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SPECIAL ISSUE: ECONOMIC FORECAST




WORKFORCE
A PUBLICATION DEDICATED TO WORKFORCE MANAGEMENT SOLUTIONS
VOL. 4                                                            now
                                                                        SM




recession relief
Is the economy on the UpswIng?




Managing Your
organizaTion’s
Top perforMers

whaT’s new in
hr TechnologY

Top 3 flsa violaTions
& how To avoid TheM




         To view an inTeracTive version of This publicaTion, go To:
         www.adp.com/workforce4
ADP just rewrote the book
on workforce management.
   When it comes to managing human
   resources, ADP wrote the book.
   Now, we’re adding a brand-new
   chapter that will redefine the way you
   approach workforce management.
   From reducing administrative
   burdens, to helping to control
   costs and mitigate risks,
   to managing talent,
   ADP Workforce Now
   brings together in a
   single, comprehensive
   solution the tools you
   need to meet your
   organizational goals.




For more info:
www.adp.com/workforcenow
1 800 cAll-ADP
8   RecessioN RelieF:
    5                                                    is the ecoNomy oN the UPsWiNg?
                                                         By making proactive recovery plans now,
                                                         your organization can be more prepared
                                                         for the upturn than it was for the downturn.

                                                     13 WhAt’s NeW iN hR techNology?
                                                        Five questions you should be asking IT to
                                                        ensure that your organization’s HR function
                                                        is operating at peak productivity.

                                                     16 oN ReADeRs’ miNDs
                                                        Mike Taylor, Relationship Manager for
                                                        ADP Workforce Now HR Services,
                                                        addresses readers’ most pressing workforce
                                                        management questions.


2   21st-ceNtURy stRAtegies FoR
    mANAgiNg toP PeRFoRmeRs
    When the employment tide starts to turn,
    will your company be swimming with it or
    against it? A look at emerging trends that are
    creating new jobs and different work styles.

5   steeRiNg cleAR oF
    comPeNsAtioN ViolAtioNs
    Learn more about the three most common
    FLSA blunders being committed by
    today’s employers — and your best bets
    for avoiding costly penalties.




  ??
? ?
    13




                                                         8
                                                                                                      WORKFORCE NOW | 1
21st-ceNtURy stRAtegies
            FoR mANAgiNg
            toP PeRFoRmeRs
             When the employment tide
             starts to turn, will your
             company be swimming
             with it or against it?
             A look at emerging trends
             that are creating new jobs
             and different work styles.




2 | WORKFORCE NOW
i
     t may take a little work, but if you look hard    30-50% of an annual salary to replace an
     enough, you can find positive news about          entry-level employee, 150% to replace a
     the employment outlook. That’s largely due        mid-level employee, and up to 400% for a
to the fact that emerging trends are creating          specialized worker or high-level executive. To
new jobs and different work styles.                    put it in perspective, consider this: the Society
   As people increasingly seek security, flexibility   for Human Resource Management recently
and opportunities, more companies are facing           estimated that it costs $3,500 to replace just
costly recruitment and retention issues as a           one $8-per-hour employee.
result. It’s possible these trends could have a
direct or indirect impact on your company’s            the imPoRtANce oF beiNg AN
workforce.                                             “emPloyeR oF choice”
   Here’s a look at some of the latest employment      Almost every business has a brand image,
trends:                                                regardless of size, industry, or target audience.
                                                       To recruit and keep the best candidates,
“hot desking” refers to workers who aren’t             employers have to cultivate their “employer
tied to a particular office or workstation, often      brand” as well. Your goal is to become an
working from their clients’ locations or from          employer of choice — one eagerly sought
home. Being home-based is particularly                 out by workplace newcomers and experienced
appealing to parents and caregivers, for               talent alike.
reasons that include quality-of-life issues as well       It starts with communication. An employer of
as childcare costs.                                    choice makes sure everyone is on the same
                                                       page when it comes to the company’s products
Rapid technology advancements and                      and services, procedures and processes,
upgrades are creating opportunities for                big-picture business goals, and current market
technology professionals, especially those who         strategies. Employers of choice also foster
specialize in networking, installation and support.    two-way conversation, seeking input and
                                                       insight from the employee population at every
Similarly, the focus on sustainable or green           level. Nine out of 10 employee suggestions or
business has resulted in growing opportunities         critiques may not be actionable, but the 10th
for “green jobs” — positions that contribute to        could be a golden nugget of insight that
the conservation of energy, expansion of               wouldn’t have gotten to you any other way.
renewable energy sources, and conservation or          Taking employee input seriously helps build a
improvement of the environment.                        powerful employer brand.

