Second in a series of five ‘HR challenges’ facing small businesses, we take a look at why, especially now, HR is so important to small and midsize (SMB) companies (Related post: “Why HR For Small Business“).
Here in the Pacific Northwest, Seattle and the North Puget Sound small and midsize companies are competing with one another as well as with larger businesses to find and keep talented employees. Due to increased consumer demand, business expansion and an aging workforce, human resource management has never been more critical.
Recruit
Business expansion, competition from other businesses and an aging workforce make attracting qualified employees very difficult. The applying ‘experience is key’. Meaning, employers who make applying easy (mobile-friendly, online application/submissions) and impress on an individual that they’re valued and appreciated (through thoughtful communication) will improve and increase recruitment opportunities.
In addition here are a few more recruiting tips to consider:
- Provide clear job description and expectations
- ‘Streamline’ your hiring process
- Stay compliant with hiring regulations (I.e. employee eligibility)
- Word of mouth from current employees can attract great talent
Retain
The short answer to this specific challenge is wages and benefits. Unfortunately due to ever changing state and federal regulations in labor and healthcare laws, it’s hardly that simple. Due to the complexities involved with payroll and employee healthcare, it is beneficial for SMBs to find experienced partners who can help them navigate through the rules and avoid paying penalties.
By taking employee’s wants/needs into consideration when choosing group benefit plans employers provide their employees with a true sense of worth which is appreciated. Further reliable and accurate payroll processing are two major areas of importance when a person chooses applying for a job.
A couple more recommendations companies can use to retain talent:
- Audit job processes and overtime charges
- Review time off, break time and contractor policies
- Streamline ‘onboarding’ to be effective, thorough and consistent
To learn more about the additional HR challenges facing small businesses, click here.
Disclaimer: This information does not replace specific employment laws, rules or regulatory policy but is rather a general guideline business owners can use when considering a HR policy. Always consult the advice of a HR professional prior to implementing company policies.
Over the course of the past 35 years Group Benefits Northwest is proud to have established a network of relationships with many senior advisors in and around Seattle, WA and the Pacific Northwest region. If you need a (Human Resource) specialist, please feel free to give us a call at (360) 419-9999. We’ll connect you with a reliable business resource.
(Source: “HR Insights for Small Business” by PrimePay, LLC)
