – standing out from the competition.

Equality of Pay, Regardless of Amount Earned

EWA provides pay equity and an equal financial playing field. Whether available for banked, unbanked or low-, middle- or high-income earners, on-demand pay solutions help employees avoid stress for both

everyday transactions and special occasions, such as purchasing tickets to a game or taking their family out for a celebratory meal.

In the near future, some on-demand solutions will enable peer-to-peer transfers, offer rewards and points like credit cards and enable companies to give out spot bonuses or load money allocated toward a certain perk. Workers can use such a bonus to purchase a seasonal gift, such as a Thanksgiving turkey from their employer. Further out, we might even see EWA replace conventional banking.

Get in Tune with the Modern Way to Pay

The benefits of on-demand pay in an on-demand world are undeniable. Financial stress due to inflation and rising prices is prevalent among hourly and salaried employees. Gaining access to their pay immediately after working – and without having to wait for payday – can help employees tackle their bills and get one step closer to financial flexibility and freedom. In addition, EWA decreases employers’ costs associated with payroll, enables them to provide a much-desired benefit to help attract and retain top talent, and is often available at no cost to employers or employees.

The payments’ technology is there – it just has not caught up as quickly as other on-demand solutions like Uber, DoorDash and PayPal. So, if you are an HR leader who is interested in doing away with antiquated payroll cycles and getting in tune with the times, EWA is the way to pay today.

Brian Brinkley is the CEO of QRails. Would you like to comment?

People Analytics Trends: What To Expect In 2023

How and where to maximize talent ROI in the new year

By Anil Dharni, Sense

Organizations across the globe are looking for ways to maximize headcount and productivity during these uncertain economic times. At the same time, companies are faced with increasing employee burnout. It’s a fine line, and identifying the balance between talent satisfaction and ROI is essential.

Partnering with Atomik Research, Sense recently conducted a

survey of over 1,000 candidates who are actively seeking jobs (or have been in the previous six months). While headlines of layoffs are everywhere right now, many companies continue to hire.

At the same time, candidate expectations and demands have permanently shifted. How can your organization meet those expectations? What people analytics trends are poised to impact your business most significantly in 2023?

People Analytics Trends Versus Buzzwords

Be careful not to chase buzzwords when analyzing people analytics and defining or refining your talent engagement strategy for 2023. We found some surprising results in our candidate survey. For talent engagement budgets and teams that are lean or could get leaner in 2023, prioritizing what’s most important to talent right now could make a massive impact on the efficacy of your strategy and the success of your team.

While there will be no shortage of trends and predictions for the New Year, these are the trends to prioritize in 2023:

The People Analytics Trends You Should Prioritize First in 2023

While understanding there are many people analytics trends worthy of your attention, put your attention and action on these five trends first to be poised for the best results in the year ahead.:

01. Focus on More Than Candidate Experience

There has been a (rightful) push toward creating better candidate experiences; however, as teams tighten and the need to keep top performers happy, productive, and working for you, expanding that mindset and looking at talent engagement as not a funnel, but a talent engagement flywheel, prepares organizations to better develop and deploy engagement strategies.

02. Invest in Performance Management and Career Mapping

In a previous piece, I wrote about bleak employee engagement numbers across the country and the need for employers to invest in reskilling and upskilling, and their impact on retention (and

productivity) in your workforce. The Great Reshuffle, rather than the Great Resignation, put a laser focus on talent not just quitting jobs altogether, but searching for opportunities that are more fulfilling and in alignment with their goals and values. Subsequently, companies that are upskilling their internal employees and that are using internal mobility to move them into new, exciting projects are seeing better engagement and as a result, higher retention and more, better referrals.

Our candidate survey data backs this up. When asked about top non-negotiables when considering a new job, career advancement and upskilling opportunities were second only to salary (and landed ahead of trendy perks like remote work,

which remains a fixation by many companies).

Additionally, there is a significant mindset shift among talent today, particularly when it comes to their relationships with recruiters. Rather than the traditional “transaction” of “candidate finds and applies to a specific job, the candidate is (possibly) interviewed, the candidate is either hired or not,” talent today expects recruiters to serve as a matchmaker of sorts.

That means talent expects your organization to continue to “woo” them and sell them on your company. But now they also expect recruiters to help them identify and apply for the right jobs with your company, jobs where they are most likely to thrive.

To meet these new expectations and demands, companies are using performance management to move underperformers out of roles that aren’t a fit and uplevel new hires into more appropriate ones. The notion of “earning your keep” and sticking out roles that don’t maximize value is outdated and will cost stubborn organizations in 2023 and beyond. Getting the right people into the right roles as quickly as possible is essential.