baby boomers are living longer and better              DeVeloPiNg AND emPoWeRiNg
medicine is helping them lead more productive          skilleD stAFFeRs
lives. That means more experienced help is             An employer of choice invests in its employees
staying in the workforce longer.                       by providing on-the-job training or helping them
                                                       grow through outside resources. But it’s not
  What effect will these trends have on your           enough to identify needs and provide
organization, specifically your staffing needs?        opportunities — you also must remove any
Slowly but surely, the workplace is shifting from      barriers that might get in the way, like
a buyer’s market to a seller’s market. And too         workloads or scheduling.
many employers consistently underestimate the            To keep your best people from feeling like
ramifications and costs of replacing employees         they have to jump ship to get ahead, they need
who depart voluntarily. Regardless of market           to see there’s room for advancement within the
conditions or employment statistics, you need to       company. This means evaluating job perfor-
make every effort to retain your top performers.       mance on a regular basis, in an organized
  Why? Sources indicate it costs an estimated          manner, so that you or your managers can give

                                                                                                           WORKFORCE NOW | 3
employees feedback as well as point the way         When employees can directly access informa-
               to improvement and/or growth.                       tion or find answers on their own, managers are
                  Investing in technology also sends a strong      free to focus on strategic rather than administra-
               message — one that shows your organization          tive duties.
               is forward thinking and committed to giving            Finally, don’t underestimate the value of
               people the tools they need to thrive. For           simple flexibility. Though not every firm can offer
               example, online benefits systems are one-stop       benefits such as on-site daycare or 100%
               destinations that employees can use to manage       telecommuting, be open to non-traditional
               everything from their healthcare to their retire-   arrangements like flexible work schedules or job
               ment plans. These convenient systems also give      sharing that demonstrate your organization’s
               employees continuous access to important            support for work/life balance.
               documents like company manuals and manage-
               ment reference materials, while paying addi-        cUltiVAtiNg AND ReWARDiNg sUccess
               tional dividends by cutting down on many            Every business wants high-performing
               common but time-consuming tasks handled by          employees. By cultivating a culture that gives
               your HR staff.                                      employees the balance of flexibility and
                  Similarly, payroll management systems can        accountability they need to feel challenged as
               help reduce operating expenses while providing      well as valued, your organization is taking the
               support and security. Other types of information,   right steps toward achieving “employer of
               guidance and forms can also be housed online.       choice” status in no time. n




                    YOuR EmplOYER BRANd:
                    What message is it sending?

                    Just as your corporate brand serves as the foundation for your marketing
                    efforts, your “employer brand” is a powerful lever for attracting and retaining
                    a high-performing workforce.
                      So, what exactly is an employer brand? According to Aberdeen Group, a
                    leading research provider, it’s the way your organization is perceived by your
                    current employees, prospective job candidates, and the market at large — a
                    perception that is reinforced by every interaction a company has with its
                    employees and the marketplace.
                      In a 2008 study, Aberdeen found that enhancing company brand and
                    reputation in the recruiting market was named as the number-one strategic
                    action among best-in-class organizations. To succeed, the report found,
                    organizations must seize every opportunity to create a brand that resonates
                    both internally and externally, and is accurately aligned with the expectations
                    of the current workforce. By leveraging a positive employer brand, companies
                    can achieve significant improvements — not only in talent acquisition and
                    retention, but in performance as well.



4 | WORKFORCE NOW
learn more about the three
 most common FlSA blunders
         being committed by
    today’s employers — and
 your game plan for avoiding
     costly penalties.


