HRIS & Payroll Excellence - June 2023

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HRIS & Payroll Excellence presented by HR.com June 2023 1 Submit Your Articles 17 12 26 32 4 Guideposts To Help HR Navigate The Complexities Of Pay Policies - Ashley Thomalla and Nichole Burkett, Hub International The Tech-Driven Transformation Of HR - Sam Chen,
Pay Transparency: A Guide To Navigate Complexities And Drive Fairness - Kyle
10 Predictions For The Future Of HR Tech - Brett Farmiloe,
THE POWER OF EMPLOYEE SELFSERVICE TO CUT TIMECONSUMING TIES - Geoff Webb, VP, isolved JUNE 2023 • Vol.10 • No.06 (ISSN 2564-2030)
Fetti
Holm, Sequoia
Terkel.io
The Power Of Employee Self-Service To Cut Time-Consuming Ties Transforming HR efficiency and empowering employees - Geoff Webb, VP, isolved 07 On the Cover INDEX HRIS & Payroll Excellence JUNE 2023 Vol.10 No.06 (ISSN 2564-2030) Articles 09 Why Data Must Anchor People Operations Powering organizational growth - Ian White, Founder, ChartHop 14 Unleash The Power Of Employee Self-Service Empower, engage, and save costs - Jeff Ryan, MD, AWCape 21 Harnessing The Power Of Employee Self-Service Functionalities For An Optimized Workforce Shedding some of your HR admin burdens just got easier with technology designed for today's employees - Alana Pratt, HR Advice Specialist, BrightHR Canada 29 Why Employees Should Know The Truth About ‘Unlimited’ PTO The risks and consequences of unlimited PTO - Rob Whalen, Co-Founder & CEO, PTO Exchange

4 Guideposts To Help HR Navigate The Complexities Of Pay Policies

Managing pay policies and navigating wage complexities

- Ashley Thomalla and Nichole Burkett, Hub International

Top Picks 12 17

10 Predictions For The Future Of HR Tech

- Brett Farmiloe, CHRO, Terkel

The Tech-Driven Transformation Of HR

Revolutionizing roles and redefining success

- Sam Chen, CEO and Co-Founder, Fetti

26 32

Pay Transparency: A Guide To Navigate Complexities And Drive Fairness

Learn how pay ranges shape the future of compensation

- Kyle Holm, VP, Total Rewards Advisory, Sequoia

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Self-Service for Employees: Empowering Your Workforce

Inthe 1940 animated movie Pinocchio, Walt Disney’s brought-to-life wooden puppet happily sings, “I got no strings so I have fun, I’m not tied up to anyone…” while he shows he is no longer merely a marionette operating at the whim of others.

The powerful desire to be in the driving seat of one’s own life is something that employers of all sizes can, and should, take full advantage of to improve their employee experience and, happily, reduce the workload for their HR teams.

In today's fast-paced and dynamic business landscape, organizations are constantly seeking innovative ways to enhance efficiency, streamline processes, and empower their employees. One solution that has gained significant traction is the implementation of employee self-service (ESS) tools and platforms for employees. By placing the power of information and task management directly into the hands of the workforce, self-service systems revolutionize the traditional employee experience.

In this edition, we bring you write-ups from human resources (HR) experts, who explore the benefits, implementation strategies, and best practices associated with self-service for employees, among other topics.

In The Power Of Employee Self-Service To Cut Time-Consuming Ties, Geoff Webb from isolved explores the key elements of successful self-service HR processes. Read, Unleash The Power Of Employee Self-Service, by Jeff Ryan from AWCape lists down the benefits of ESS and the factors to consider when choosing an ESS platform. Also, read Harnessing The Power Of Employee Self-Service Functionalities For An Optimized Workforce, where Alana Pratt from BrightHR Canada will tell us how ESS tools help us save time and invest more time in processes that we do best - human resources management.

Pay policies can be tricky to navigate. The federal minimum hourly wage, which employers subject to the Fair Labor Standards Act must pay, has been $7.25 since 2009. Since it has not yet been raised (even as inflation compresses the economy), almost half the states have boosted their minimums to help workers better cope with the pressure.

Complying with new regulations in states requiring greater pay transparency. In California, for example, the deadline to submit core pay record-keeping reports was May 10, 2023. But many employers were ill-prepared, as pay data was not tracked, nor were salary ranges available to post for jobs.

Ashley Thomalla and Nichole Burkett from Hub International, in their article 4 Guideposts To Help HR Navigate The Complexities Of Pay Policies, share guideposts to help HR navigate the complexities.

Similarly, In today’s evolving employment landscape, pay transparency is becoming increasingly important for businesses of all sizes. As more states implement pay transparency laws, companies are adapting to ensure they’re not only meeting legal requirements but also fostering a culture of fairness and equity by establishing pay ranges.

In Pay Transparency: A Guide To Navigate Complexities And Drive Fairness Kyle Holm from Sequoia will help us understand how pay ranges shape the future of compensation

We hope this edition of HRIS & Payroll Excellence will help you achieve excellence in your core HR and payroll processes.

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The Power Of Employee Self-Service To Cut Time-Consuming Ties

Transforming HR efficiency and empowering employees

In the 1940 animated movie Pinocchio, Walt Disney’s brought-to-life wooden puppet happily sings, “I got no strings so I have fun, I’m not tied up to anyone…” while he shows he is no longer merely a marionette operating at the whim of others.

The powerful desire to be in the driving seat of one’s own life is something that employers of all sizes can, and should, take full advantage of to improve their employee experience and, happily, reduce workload for their HR teams.

Building employee self-service capabilities into many of the daily processes around functions like payroll, PTO booking, benefits, and accessing HR information, is incredibly powerful. It delivers the twin benefits of improving the overall experience of employees by giving them control over their own information and the processes that most directly affect them, and inevitably it reduces the workload of your HR and payroll teams by eliminating many of the repetitive and time-consuming inquiries and requests.

