Human resources is the glue that holds your tightly wound small business together. This critical business function handles everything from hiring, administration, and training of your staff. HR keeps you compliant, and importantly, keeps your employees happy.
As a small business owner, you might not have the need for a full HR department. If that’s the case, here are some crucial components to know about HR compliance.
Stage 1: Before Making a Hire
First impressions are everything. The best way to make a lasting impact is with an impactful and compliant job description.
Keep these tips in mind:
- Do a job analysis to find out what exactly you need out of the open role.
- Craft a catchy title – most job seekers scan this first.
- Include the necessities. These must follow requirements under: the Americans with Disabilities Act (ADA), Family and Medical Leave Act (FMLA), and the Fair Labor Standards Act (FLSA).
- Describe how the role fits in with your company culture.
- Don’t put an exhaustive list of requirements into the description. It’s important not to overwhelm the job seeker. That being said, be sure to include the following: summary, minimum required qualifications, essential job functions, benefits, a disclaimer, and exempt vs. non-exempt.
- Give clear instructions on how the candidate should apply to the job.
Of course, a well-constructed job description is only the very beginning. Interviewing for the role takes some preparation on your end as well.
Consider asking behavioral questions to asses the candidate’s problem-solving and communication skills. For example: “What’s the most difficult decision you’ve ever had to make? How did you arrive at your decision and what was the result?” Look for a positive attitude in your candidates and ensure you actively listen and take notes. Remember, the candidate is likely interviewing you and the company as much as you’re assessing them, so preparation will go a long way.
Once you’ve found your ideal candidate, and they accept your offer, well that’s when the real work starts.
Stage 2: Successful Onboarding Tactics
Job. Offer. Accepted. What a relief! After all of the effort you put in to get this candidate on board, it’s critical that you onboard them in an enjoyable and impactful manner.
First thing to consider: Should you run a background check?
Considering the high cost of employee turnover, you want to have full confidence in your hiring choice. But before you decide to implement background screening, ensure that your process is in compliance with the Fair Credit Reporting Act.
Consider issuing a background check post job offer – this will help you avoid any sort of discrimination issues.
Next, successful onboarding.
According to O.C. Tanner, up to 20 percent of employee turnover happens in the first 45 days. To steer clear of becoming a part of that statistic, you’ll want to implement an engaging onboarding program for your new hires.
If you haven’t considered moving this to a digital platform, here are a few reasons you might want to consider it:
- Less paperwork for you and your employees
- Can help you avoid human error in filling out tax forms
- Can be cost-saving if it integrates with your other processes
- Can allow for more personal and engaging experiences – like microlearning and gamification
Remember, engaged employees are happy employees – and that’s what your small business needs.
This is a snippet of a guest post published on Small Business Bonfire. To find out what the last two stages of HR compliance are, please click here.
How can PrimePay help.
PrimePay’s small business HR solution, HR Advisory, can help you with your compliance needs. Click here to learn more.