STEERING ClEAR
oF comPeNsAtioN ViolAtioNs




               i
                   n business, as in life, mistakes can have a certain value. But that
                   doesn’t mean they can’t still be costly — especially if we don’t learn
                   from our mistakes or those of others.
                 Nowhere is that advice more apt than when dealing with federal
               regulations such as the Fair Labor Standards Act (FLSA), which governs
               the rules for minimum wage, overtime pay, recordkeeping, and youth

                                                                               WORKFORCE NOW | 5
employment standards.                                   least the federal minimum wage for all hours
                 Across multiple industries, it’s common to see        worked, and time and a half their regular
               the same FLSA violations being committed time           rate of pay for all hours over 40 hours in a
               and again, according to a recent research               workweek unless specifically exempted.
               paper by Vicki Lambert, CPP, president of                 These exemptions include bona fide
               Lambert and Associates, a firm specializing in          executive, administrative, professional and
               payroll training.                                       outside sales employees. It’s important to
                 According to Lambert, companies most                  note that job titles alone do not determine
               commonly go astray in three major areas:                exempt status. To qualify for exempt status,
                                                                       employees must pass three tests: job duties,
                    •		 lassifying	employees	as	exempt	or	
                      C                                                salary level, and salary basis. For an
                      non-exempt                                       exemption to apply, an employee’s specific
                    •	Counting	the	number	of	hours	worked              job duties, salary amount and how that
                    •	Calculating	overtime	pay                         salary is paid must meet all the requirements
                                                                       of the Department of Labor’s regulations.
                 On the surface, these three areas seem
               surprisingly simple. How could you possibly          Accurately counting the number
               miscount the number of hours an employee has         of hours worked
               worked? In reality, getting it right is not so       Employees must be paid for all hours
               simple — and not so cheap if you get it wrong.       worked. Sounds simple enough, right?
                                                                                            Unfortunately, the FLSA
                                                                                         does not provide a clear
                  “THE MORE YOU LEARN FROM                                               definition for “hours
                                                                                         worked.” In several U.S.
                    EVERYONE ELSE’S MISTAkES, THE                                        Supreme Court rulings,
                                                                                         hours worked may
                    FEWER YOU HAVE TO MAkE YOURSELF.”                                    include any time spent in
                                                               HARVEY MACkAY             “physical or mental
                                                                                         exertion that is controlled
                                                                                         or required by the
                 Tasked with enforcing the provisions of the        employer,” and all hours an employee is
               FLSA is the Wage and Hour Division (WHD) of          required to give to an employer. This
               the U.S. Department of Labor — not exactly an        includes waiting time if it is for the employer’s
               agency you’d like to see knocking at your            benefit, and all the time during a workweek
               office door anytime soon. In 2008, the WHD           that an employee is required to be on the
               recouped an estimated $185 million in back           employer’s premises.
               wages, in the process assessing employers              These circumstances might also be
               over $3 million in civil penalties for overtime      considered hours worked:
               and minimum wage violations.
                                                                      •	On-call	time
               be AleRt to commoN                                     •	Attendance	at	meetings	or	lectures
               comPliANce PitFAlls                                    •	Travel	time
               To avoid contributing to the WHD coffers               •	Special	one-day	assignments
               this year, re-examine your processes to                •		 ime	spent	accessing	and	reviewing	
                                                                         T
               ensure you’re remaining compliant in these                emails while out of the office
               major areas:
                                                                    calculation of overtime pay
               exempt vs. non-exempt employees                      Many employers commonly believe that
               The FLSA requires that all employees be paid at      overtime is calculated using the employee’s

6 | WORKFORCE NOW
The Classification Conundrum:
      Contractor or Employee?
      Misclassification of an employee as an independent contractor can have serious
      implications for your bottom line. The IRS can reclassify independent contractors as
      W-2 employees, resulting in the imposition of fines, penalties and back taxes for
      which the employer is generally liable.
        Typically, an employer must withhold income taxes, withhold and pay Social
      Security and Medicare taxes, and pay unemployment tax on wages paid to an
      employee. You do not generally have to withhold or pay any taxes on payments to
      independent contractors.
        According to the IRS, businesses must weigh factors like these to correctly classify
      service providers:

           behavioral — Does the company control what the worker does and how?
           Financial — Are the business aspects of the worker’s job controlled by the
           payer? Consider how the worker is paid, whether expenses are reimbursed,
           and who provides tools or supplies.
           type of Relationship — Are there written contracts or employee type-
           benefits? Is the work performed a key aspect of the business?