Indeed, these repetitive tasks are devouring HR resources. In a recent isolved survey of 500 HR leaders from across the U.S., 41% reported they answer the same repetitive questions consume from half to almost their entire day.

Delivering self-services access to that same information presents a huge opportunity to reduce workload (and make the day-to-day lives of your HR team far more bearable).

But how? How do businesses successfully move from manual, centralized processes to reliable, selfserve?

There are three key elements of successful self-service HR processes.

First, of course, must be the technology to power self-service. Software that is robust enough to be used by non-HR (and sometimes tech-wary) employees is a must if you want to avoid replacing manual HR process with a tidal wave of support requests. Thankfully, many HCM platforms are capable of delivering some, or all, of the tools to automate such tasks to deliver self-service capabilities.

The second requirement is the ability to access that technology where and when employees need it. This may seem obvious but is actually an area where your self-service strategy can easily fail. For example, creating self-service capabilities that are only accessible when in the office is of no use to a workforce that is often off-site, at remote locations, at home, or working on the road.

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Mobile devices can offer up a great platform to enable service, but they must be reliable and capable of operating in situations where connectivity may be spotty at best. Most importantly it should be consistent across platforms. Delivering a self-service approach to accessing payroll information should look the same. for example, regardless of where or how the employee wants to see it. If not, you will need to train, and maintain, employees on both interfaces (a strategy that will quickly create more work than it saves).

And lastly, you must be ready to enable access. Self-service access to HR, benefits, and payroll systems is going to deliver the greatest benefits when employees feel confident enough to “fly solo” and not constantly checking in with the HR team on how to get access and perform tasks.

Investing in enablement is the only approach that will truly move the workload, and the sense of control, firmly and fully to your employees. It is also another reason to try to ensure that the user experience on

all platforms is consistent, rather than having different tech running on different platforms. (Things like progressive web apps offer a great solution here, able to adapt their interface to whatever platform is being used.)

With these three elements in place, it is possible to both improve employee experience and reduce work, both of which are huge wins for your HR team. New technology is offering even more opportunities to extend self-service even further. AI-based chatbots can be used to improve interactions and access and steer employees to answers and services more quickly, adapting and responding very much like a human member of the HR team.

Indeed, AI-driven interactions, including the ability to more accurately predict what employees will want, are going to become more and more the norm as HR functions are able to step back from being interaction-driven to more strategic and empowering.

Wherever your organization is on the journey to delivering self-service to your employees, following these steps of deploying technology to power interaction, making it available in a consistent way, and investing in the initial enablement training, will help ensure that, like Pinocchio in the movie, your employees are free to go and do whatever they need and are not tied up waiting for help to get to the very things they need.

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The Power Of Employee Self-Service To Cut Time-Consuming Ties
Geoff Webb is the VP of Solution Strategy at isolved
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Why Data Must Anchor People Operations

Powering organizational growth

Whileorganizations and executive teams have faced unprecedented challenges in the past few years and have been forced to adapt to new workplace norms, perhaps no business function has evolved more significantly than the modern HR team. Traditional HR practices focused heavily on compliance, policy, and employee support. But those traditional HR practices alone cannot effectively address all the actions needed to attract and retain employees. Organizations need strong people operations to build on traditional HR responsibilities by incorporating people-first initiatives and developing a data-backed culture.

A strong People Operations function that fuels organizational growth and prioritizes employees must be anchored by data. Gathering and providing real-time access to organizational data helps People and Finance leaders make evidence-based decisions related to:

● Talent management, development, and retention.

● Performance evaluations.

● Employee engagement and satisfaction.

● Compensation.

Data-backed decisions across all those categories align organizations with their overall goals, enabling leaders to optimize their workforce and employee experience.

Talent Management, Development, and Retention

Having reliable, accurate data help organizations deliver on strategic talent initiatives. By drawing in data-driven people analytics, People Operations teams can identify high-potential employees and make better decisions related to succession planning, leadership development, and retention.

Every business needs to prepare for its future. Succession planning offers one key strategy to ensure a business’s long-term success. It allows organizations to identify and develop business leaders (specifically for the C-Suite) to replace current personnel when needed. The process starts with an in-depth understanding of employees, reporting structures, and knowledge sets.

Data — including met key performance indicators (KPIs), promotion rates, and tenure — provides objective information about job performance that informs succession planning and reduces bias in promotion rates. For example, an employee consistently meeting or exceeding their sales quota may indicate their ability and readiness to assume a leadership role. Further analyzing data by demographics, including gender, race, and ethnicity, helps identify potential biases and disparities in the promotion process. If certain groups are consistently underrepresented in promotions, leaders can address bias or systematic barriers.

An employee-first culture requires companies to invest in people’s growth. Over 90% of employees

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say they’d stay longer at a company invested in their professional training. One way to increase employee tenure and help them grow is through leadership development

Data helps People leaders identify skill gaps and workforce needs, informing organizations’ strategic decisions about professional development programs. By dialing into metrics such as employee training time, People leaders uncover whether employees and departments receive equal access to training opportunities.

After using data to identify gaps in training, companies can’t just offer a learning and development opportunity and move on. Leaders must:

● Give their employees direction on using these benefits.

● List recommended programs, courses, and resources by the department.

● Conduct check-ins with department heads to ensure employees get value from available opportunities.

Organizations prioritizing employee retention have more positive organizational cultures. When tracked and used to drive strategic decisions, employee retention rate helps People leaders avoid talent shortages and address employee needs.

A healthy retention rate indicates strong organizational health. To determine if their organization has a healthy retention rate, leaders should:

● Compare the current retention rate to past rates and look for trends.

● Determine if fluctuations tie to internal events (i.e., new policies or initiatives — or lack thereof).

● Compare the retention rate with the industry average.

Staying ahead of industry benchmarks and improving retention rates requires listening and responding to

employees. Employees prioritize work-life balance, career advancement opportunities, compensation and benefits, and an inclusive culture. Many employees connect their sense of purpose to their work and are more likely to stay with a company that celebrates their efforts and allows them to work on projects they feel passionate about.

