Are You Managing These Important HR Functions Effectively?
For many small business owners, spending money on areas of their business that give no clear return on investment, such as Human Resources, proves tricky to justify, despite the fact that this function is a vital aspect of any successful business with employees. This may come down to the fact that HR is, in many cases, often misunderstood, and some of its primary functions are not accurately represented and accounted for. To check whether your business is adequately managing HR’s most important functions, check from the list below, and if you aren’t, it could be time to look at outsourcing this essential aspect of your business:
Immigration compliance As a business owner in the United States, you have a fundamental responsibility to ensure that every person you hire to work for you, is eligible to do so, and this is only possible by completing the USCIS Form I-9. Required of every new employee, some sections of the form must be completed on or before the new employees first official day of work. Providing the company with their identity and authorization to work in the United States, the appropriate document(s) must be handed to the employer by the employee. Failure to do so, simply means that the employee is not eligible to work in the country.
Employee classification This particularly confusing aspect of HR can be hard to navigate, and many small businesses seek help from an outsourced provider to help ensure that everyone working for them is classified in the correct manner. Misclassifying is commonplace due to a lack of understanding or knowledge regarding the regulations surrounding different classifications, which are listed below: ● ● ●
Exempt Non-exempt Independent contractors
Classified employees must fit into a specific category, and go on to meet all of the rules and regulations, required of them. Note that it is always the employer’s responsibility to ensure that every employee is classified correctly. Employee personnel files These files are comprised of a set of required documents employers must keep on their employees, and can include health benefits, compensation, retirement and immigration. Documents must be housed and organized accordingly, otherwise unnecessary and costly fines could penalties could be incurred.
Employee relations The majority of small businesses are ill-equipped to deal with this important aspect of HR, and most don’t have a qualified person to properly take care of employee questions and concerns. Help from third parties such as outsourced HR and payroll providers is often sought by such businesses, as situations involving employee relations are a routine responsibility for them, and they’re able to handle them properly and efficiently.
Company Handbook and Manuals Whatever the size of your business, every employee must be provided with a handbook or manual that clearly sets out, among several other things, the company rules and regulations. Whether you choose to make these important HR functions something that an outsourced provider takes care of for you (which to be honest, is the most cost-effective and efficient solution for many small businesses), or whether you decide to try and handle them in-house, the bottom line is that they cannot be neglected, and if you don’t yet have a problem due to a lack of appropriate HR functionality, you soon will have!
Apollo Payroll is dedicated to delivering expert advice, responsive service, and highly accurate payroll processing and reporting to ensure the success and growth of the business that we serve. Our services include comprehensive payroll services in Homestead and other cities in Miami-Dade County, employee background check and group health insurance in Miami & Coral Gables