        The keys to correct classification include looking at the entire relationship,
      considering the degree or extent of the right to direct and control, and finally,
      documenting in detail the factors used to make your decision.




hourly rate, and multiplying it by 1.5 and the      the chAlleNge FAciNg comPeNsAtioN
number of overtime hours. If no other factors       PRoFessioNAls
beyond straight and overtime hours are              Today’s business environment has made
involved, that would be absolutely correct.         understanding the latest FLSA requirements
                                                                                                               For more
  However, if the employee’s regular rate of        extremely important in order to stay compliant             information on
pay includes items such as a shift differential,    while meeting your organization’s HR needs. Of      “The Top 3 FLSA
non-discretionary bonus, or a cost-of-living        course, the FLSA covers much more ground than       Violations and How to
                                                                                                        Avoid Them,” visit
adjustment, this formerly simply calculation can    simply the three areas outlined above. But
                                                                                                        www.adp.com/
become infinitely more complex. Employers           understanding the dynamics — and the                workforce-management/
must then determine on a case-by-case basis if      ramifications — of the three most common            docs/whitepaper/
these additional payments are included in the       violations will give your organization a head       FLSA_White_Paper.pdf
                                                                                                        to download the
regular rate of pay in order to calculate           start in avoiding inadvertent and expensive         complete white paper.
overtime correctly.                                 contributions to the WHD any time soon. n

                                                                                                 WORKFORCE NOW | 7
RecessioN RelieF:
                IS THE ECONOMY
                ON THE UPSWINg?
                In the words of Sir Isaac Newton, “Every action has
                an equal and opposite reaction.” By making proactive
                recovery plans now, your organization can be more
                prepared for the upturn than it was for the downturn.

                                           D
                                                    epending on where you live or work,
                                                    you may have noticed some interesting
                                                    billboards in your neighborhood
                                           recently. The Outdoor Advertising Association of
                                           America (OAAA) is sponsoring a campaign
                                           with the theme “Recession 101,” using relatable
                                           and light-hearted messages to help people
                                           maintain perspective about the state of the




8 | WORKFORCE NOW
economy. Recently spotted: “Interesting fact          schools, and investing in new energy
about recessions. They end.” “It’s a test. Not a      technology. The Recovery Act is also intended
final.” “Stop obsessing about the economy.            to save public sector jobs, protect vital services,
You’re scaring the children.”                         and provide assistance to workers hurt by the
   One could argue that the OAAA has a vested         weak economy.
interest in filling billboards that might otherwise      The Recovery Act will save or create nearly
be empty, but the idea came from an anonymous         four million jobs over the next two years. The
donor who wants to “remind Americans of the           money is being distributed to state
things that make this country great.”                 governments, schools, hospitals, contractors
   The point is this: Recovery will happen. And       and other types of organizations. While your
you have a lot more control over how your             organization may not be a direct recipient of
company prepares for the upturn than it did for       government funds, It’s hard to imagine a
the downturn.                                         business that won’t benefit from the Recovery
                                                      Act in some way. As funded entities hire, re-hire
iNVestiNg big iN the RecoVeRy                         or stabilize, the jobs created will have a ripple
The American Recovery and Reinvestment Act of         effect on general consumer and business
2009 (Recovery Act) was signed into law by            demand for all types of goods and services.
President Obama on February 17, 2009. It                 The federal government has been mandated
addresses an economic crisis in this country          to make the process as transparent as possible;
second only to the great Depression, and it was       www.recovery.gov has been created so that
enacted specifically to get the economy back on       everyone has access to information about how
track. Billions of federal tax dollars have been      and where money is being distributed. By
allocated for initiatives such as modernizing the     tracking where the money is going and staying
nation’s infrastructure (roads, bridges, mass         aware of events in your market area, you
transit), revamping health care, improving our        should be able to project how and when