Performance Evaluations

Managers must collaborate with their employees to set clear goals, KPIs, and objectives and key results (OKR). The results of those goals should inform performance reviews — not a manager’s personal interpretation of good performance.

Objective performance data combats subjective biases that could arise in performance reviews and evaluations. Recency bias — a tendency to emphasize recent experiences — happens when managers only evaluate employees through the lens of a recent adverse event, like an account loss, instead of taking into account the entire performance management cycle.

To reduce the chance of recency bias, managers should continuously review employee data. Bi-weekly, monthly, quarterly, or bi-annual check-ins offer a more holistic view of employee performance. Data helps managers guide these employee conversations, uncover what’s influencing lagging KPIs, address smaller problems before they escalate into more significant issues, and recognize accomplishments.

Employee Engagement and Satisfaction

Many employees won’t settle for an organization that doesn’t strategically prioritize engagement. A culture of engagement is no longer an option but an urgent requirement. Employees — especially those disengaged at work — want a reason to feel inspired. Nearly 95% of people managers say a positive workplace culture creates a resilient team of employees. Engaged employees who feel good about their company and its culture show up and do more work.

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Why Data Must Anchor People Operations

Leaders can track employee engagement through pulse, feedback, and employee net promoter score (eNPS) surveys. These insights allow People leaders to identify areas for improvement, tailor initiatives to address specific concerns and track the impact of initiatives on employee engagement and satisfaction over time.

Organizations focusing on employee engagement and satisfaction see greater profitability and stronger employee wellness. This focus must include concrete performance management activities like clarifying work expectations, providing employees with what they need to do their work, and promoting positive coworker relationships.

Compensation

Over 70% of employers say their people are fairly compensated. Yet only 36% of employees would agree. People now expect more from compensation

packages than money. Mental health coverage, 401k plans, living stipends, and student loan repayment are just a few of the benefits employees seek. Offering these benefits (and more) helps organizations create competitive and employee-first compensation packages.

To make informed decisions about compensation strategy — while attracting new and retaining existing talent and staying competitive — organizations must consult both performance data and insightful market trends reporting. Leaders must consult data sources relative to how their industry approaches to pay and create compensation benchmarks.

Data also helps People and finance leaders spot trends and improvement opportunities to equally compensate people in the same levels and roles, avoiding biases based on personal relationships and other extraneous factors.

People and Finance leaders can use technology like a People Operations Platform to visualize and act on their data across all categories. This single source of truth acts as the main point of action for the people-first processes, programs, and initiatives of an organization’s People Operations function. By making data the anchor of People Operations, leaders can set goals, measure progress, and make informed, people-first decisions.

Ian White is the CEO, CTO, and Founder of ChartHop, a People Operations Platform. Previously, he was the founder and CTO of Sailthru. Before that, Ian was the first head of engineering at Business Insider and built the publishing platform that powers today’s highest-trafficked business website.

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Why Data Must Anchor People Operations

4 Guideposts To Help HR Navigate The Complexities Of Pay Policies

Managing pay policies and navigating wage complexities

The federal minimum hourly wage, which employers subject to the Fair Labor Standards Act must pay, has been $7.25 since 2009. Since it has not yet been raised (even as inflation compresses the economy), almost half the states have boosted their minimums to help workers better cope with the pressure.

The District of Columbia tops all jurisdictions in the U.S. with its minimum wage of $16.50. While Georgia and Wyoming have kept their state minimum wages at $5.15 an hour (the nation’s lowest), almost half the states have deemed the federal minimum insufficient.

Increases

are not altogether a burden for employers.

After all, they can use higher base pay levels as a bargaining chip to support recruitment and retention efforts. But a ripple effect of issues comes with it, from balancing internal equity and pay structures to record-keeping and reporting adequacy for compliance purposes.

Those combine with another struggle for many organizations: Complying with new regulations in states requiring greater pay transparency. In Cali-

fornia, for example, the deadline to submit core pay record-keeping reports was May 10, 2023. But many employers were ill-prepared, as pay data was not tracked, nor were salary ranges available to post for jobs.

It can be tricky to navigate. Here are four guideposts to follow to help.

1. Evaluate the Current Pay Structure

Pay structures need to be evaluated to ensure the minimum pay is being offered to non-exempt employees and aligns with pay ranges overall. It is essential to ensure consistency in the ranges and avoid internal equity concerns.

When employee pay bumps up against supervisor pay, or when supervisor pay bumps up against managers’ adjustments are needed. The upshot may be higher labor costs, but morale and employee motivation can also be affected – positively or negatively, depending on how the issues are handled and communicated. It is also important to consider how adjusting minimum pay will affect exempt employees, and who is considered exempt and non-exempt.

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2. Establish Strategic and Philosophical Markers

Within legislative strictures, employers must determine their stance on compensation. Some may make pay adjustments based on internal job value to maintain a distance between jobs. Others may focus more on how jobs are valued in the external market. Balancing the internal and external perspectives is the trick. That largely revolves around the nature of the company, but also its culture – the mission, vision and values, and the degree to which it is people-centered.

3. The Move to Pay Transparency

Pay transparency can mean openness about pay practices and how pay is determined, but some organizations may go further, with full transparency around salary ranges for every role. Along with minimum pay levels, many states beyond California have enacted salary transparency laws.

These are one way to add accountability and, in the process, address wage gaps. Additionally, more than 90% of employees say transparency over salaries would affect their trust over pay disparities, and improve morale, retention and loyalty. It speaks to the need for a consistent process for setting compensation levels, with an eye toward removing inequities tied to gender, age, ethnicity, or race.

4. The Communications Factor

It is impossible to meet the transparency test with inadequate information. That is a major consideration for communicating with employees as well as regulators. HR should align with its legal and communications teams to make sure the information conveyed is based on a consistent process and imparts accurate information about compensation levels and how they are weighed.