03. Faster Hiring Processes

It feels like this people analytics trend will never go out of style. With the eradication of “candidate markets” and “employer markets,” all that remains is the new normal (even in an economic slowdown). And as I’ve touched upon, candidate expectations have permanently shifted. They simply won’t accept poor experiences, which include sluggish hiring processes.

‘Candidate experience’ remains a top to-do on many company priorities lists for 2023, but in my conversations, I’ve found that many lack the tangible steps needed to actually deliver on that. In our candidate survey, faster response time from recruiters was ranked as the top way for companies to improve the candidate experience, cited by 80% of respondents.

The culprits dragging out hiring processes are unsurprising: Too many interviews, slow follow-ups, waiting for the

“purple squirrel” (aka, the one-ina-million candidate) and more. Even scheduling interviews often take days (or longer!). Most candidates today are going to move on due to these unnecessary roadblocks. Our survey found that slow response time from recruiters is the top reason candidates quit applying for a job Only 19% of candidates report hearing back from recruiters within 24 hours of applying for a job.

With AI and automation as powerful as it is today, leveraging cutting-edge recruitment technology is one of the simplest ways to shorten the hiring process and deliver better experiences, prescreening and even automatically scheduling interviews, eliminating unnecessary back and forth, and creating better experiences for talent and recruiters.

04. Refine Your Talent Experiences to Address Uniqueness Among Generations

Many talent engagement strategies do not account for different generations of workers, and it’s never been more important. Our data showed distinct differences in expectations and priorities among generations, and in conversations with businesses, it feels like many organizations have yet to address those unique needs, at the risk of alienating talent and unnecessarily taking hits on productivity, retention, and recruiting.

There were stark differences in the responses among various generations in the survey as well. Candidates ages 18-24 value career advancement opportunities, strong leadership, and DEI programs, while candidates ages 35-44 place greater emphasis on work-from-home roles.

Some other compelling differences:

● Younger candidates were more likely to be looking for a new job so they could progress their career (21% of the 18-24s said this versus 9% of the 35-44s saying the same).

● Older respondents were more likely to be looking for a new job so they could work from home (20% of the 45-54s said this versus 9% of the 18-24s saying the same).

● 55% of the 18-24s said they had applied for 1-3 jobs in the past six months (the most likely age group to have done this). Older respondents were the most likely to have applied for 6 or more jobs (27% of the 45-54s said this versus 15% of the 18-24s saying the same).

● Stronger leadership and DEI programs were more likely to be mentioned by the 18-24s when asked about their top two non-negotiables when looking for a new opportunity.

● Older respondents were more likely to say it took them longer to get a response from companies after reaching out for work – 20% of the 35-44s and 21% of the 45-54s said one week or more versus 14% of the 18-24s and 12% of the 25-34s saying the same.

● The 45-54s were the most likely age group to mention that too many forms to fill out, requiring creating an account to apply, and slow response times from recruiters as reasons for removing themselves from consideration for a job.

A one-size-fits-all talent engagement strategy cannot address all of those needs at once. Talent across your organization has unique backgrounds and experiences, and to succeed in 2023 and beyond, your talent engagement

strategy needs to meet the needs of all of them.

05. DE&I Continues to Be a Top Priority

Although cumulative results show DE&I a bit lower on the priorities list than we anticipated, DEI programs are a top-two non-negotiable among 18 to 24-year-old professionals. This finding could be especially relevant for those organizations looking to hire and retain talent in industries like healthcare (particularly home healthcare), manufacturing, and retail/ hospitality.

It’s important to note that successful DE&I strategies require real action, not just lip service. Analytics should shed light on diversity within your organization as well as in your recruiting efforts – it can highlight gaps and show you opportunities to improve, while also helping you identify where you’re succeeding.

New research from ICIMS shows that nearly 60% of workers rank their company’s DE&I initiatives as effective, yet most respondents are not seeing these practices in place at their workplace frequently. There is a tremendous opportunity for organizations looking to define or refine their 2023 DE&I strategies to leverage today’s recruitment technology, which can reduce or eliminate bias and provide critical data to help you reach your goals.

Now What?

If you haven’t already, examine your own analytics and see how they stack up against these trends. Are you well on your way to success in prioritization and execution in 2023? Or are there opportunities to improve processes or technologies to better align yourself with New Year’s most important trends?