                                                                                                        WORKFORCE NOW | 9
recovery efforts will begin having an impact on       outsourcing to explore:
                your business (if they haven’t already).
                                                                      If you’re frequently on the road, you may not
                gettiNg yoUR bUsiNess ReADy FoR                       need a full-time assistant. A virtual assistant
                the UPsWiNg                                           can help you with time-consuming tasks like
                Use this time to assess your needs for re-entering    managing voicemail and email, research,
                growth mode. For most businesses, managing            fact-checking, event planning, travel
                increased costs for items like equipment and          arrangements — almost anything you can think
                inventory is going to be less of a challenge than     of that takes you away from your core business.
                managing your time and people needs.
                   Rather than trying to predict the future when it   Payroll solutions ensure that your company’s
                comes to specialty staffing needs, more               payroll needs are met on time, every time,
                companies are thinking outside the box and            helping you streamline your payroll process,
                leveraging the strategic benefits of outsourcing.     improve productivity and simplify administration.
                If you look outside your company for business         Payroll services manage time-consuming
                services, you’ll find providers that can give you     processing and tax filing tasks so your HR team
                an edge over direct competition, and help level       can turn its attention to more strategic needs.
                the playing field between your business and its
                bigger competitors. Why? Because you’ll be            By using the services of a marketing
                dealing with specialists.                             consultant, you can plan and implement
                   Here are just a few examples of selective          effective marketing programs that can help




10 | WORKFORCE NOW
you increase your business results at a faster     ready to staff up, many HR service providers
rate. You can find a professional who knows        can also help you find, hire and keep
your industry and is positioned to jump right      employees, as well as help prevent you from
in — whether your goal is to take advantage        making expensive hiring mistakes.
of an immediate opportunity or to develop a
long-term plan.                                    PUttiNg the FocUs oN
                                                   stRAtegic imPeRAtiVes
tax and compliance services keep your              Many companies have chosen to hunker down
business current with constantly changing laws     and ride out the current economic turmoil. Is
and regulations, help you meet strict government   yours among them? If so, it may be time to stick
deadlines, and avoid costly fines and penalties.   your head up and take a fresh look at the
Experts in governmental regulations can help       bigger picture — making sure that your team’s
you reduce expenses, mitigate risk, and            focus is on mission-critical imperatives rather
eliminate laborious manual tasks.                  than administrative necessities.
                                                     If you’re a believer in Newton’s laws of
hR service providers can help you track            motion, it’s only a matter of time before
benefits plans, integrate time and attendance      the economy that went down comes back up.
records with talent management solutions,          Use the time in between to make plans, and
improve communication with your employees,         you’ll be in the best possible position to take
and give your managers access to tools like        your business right back into growth mode
online performance reviews. When you’re            when the recovery hits full speed. n




      YOUR PIECE OF THE RECOVERY
      AND REINVESTMENT PIE
      Opportunities abound for many businesses that in the past might not have considered
      pursuing government projects. You can now search online for opportunities across the
      entire federal contracting community.
        Start with FedBizOpps.gov for all federal government contracting opportunities that
      exceed $25,000. The site lists all major solicitations, contract awards, subcontracting
      opportunities, surplus property sales, and even foreign business opportunities.
        Interested in a federal grants? Federal agencies offer more than 1,000 grant
      programs and access to approximately $400 billion in annual awards. Visit Grants.gov
      to search and apply for grants from 26 different federal agencies.
        minority and woman-owned businesses may want to seek certification credentials
      to open doors to bigger opportunities. For information, visit organizations like the
      National minority Supplier development Council (msdc.adaptone.com/nmsdc) or the
      Women’s Business Enterprise National Council (wbenc.org).




                                                                                                  WORKFORCE NOW | 11
?                    ?
?
     ?
                     ?
                     ? ?
                           ?



12 | WORKFORCE NOW
WhaT’s NEW
iN hR techNology?
             Five questions
                                             A
                                                        1987 article in The New York Times by
                                                        Nobel Prize-winning economist Robert Solow

             you should be
                                                        ignited a firestorm when it questioned the
                                             relationship between computers and productivity.
                                                Though that debate still continues today on certain
                  asking IT to               hot topics — the relative merits of being wired 24/7,
                                             for example — the majority of HR professionals are
         ensure that your                    certain to acknowledge the role that computers and
                                             technology play in easing their departments’ daily

            organization’s                   administrative burdens.
                                                With rapid shifts in business technology happening
                                             almost daily, it’s more vital than ever that your HR
             HR function is                  team maintains solid relations with your IT department,
                                             working together to ensure that your organization
                operating at                 leverages today’s best-of-breed human resources
                                             technology tools as effectively as possible.