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Nichole Burkett is a Compensation Analyst in the HR Consulting group at Hub International.
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Ashley Thomalla, Ph.D., CCP, GRP, is Senior Vice President of HR Consulting at Hub International.
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Unleash The Power Of Employee Self-Service

Empower, engage, and save costs

Employeeself-service software is a core part of any company’s HR strategy. It helps employees address their own queries and gives HR staff more time to focus on their core and strategic tasks. This includes business intelligence and insights into employee demographics, performance, motivation, and training needs so your business can make better decisions about staffing and resource allocation.

Employee self-service software also makes it easier for your employees to access information on benefits, such as vacation days or sick days – something that can save both the company and employees time and money.

Why Employee Self-service (ESS) Software?

ESS software empowers employees to manage their own tasks, which leads to several benefits for your business:

● Empowerment. Your employees are more empowered when they can take care of their issues themselves. This builds trust with employees, who feel as though there is less chance of being ignored or forgotten about by the company.

● Engagement. Employees who can take care of their own issues without having to wait on someone else will be more engaged in their work and have higher morale overall.

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● Reduced costs Employee self-service software can reduce costs for your business in many ways — for example, by reducing training time for new hires, making it easier for managers or other employees to help out where needed even if they aren’t necessarily an expert at something (like handling customer service), or ensuring that no one wastes time by repeatedly asking others questions they already know the answers too (such as “How do I get access?”, “Can you remind me how this works again?”).

● Focus. HR staff can focus on value-adding activities rather than responding to ad hoc queries.

● And lastly: Increased productivity; decreased turnover rate leading to improved customer service.

Employee Experience Is King

Your employees are the best resource you have because they know the ins and outs of your business. To make it easier for them to support their customers, empowerment is key. Employee self-service software can do this in several ways.

1. Empowers employees by giving them easy access to the tools needed to do their jobs. This

means providing an easy way for them to submit requests, track updates, and get updates on how long each request is taking. It also means making sure that any training or onboarding is done through an employee portal so that new hires don’t feel like they have no idea what’s going on when they start to work at your company.

2. ESS software should provide a consistent experience across all platforms: desktop computers (PCs), mobile phones (iOS and Android devices), tablets (iPads), as well as other emerging technologies, such as wearables.

It may sound like it is only useful if your company employs large numbers of digital natives, who are comfortable with technology, but the truth is that ESS can help any business make better use of its existing staff.

When Choosing an ESS, What Should You Consider?

1. Customizable

The employee self-service software you choose should be customizable.

Customization means that you can adjust the features of your employee self-service software to meet your needs, whether those needs are for a specific depart-

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ment or your entire organization. Your employee self-service software should enable users to personalize their accounts and workflows according to their roles and responsibilities within an organization.

For example, you might want all employees in one department to have access to only certain features of an application; or perhaps you need different versions of a tool for specific teams within your organization –such as HR versus finance – so they can access only the necessary information when they log in.

2. Mobile accessibility

Mobile accessibility is a major factor when choosing employee self-service software.

Employees need to be able to access information from anywhere and on any device, at any time. This means your business’ mobile app must be easy to use, fast, reliable and secure. It also needs to be able to integrate with other applications so that employees can seamlessly access their HR data from across the organization. This also drives higher productivity.

3. Personalized experience

If your company has many employees, or if your employees work across multiple locations, it is important to ensure that their experience with the employee self-service software is personalized.

A good ESS will be customizable so that it can be tailored to suit the needs of your business. For example, if you have a specific training program that everyone must complete before they can access certain parts of the system, then this should be included as part of their user journey to ensure that everyone is on an even playing field.

A good ESS will also allow employees to utilize different modes of communication for different tasks – you might choose voice-over video technology for customer service enquiries but email for dealing with general queries and issues. This ensures that no one feels left out when trying to navigate through the system or get in touch with customer services staff via whichever method they prefer most (such as SMS).

4. Robust security

As an employer, it is your responsibility to ensure that your ESS is compliant with your organization’s data protection and privacy policies. It is also important that the ESS is secure and protects against threats, such as cyber-attacks, data loss, hacking and phishing.

5. User-friendly and intuitive

When choosing employee self-service software, look for a user interface that is easy to use and intuitive. It should also be easy for employees to complete tasks without needing help from IT or other staff members.

For example, the software should have a simple navigation scheme so users can easily find what they need. Additionally, the system should be available on multiple platforms (including mobile devices), which makes it easier for employees to access the information they need. This also reduces the resistance to change of a new solution and training time for ESS users.

Conclusion

ESS is a great way to give your employees more control over their work. It is also a more convenient way to stay in touch with them, so they can manage their tasks without having to constantly contact you.

With the right employee self-service software, it will be easier for your team members to do their jobs and feel valued as part of your company.

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Unleash The Power Of Employee Self-Service

10 Predictions For The Future Of HR Tech

Asthe HR landscape continues to evolve, we reached out to top professionals to share their insights into the future of HR tech. From seamless integration and AI personalization to focusing on employee experience and culture, discover the top 10 predictions and desires these HR leaders have for the future of HR technology.

● Rising Seamless Integration and AI Personalization

● De-coupling Technology from Service

● Adding AI and Data Analytics in HR Tech

● Shifting Towards Gamified Assessments

● AI-Enhancing HR Solutions

● Automating Hiring with Human Touch

● Improving Employee Experience with HR Tech

● Needing More Regulations

● Embracing Tech and Maintaining Human Connections

● Focusing on Employee Experience and Culture

Rising Seamless Integration and AI Personalization

As HR technology advances, the key to success is the ability to integrate various platforms seamlessly.

A personalized experience for employees that leverages advanced analytics and machine learning algorithms to optimize hiring, onboarding, and performance management processes will increasingly be a must-have for HR tech products. The focus will be on developing human-centered technology solutions that prioritize employee experience and well-being.

As AI matures and natural language processing improves, chatbots and virtual assistants will also play an increasingly vital role in delivering engaging, streamlined HR services. The overarching goal will be to create an integrated digital ecosystem that puts people at the center, offering a one-stop solution for all HR-related needs.