If you are lacking in the data necessary to make the best strategic decisions, it may be time to assess and/or change your talent engagement platform.

Anil Dharni is the Co-founder and CEO of Sense, the leading AI-powered talent engagement and communication platform. Before founding Sense, Anil was co-founder and COO at Funzio, which was acquired by GREE in 2012 for $210M. Prior to Funzio, Anil led product and design at the thirdlargest Social Networking company, hi5. He is an international speaker and thought leader known for developing the best candidate engagement tools in recruiting.

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January 19, 2023

FAMLI: The Ins And Outs

Offering employees with greater access and more flexibility in terms of leave policies

By Cinda Daggett, Full Velocity Consulting

With

so many people working in nontraditional settings nowadays, the U.S. is beginning to put more thought into providing flexible employee leave policies that fit their needs. The State of Colorado is revising its employee leave policies in preparation for 2023, rolling out a variety of new policies to ensure that working families have access to the benefits they need.

Perhaps most notable is the introduction of the Family and Medical Leave Insurance (FAMLI) program, which begins funding in 2023 and will go into effect in 2024. The FAMLI program, which is only applicable to companies with 10 or more employees, will offer employees up to 12 weeks of paid leave for various circumstances, making a strong commitment to providing workers with greater access and more flexibility when it comes to leave policies – setting a high standard for future initiatives in other states throughout the country.

What Is FAMLI and Who Does it Benefit?

This new program enables any employee to take up to 12 weeks of paid time off under certain situations, such as caring for their own or a family member’s serious health condition, caring for a new child during the first year after birth, adoption/placement of a child, for qualifying military exigencies and when an employee or a family member is a victim of domestic violence, stalking, or sexual assault/abuse.

In addition, there are other circumstances, such as those who experience childbirth complications, who may now qualify for an additional 4 weeks of paid time off.

For decades, employees at companies with 50 or more workers have been entitled to leave under the federal Family Medical Leave Act (FMLA); however, those employees of small employers with fewer than 50 employees have not had access to this protection– until now. Under FAMLI, employees are eligible to receive a percentage of their wages while on approved leave, up to a maximum of $1,100 per week.

This opens the door for these thousands of working people to take care of their health, as well as that of their families, without worrying about surviving without income or facing job loss due to unforeseen medical issues. As a result, this new program offers an important layer of job security which many employees have long deserved but often struggled to obtain up until now.

How Will Employees and Employers Be Affected?

Starting January 1, 2023, there will be a required

.9% payroll tax that is to be shared equally between employers and employees (.45% and .45%). However, employers may elect to pay the entire amount for both the employee and the employer. It is possible we will see several employers in Colorado offer to pay a higher percentage of the payroll tax in order to attract and retain employees in a tough job market.

While employers are contributing towards FAMLI as part of this program, they will not be financially responsible for paying their employee’s wages while they are on leave – instead, each approved employee will be paid by the state. Furthermore, small businesses with fewer than 10 employees do not have to pay the employer premium but employees still need to pay their share. However, larger businesses with 10 or more staff members are expected to pay their percentage every quarter for as long as their staff count remains above that threshold.

All in all, the .9% payroll tax helps both employers and employees gain access to this valuable leave benefit without unduly burdening either party.

What Else Should I Know?

Companies who feel that they have a better employee leave program than the one offered through FAMLI can submit their program to the state for review. During the review process, their program will be assessed against various criteria related to compliance with public policy and FAMLI’s objectives. If it meets all of the criteria, it will be approved and the company can opt out of

participating in FAMLI. If it is not approved, then they must participate in FAMLI in order to provide their employees with adequate paid family and medical leave coverage.

It is important for businesses to understand the potential implications of opting out of FAMLI, including any financial penalties required if their custom program is not approved by the state. By providing companies with this option, however, the state allows for meritorious programs to gain social recognition while empowering companies to create tailored policies that are tailored best to meet their

unique employee needs.

In addition, it is important to note that those who are self-employed may also participate in this program by paying the .9% payroll tax as well, which could be a huge benefit in the long run. Lastly, when an employee returns from their FAMLI-approved leave, employers must return them to their prior held position, or any other position that is equivalent in terms of pay and working conditions.

Ultimately, job security and trusted financial compensation are the cornerstones of this new program, which ensures that workers across Colorado can take time off when necessary without fear, beginning in 2024.

All in all, the .9% payroll tax added through the FAMLI program will support both employers and employees in gaining access to this valuable leave benefit without a major financial impact for either party.

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Cinda Daggett is the Director of Human Resources at Full Velocity Consulting

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