     peak productivity.                         Here are five questions you should be asking your
                                             IT department to start a productive dialogue:




1
        HOW INTEgRATED ARE WE?
          growing companies often find themselves with “patchwork” HR IT solutions cobbled
          together and modified by necessity as new needs arise. Lack of integration across
          vital systems can have serious repercussions in terms of productivity and continuity.
  Think about it — the common appearance and menu functionality across every program in
the Microsoft Office suite isn’t by accident. Non-integrated systems force a steeper learning
curve when it comes to training new users, and repetitive data entry (entering payroll data in
separate payroll and tax systems, for example) can lead to costly mistakes thanks to simple
keystroke errors.
  Fully integrated systems (also known as Human Resource Information Systems, or HRIS),
bring together under a single interface interdependent HR processes such as payroll
processing, benefits administration, and applicant tracking. With the latest generation of HR
applications delivered over the web (known as SaaS, or “Software as a Service”), companies
can skip the expensive investments in hardware that presented a significant barrier to
implementation in the past. Upgrades, too, are simpler than ever, as developers can push out
new features faster, allowing your business to adjust to shifting market conditions as needed.




                                                                                                  WORKFORCE NOW | 13
2
                                HOW REDUNDANT ARE WE?
                                 If people are your organization’s most important asset, your HR data is equally
                                 important. A Pepperdine University study recently estimated that lost data costs
                                 U.S. companies an average of $18.2 billion dollars each year.
                        What protections do you have in place to protect employees’ privacy and guard against
                      data loss — whether from hardware failure, environmental catastrophes like fire or flood,
                      or external security breaches from malicious hackers or identity thieves?
                        Review your system protections with your IT pros to ensure that adequate data protections
                      exist, your backup and recovery systems are tested regularly, and a business continuance
                      plan is in place in the event that one or more of your offices becomes inaccessible. Even
                      the best recovery system is useless if no one knows how to use it when disaster strikes.




                     3                                              4
                           HOW CAN WE                                         DO WE HAVE A
                           BETTER MANAgE                                      CLEARLY DEFINED
                           RECRUITMENT,                                       TECHNOLOgY
                           STAFFINg, AND                                      ACCESS POLICY?
                     PROFESSIONAL                                   Here’s an issue that’s sure to generate
                     DEVELOPMENT?                                   strong opinions on both sides of the
                     The best workforce starts with the             argument. For many senior managers, access
                     best hiring and retention tools.               to social media technology — blogging,
                     Applicant management programs are              Twitter, Facebook, YouTube — is immediately
                     fast becoming the norm for                     seen as a distraction or time waster.
                     automating functions like processing           Conversely, younger hires view them as
                     applications and ranking respondents’          must-have tools for collaboration and getting
                     résumés — routine tasks that often             business done.
                     consume the bulk of a hiring                      Before adopting a knee-jerk “no access”
                     manager’s time and attention.                  policy, consider the elements of social
                     Screening and selection tools take the         networking that may be in line with broader
                     process one step further, using                management strategies. For example,
                     thorough candidate screenings to               internal video blogs or knowledge banks
                     ensure compliance and reduce risk.             can help employees more easily connect
                        Once your organization’s made               with one another and share information,
                     the right hire, technology-based time          especially in larger or far-flung organizations
                     and attendance solutions can                   where simply walking down the hall to ask
                     streamline employee scheduling, track          a question isn’t possible.
                     activities, and manage absences,                  As social media moves from strictly
                     helping you optimize your labor                marketing and branding applications to
                     investment. To keep employees                  tools for lead generation, customer
                     challenged and motivated, consider             communication, and internal communication
                     using performance appraisal or talent          and collaboration, companies of all sizes
                     management software to simplify                need to have a clear strategy for social
                     the process of tracking goals and              media tools — and an equally clear policy
                     identifying skills gaps.                       on employee usage.