De-coupling Technology from Service

I predict that over the next few years, we will see many HR Tech companies (especially the large HRIS & Payroll companies) de-couple technology from service within their offerings.

Right now, buyers expect to get software and comprehensive support, training, and consulting. But, as businesses become more complex and dynamic, it’s not reasonable for tech companies to offer both exceptional tech and premium consulting.

I anticipate that the HR Tech vendors will cede this ground to their ecosystem partners who can offer a wider variety of services and be more nimble and targeted with their service offerings.

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Adding AI and Data Analytics in HR Tech

I believe that the focus of HR technology in the future will be on employing artificial intelligence to enhance the employee experience, streamline administrative activities, and streamline recruitment procedures.

Data analytics will also be essential in revealing information on employee retention, performance, and engagement.

The HR tech sector will innovate because of the integration of AI and data analytics, improving outcomes for both businesses and people.

AI-Enhancing HR Solutions

We’re seeing many HR and Payroll vendors lean into AI. HR tech companies are using Artificial Intelligence tools for employee chat support to answer basic employee questions. Some are even using generative AI tools that pull data from multiple sources to create something new.

For example, GoCo’s HR AI tool supports HR professionals by creating custom forms and policy drafts. By providing AI-enhanced solutions, HR Tech companies elevate the HR function, allowing HR professionals to make the best and highest use of their time and energy.

Shifting Towards Gamified Assessments

Gamification has been a popular buzzword in pre-employment testing circles for some time, but until recently, it hasn’t fully taken off. However, given the rise of highly effective and readily accessible AI, I can foresee a rapid shift away from traditional assessments and towards gamified assessments.

Traditional assessments are often heavily text-based, leaving them extremely vulnerable to cheating. Indeed, even online interviews are now highly susceptible to AI feeding candidates effective interview responses in real-time.

Gamified assessments, however, employ complex game mechanics that cannot easily be completed by an AI, forcing users to participate honestly. Consequently, gamified assessments could answer the encroachment of AI in the online assessment space, and I anticipate a significant shift in this direction.

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Susan Snipes, Chief People and Culture Consultant, GoCo
10 Predictions For The Future Of HR Tech
Chloe Yarwood, HR Manager, Test Partnership

Automating Hiring with Human Touch

I predict and wish for near-complete automation of hiring and onboarding processes. Why near and not wholly complete?

It’s a strong belief that there needs to be a human element during hiring and especially onboarding for actual human-to-human feedback. Yet having AI tools or software that can eliminate the menial tasks for HR would be a lifesaver and allow HR to apply skills to more important efforts.

Needing More Regulations

The biggest story in tech for HR and everyone else is AI. ChatGPT and other AI tools have started to help us with everyday tasks like drafting emails and writing job descriptions. I have heard of HR colleagues using ChatGPT to draft organizational policies.

I predict the use of AI tools will continue to grow, but I also predict we will see additional regulations like the ones coming out of the EEOC recently.

Improving Employee Experience with HR Tech

The field of HR technology is undergoing rapid evolution, with numerous trends and developments shaping its future.

Embracing Tech and Maintaining Human Connections

As technology advances across every field of business, I know there is a fear, specifically in HR/People teams, of “how will tech affect HR roles?” With the fostering of ChatGPT & AI, one of the biggest misconceptions is that “we” will all be replaced by technology.

One prominent focus is enhancing the employee experience through HR tech. This involves personalized onboarding, self-service HR platforms, tools for employee engagement, and continuous feedback mechanisms.

By leveraging technology to create positive employee experiences, organizations can significantly increase employee satisfaction, productivity, and retention rates. Ultimately, the goal of HR tech is to empower HR professionals, improve operational efficiency, enhance the employee experience, and enable data-driven decision-making. Embracing these trends and aspirations will enable organizations to cultivate agile, inclusive, and people-centric workplaces.

What I say to that fear is to use technology to your advantage and understand that none of these highly intelligent forms of tech are made possible without the input, review, and constant analysis of human beings. I find myself learning something new every day, and while I lean on technology to help with admin tasks, onboarding, benefits, etc., one thing will always remain true.

We need to continually build human connections with employees and understand that the human element of what HR leaders do will never be lost; it will just evolve. I am excited to embrace new ways of streamlining processes to ensure I can continue connecting with the individuals that I support.

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10 Predictions For The Future Of HR Tech

Focusing on Employee Experience and Culture

HR technology holds immense potential for the future, enabling businesses to enhance productivity, optimize data management and analytics, facilitate better decision-making, foster transparent communication, and cultivate trust.

However, moving beyond using technology solely for data management and transaction processing is crucial. The next generation of HR technology should focus on enhancing the employee experience and fortifying organizational culture.

While HRMS and HRIS systems have served their purpose in managing HR databases and transactions, it is essential to embrace new technology that aligns with HR philosophy. The true benefits of technology implementation are directly correlated to the level of commitment to HR principles. It is vital to approach technology adoption thoughtfully, ensuring that the workforce is adequately prepared for the change. Merely implementing technology for the sake of it will not propel HR managers forward.

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Brett Farmiloe is the Founder and CEO – and currently CHRO - of Terkel.io. Brett is a strategic human resource management (SHRM) Influencer and has also been a keynote speaker at several state SHRM conferences around the topic of employee engagement.
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10 Predictions For The Future Of HR Tech
Atul Mankad, Domain Expert, Naman HR

Harnessing The Power Of Employee Self-Service Functionalities For An Optimized Workforce

Shedding some of your HR admin burdens just got easier with technology designed for today's employees

Intoday’s world, almost everything can be automated, outsourced, or streamlined to make business operations and processes much easier and quicker for employers and employees. Technology like employee self-service (ESS) software makes it easy for employers and HR managers to alleviate some of their administrative load and place a bit of the responsibility on employees. In fact, 50% of HR respondents agree that ESS increases employee accountability.

At the very least, employee self-service technology facilitates the completion of average HR tasks by allowing employees to access and update personal information and other documents. However, these days, more advanced ESS software enables employees to do things like apply for vacation and sick leave, access payroll information like pay stubs, handle time and expense management, and so much more.

With the right ESS, your business can move on from manually populating long-winded, paper-based forms and save valuable time and money they can

put towards other areas of the business that require human expertise.

A Quick Look at Some Employee Self-service Functionalities

Modern employee self-service software has multiple functionalities that make handling everyday tasks much easier for HR teams and employees. Some of these functionalities include:

Personal information management

An efficient ESS will have functionalities that allow employees to update their personal details like contact information, emergency contacts, etc., without involving HR staff. It also makes it easy for employees to upload documents from anywhere in the world. Not only is this convenient, but it also saves time and reduces admin errors.

Payroll and benefits management

Payroll management is one of ESS’s key functionalities that significantly ease HR burden and improve compliance. These features allow employees to do everything from accessing and printing past

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and current pay slips to accessing their tax forms, benefits enrollment, etc., online, which is great for record keeping. This eliminates the need to make and distribute physical copies to employees monthly. It also significantly increases transparency and satisfaction around payments.

Time and attendance management

Employees can record their working hours, request leaves, approve overtime, and get instant feedback online. In a world of remote and hybrid work settings, this can be incredibly helpful as employees can even punch in time when they’re working out of the office, and managers have a comprehensive view of who’s in and who’s out. This is incredible for compliance as it makes it easier to keep track of hour and wage regulations.

Some software even allows managers to track employee break periods, which can be great for employee well-being. Features like this enhance accuracy and compliance when calculating employee work hours. But niche functionalities like sending employees reminders to use their break periods can also be crucial to improving employee retention and engagement.

Performance management

ESS can help HR teams manage and streamline the performance review process. These days, you don’t have to rely on memory when handling employee files each time they’re due for review. Managers can also conduct employee satisfaction surveys with an ESS so employees can access and respond to the surveys anonymously and at their own pace. On the employee’s end, they can complete self-evaluations, input information on development and training needs, view their performance goals, feedback, appraisals, and more online, and participate in the evaluation process. This function makes analysis and reporting easier for HR and fosters employee engagement and development.

Schedule and vacation management

Streamlining schedule management is much easier with the right ESS software. Employees can easily view schedules and accept, or decline assigned shifts based on availability. The ESS software uses that information to create or update schedules so all employees can see them, promoting transparency. Employees can also request vacations using the software, and managers can approve or deny them. A notification is instantly sent to the employee,

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eliminating wait time to see whether your vacation is approved, which is much more efficient than submitting a paper or verbal vacation request.

Learning and development management

Most employees are highly interested in acquiring skills that help them complete their job duties better and upskill them for future roles in the organization. Helping your staff achieve this can mean organizing costly training sessions and paying for external certifications or adopting an ESS system that makes training your staff members effortless. E-learning has been a big focus in recent years, and more businesses are using this channel to encourage learning and development. A software that offers comprehensive, bite-sized e-learning courses on relevant topics makes it easy for employee’s access learning resources, enroll in courses, track their progress, etc., online and enhance their skills and competencies. HR tech has been impactful in delivering training to a wider audience and supporting career growth and retention.

When used to its full potential, employee self-service software helps save time and gives employees direct access to HR information. This makes for a more welcoming workplace as employees can conveniently manage some of their own data anywhere, anytime— even from home. This gives them some control over their career and puts them in the driver’s seat, so they

spend less time wondering about internal programs and processes and more time focused on doing their best work.

The benefits of effective employee self-service software can be pivotal for business owners and HR teams willing to embrace them. Human expertise will always be invaluable, but an ESS system that easily handles routine tasks, increases data accuracy, streamlines communication, manages financial documents, saves time, and frees them up to focus on complex issues that need a human touch boost is always a bonus.

These functionalities and more are just a few reasons why every future-fit business should be highly interested in integrating a well-rounded employee self-service software if they aren’t using one yet!

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Alana Pratt is an HR Advice Specialist at BrightHR Canada
Harnessing The Power Of Employee Self-Service Functionalities For An Optimized Workforce

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The Tech-Driven Transformation Of HR

Revolutionizing roles and redefining success

Therapid advancement of technology has reshaped various industries, and the field of human resources (HR) is no exception. Revolutionizing HR functions like recruiting, revolutionizing talent acquisition, and enhancing the ability of companies to manage large teams using comparatively compact HR departments, these advancements are changing the way businesses approach human resource initiatives. In this article, we’ll address some of the ways that tech tools are changing how HR roles are performed, and the potential advantages of adopting a new way of approaching specific tasks.

Companies that are willing to embrace new, high-tech tools have already begun to streamline numerous HR functions, allowing HR professionals more time to focus on strategic initiatives like recruitment and hiring. At the same time, potential employees have leveraged existing technologies like social media to make their own decisions about the companies they are considering working for.

Utilizing Social Media in Job Recruitment

Social media platforms have become invaluable tools for job recruiters and job seekers alike. Organizations can leverage social media to extend their reach, connect

with potential candidates, and cultivate their employer brand. This is a relatively new trend that has recently gained momentum, and some companies — even the biggest hitters in tech and business — are underutilizing their social media presence to attract new job candidates.

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However, companies that are quick to adopt this strategy will find it easier to secure the top available talent, especially when it comes to the emerging Gen Z workforce. By utilizing social media, recruiters can showcase their company culture, values, and work environment, attracting individuals who align with their organization’s ethos. Moreover, social media provides valuable insights into candidates’ interests, skills, and professional networks, enabling recruiters to make informed hiring decisions.

Job seekers are increasingly using social media to research potential employers. This is especially true of the younger segment of the workforce, including Gen Z and Millennial job candidates. Nearly three-quarters of candidates in these age groups say they research a company’s social media properties in order to evaluate their brand and decide whether to apply. They gain valuable insights into company culture, employee experiences, and career growth opportunities. Social media affords potential job candidates the power to compare their own values with the stated goals of any organization.

A company’s social media presence is the largest and most public window into what it’s like to work there. With that in mind, HR professionals must proactively manage their organization’s social media presence to create an accurate and positive employer image. Tools such as sentiment

analysis and social listening help companies gather feedback and monitor online conversations, allowing them to address concerns promptly and enhance employee satisfaction while attracting new talent. Failure to do so can be dire, as 50% of job candidates say they wouldn’t work for a company with a bad reputation, even if it meant a larger salary.

Starbucks is an example of a company that effectively leverages social media platforms such as Facebook, LinkedIn, and Twitter to engage with potential candidates and share updates about career opportunities. Sharing stories from employees who have utilized the company’s tuition reimbursement program, for instance, not only fosters goodwill, but serves as a powerful recruiting tactic for young workers. Starbucks uses its social media presence to showcase its company culture, values, and employee experiences, attracting candidates who resonate with their brand.

AI and Machine Learning Add Speed and Efficiency

The HR technology landscape is continually evolving, bringing forth exciting trends that revolutionize HR practices. Artificial intelligence (AI) and machine learning (ML) algorithms are transforming candidate screening and

selection processes, enhancing efficiency. These technologies analyze vast amounts of data, enabling HR professionals to make more informed hiring decisions.

Numerous companies have successfully harnessed technology to optimize HR processes like these. For example, IBM’s Watson Recruitment, powered by AI, matches job candidates with available positions based on skills, qualifications, and cultural fit. This technology has not only improved the efficiency of the recruitment process but also increased the likelihood of finding the right candidate.

This integration of AI is just the tip of the iceberg, and as machine learning tools grow more advanced, there will continue to be new opportunities to utilize them in day-to-day tasks. AI-powered HR chatbots are another emerging trend that streamlines communication and enhances the employee experience, filling gaps where smaller HR teams struggle to keep up. Chatbots also handle routine inquiries, freeing up HR professionals’ time for more complex tasks.

Data from an IEEE survey reveals a full 95 percent of technology professionals believe that AI and machine learning will be the primary driver of innovation across every industry through at least 2027. Companies that take advantage of these emerging tech tools will be well-equipped to

HRIS & Payroll Excellence presented by HR.com June 2023 27 Submit Your Articles
The Tech-Driven Transformation Of HR

handle new challenges, while also enhancing employee satisfaction.

AR & VR Are Changing Remote Work

Looking a bit further down the road, virtual reality (VR) and augmented reality (AR) technologies are expected to grow more important in training and development programs, providing immersive and engaging learning experiences, especially in the new age of remote-first work.

Studies have shown that most individuals learn better when there is a physical component to the work they’re doing. AR and VR technologies provide a sense of presence, which can boost a trainee’s attention and engage them in a meaningful way, enhancing the training process.

The speed at which these technologies are being adopted is slower than many predicted 5 to 10

years ago, but they are by no means dead. As companies like Apple — which is rumored to soon reveal an AR/VR headset of its own — further push the tech into the mainstream, we’re likely to see their popularity impact remote and hybrid workplaces in a much more meaningful way.

The Future of HR

The adoption of technology has revolutionized HR-related jobs and duties, empowering professionals to streamline processes, optimize talent acquisition, and enhance the overall employee experience. By embracing emerging trends and leveraging social media platforms effectively, HR professionals can elevate their roles, contribute to organizational success, and create a more efficient and engaging work environment.

In just the last two decades we’ve already seen monumental shifts in how work is being done. As we push forward into a tech-first future, we can expect HR roles to continue to evolve as new tools and approaches reshape our world.

Sam Chen is an entrepreneur, engineer, and problem solver. She is the CEO and Co-Founder of Fetti, a Gen Z career matching and education platform that helps young job seekers find positions that truly fit them, and assists companies in attracting the best available talent.

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Why Employees Should Know The Truth About ‘Unlimited’ PTO

The risks and consequences of unlimited PTO

Despiteall the headlines about stubborn inflation, banking crises, and a possible recession, the labor market has remained surprisingly tight. This puts recruiters in a difficult position,

as candidates have plenty of options and the competition for talent is intense. It is no surprise that human resources (HR) teams are looking for a competitive advantage, and many believe

they have found one: unlimited paid time off (PTO) policies. What better way to attract candidates than to tell them that they will be able to take all the time off they want?

Workforce Management, Time & Attendance, Excellence presented by HR.com JUNE 2023 29 Submit Your Articles

But unlimited PTO is a mirage. Many employees whose companies offer the policy have discovered that there will always be concrete limits on how much vacation time they can take. In fact, the evidence suggests that employees tend to take less PTO when they have an unlimited plan. This is largely out of concern for what their managers and colleagues will think, as well as anxiety about falling behind on work. Companies realize that unlimited PTO does not really exist, but they also know the policy allows them to avoid paying out large sums of accrued time off because unlimited PTO is no longer considered earned wages.

PTO Exchange and Lighthouse Research & Advisory recently published a report titled, Biased, Burdensome, and Burned Out: The Real Story of Unlimited

Paid Time Off. The report draws upon a survey of HR leaders and employees whose companies have adopted unlimited PTO, and the findings suggest that it is time to interrogate this increasingly popular policy more closely.

Employees Need a Better Understanding of Unlimited PTO

Interest in unlimited PTO has risen over the last several years as more companies have begun to offer the policy as a way to attract talent. Employers present the policy as an answer to the demand for workplace flexibility, arguing that it allows employees to take PTO whenever they need it. Many candidates accept this claim at face value, but companies fail to disclose that unlimited PTO allows them to circumvent the legal requirement (in California, Colorado, Illinois, and many other states) to keep

track of accrued time off and pay out the balance when employees leave.

This means companies can eliminate large balances of unpaid vacation time from their balance sheet, which can grow to millions of dollars. Meanwhile, they know the word “unlimited” is not truthful – the amount of PTO employees receive will always depend on a manager’s authorization, and these decisions are bound to be inconsistent. The interviews we conducted for the report indicate that, while employees are often optimistic about unlimited PTO, reality eventually sets in. Reputational pressures, managers’ discretion, productivity concerns, and a wide array of other factors conspire to place hard limits on the amount of PTO employees can take.

Why Employees Should Know The Truth About ‘Unlimited’ PTO
Workforce Management, Time & Attendance, Excellence presented by HR.com JUNE 2023 30 Submit Your Articles

The longer employees have worked under an unlimited PTO plan, the less likely they are to say it benefits them. At a time when candidates place a premium on transparency in the hiring process, too many recruiters present a distorted view of what candidates can expect with unlimited PTO policies. While this may get employees in the door, it can have negative long-term consequences for the company.

Unlimited PTO Presents Serious Risks for Companies

While employees should be aware of how unlimited PTO actually works in practice, companies should be more familiar with the negative consequences of the policy. For example, unlimited PTO introduces the potential for bias where none existed before. While traditional PTO can create balance sheet liabilities, it is more transparent and consistent than unlimited PTO. It does not require managers to make constant judgments about how much vacation time employees should be allowed to take, nor does it cause employees to question the amount of time they use.

A previous PTO Exchange report found that there are significant variations in how much vacation time diverse employees take. Nonwhite, female, and low-income employees are significantly less likely to take all their vacation time, and there is a possibility that unlimited PTO will make these gaps even more pronounced. One of the main reasons employees fail to use

all their PTO is pressure from coworkers – pressure that diverse employees often feel even more acutely than their peers.

Many HR teams are embracing more objective tools for hiring and promotion, such as structured interviews and pre-employment assessments. This is not just because these tools are more predictive than their subjective counterparts – they also reduce bias. Strangely, companies are moving in the opposite direction with their benefits policies. Unlimited PTO makes companies more dependent on subjective (and often flawed) human judgments, which can lead to unfairness, discrimination, and unhealthy workplace culture.

An Alternative to Unlimited PTO

Unlimited PTO attempts to address a problem that does not exist. The popularity of the policy suggests that many employees feel they are not receiving sufficient PTO, but hundreds of millions of vacation days are actually wasted every year. A 2022 survey found that around three-quarters of employees failed to use all their vacation days over the preceding year, and even when they do take time off, they often continue working.

A third of employees say they cannot take PTO because their jobs are too demanding, while 83 percent report that their workplace cultures discourage taking time off. Even when the employees in our survey finally manage to take some vacation

time, a remarkable 75 percent say they are expected to keep working. This is not sustainable – employees have never been more focused on finding a healthy work-life balance, so workplace cultures and policies that constantly intrude on their time off should be abandoned.

It is difficult to imagine unlimited PTO improving this status quo, as employees will feel even greater pressure to justify their time off and continue working while they are supposed to be on vacation. This is why HR teams should explore innovative approaches to PTO that do not rely on empty promises, such as a convertible structure that uses the value of unspent vacation days for other financial priorities – from student loan payments to retirement contributions.

Ninety percent of employees say a flexible benefit like this would make them more likely to stay with a company. This is a powerful reminder that HR teams can offer the flexibility employees want without misinforming them about the benefits they will receive.

Rob Whalen is the Co-founder & CEO of PTO Exchange
The Truth About ‘Unlimited’ PTO
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Pay Transparency: A Guide To Navigate Complexities And Drive Fairness

Learn how pay ranges shape the future of compensation

Intoday’s evolving employment landscape, pay transparency is becoming increasingly important for businesses of all sizes. As more states implement pay transparency laws, companies are adapting to ensure they’re not only meeting legal requirements but also fostering a culture of fairness and equity by establishing pay ranges.

The Shift Towards Pay Transparency

The push for pay transparency has been driven by a combination of cultural shifts, and legal changes.

Younger generations of workers expect transparency in pay, and more states have implemented pay transparency laws requiring employers to disclose compensation within job postings and/or when employees ask.

While some businesses may be adding pay ranges on a case-by-case basis, this ad hoc approach can lead to inconsistencies and potential issues down the line. Instead, you should consider building pay ranges for all current and future roles, ensuring

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pay aligns with the market and your overall compensation philosophy. Companies that are set up with comprehensive and consistent pay ranges in response to the shift toward pay transparency will also be better positioned to attract and retain top talent.

Lay the Foundation for Sustainable Growth

By establishing pay ranges, you’re setting the stage for scalable and equitable growth. This approach helps you avoid the need for temporary fixes and backtracking later on. Having pay ranges clearly defined impacts companies in meaningful ways that include:

1. Compliance with pay transparency laws

By proactively building a pay philosophy and ensuring that your salary ranges are consistent and compliant, you can avoid potential legal issues and fines associated with non-compliance.

2. Better-quality candidates

Job seekers are increasingly considering pay transparency when evaluating potential employers. By providing clear and competitive salary ranges, you can attract top talent to your organization.

3. Ease of scalability and forecasting

With well-defined pay ranges, you can reduce the workload on lean HR and recruiting teams who often must develop offers for each role on the spot or in reaction to negotiations. Those same pay ranges can be used by your finance team to help budget for future needs as your organization looks to scale.

4. Ensuring pay equity

Getting compensation right on day one is important for companies focused on pay equity. By using defined pay ranges and consistent guidelines to set compensation levels, you can reduce the biases that may come into play when setting compensation without guardrails.

Build Pay Ranges with Confidence

With compensation tools, you have the tools to build pay ranges that are informed by real-time market data, leveled for every job in your org, and aligned to your compensation philosophy to keep pay competitive, equitable, and within budget.

As you begin building pay ranges, consider:

1. What pay transparency regulations are relevant to your company?

2. What’s the impact on your current employees?

3. What should pay ranges be for new roles?

4. How will you communicate ranges with consistency?

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Pay Transparency: A Guide To Navigate Complexities And Drive Fairness
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