14 | WORKFORCE NOW
5
             HOW USER-FRIENDLY ARE WE?
              Respondents to a January 2009 study commissioned by ADP said that nearly half
              their HR team’s time (45%) is spent on a combination of payroll-related activities
              (18%), HR administration (14%) and benefits administration (13%) — repetitive,
   time-consuming tasks that leave little room for more strategic contributions to your organization.
      Companies are now turning to self-service portals that allow employees to access, maintain
   and modify information via a web browser. This shift to self-service functionality for employees
   and managers alike is a direct response to the competitive challenges of today’s knowledge
   economy, making it the preferred method for improving internal service and enhancing the
   lines of communication between your company and its employees.
      The benefits of these self-service portals are two-fold in positioning your organization as an
   employer of choice — demonstrating your responsiveness and techno-savvy to employees,
   while freeing your HR team to concentrate on more strategic initiatives to further reinforce that
   leadership position and attract top talent.




hARNessiNg techNology to DRiVe iNNoVAtioN
With human capital the largest investment of just about every business, it makes sense to also
invest in the technology needed to make the most of that valuable capital. By staying ahead of
the technology curve and making sound investments, you’ll ensure that your HR strategies and
goals are aligned with the technology needed to achieve them. n

                                                                                                        WORKFORCE NOW | 15
On ReadeRs’ Minds
                                           Mike Taylor, Relationship Manager
                                           for ADP Workforce Now HR Services,
                                           addresses readers’ most pressing
                                           workforce management questions.



                        Q: We’Ve jUst begUN ReVisiNg oUR comPANy’s
                        extRemely DAteD emPloyee hANDbook. Do
                        yoU hAVe ANy RecommeNDAtioNs FoR
                        cURReNt best PRActices thAt We shoUlD keeP
                        iN miND DURiNg this PRocess?

                        A: If your handbook hasn’t been updated in a while, chances are
                        it doesn’t address many relatively new issues such as the use of
                        technology or legislative mandates for the Family and Medical
                        Leave Act (FMLA) or the recent changes to the Americans with
                        Disabilities Act (ADAAA).
                         To stay current with best practices and remain in compliance,
                        your employee handbook should include clearly stated
                        information on the following:

                                    •	 Use	of	cell	phones	in	the	office
                                    •	 	 ccess	to	online	social	networking	sites,	
                                       A
                                       such as Facebook or LinkedIn
                                    •	 Drug	and	alcohol	use
                                    •	 Workplace	violence

                         Older handbooks are often out of compliance when it comes to
                        issues like risk and safety, and family and medical leave,
                        particularly regarding pregnancy-related absences.
                         Congratulations on recognizing the importance of an up-to-date
                        employee handbook. By defining and communicating your
                        organization’s policies and standards, you’ve taken an important
                        step toward the fair and consistently applied personnel policies
                        that are the hallmark of today’s leading employers.




16 | WORKFORCE NOW
Q: mANAgemeNt WANts to mAke seVeRAl chANges to




                                                                                               Q&A
the PAiD holiDAys obseRVeD At oUR comPANy. WheN is
the best time AND WAy to ANNoUNce these chANges?

A: Several considerations should come to mind when making changes like paid
holidays, including minimizing any disruption to business activities and the
potential impact on employee morale. Rather than a mid-year change to the
holiday observance schedule, which could affect employees’ childcare or
vacation plans, consider implementing a new schedule for the new year — and
communicating changes well in advance.

  Many companies choose to communicate in stages — sending a general
notification that the holiday policy is being reviewed, followed by a detailed
summary of the changes and timeline for implementation. By mapping out a
strategy well in advance, you’ll be in a better position to control how and when
these changes will be best received by your employees.




Q: oUR oRgANizAtioN is UNFoRtUNAtely AmoNg those
tAskeD With imPlemeNtiNg A ReDUctioN iN FoRce (RiF).
hoW Do We eDUcAte oUR mANAgeRs oN the PRoPeR
WAy to select the PositioNs to be elimiNAteD?

A: When tasked with an RIF, objective criteria and consistency in the criteria
used to make the cuts is critical. Steer clear of any considerations that could be
considered biased, such as an employee’s attendance record, and be aware of
the impact on protected classes of employees.

  For example, companies often consider length of tenure as the criteria for
a reduction, but fail to recognize that its longest-tenured employees may be
protected by age discrimination legislation.

  By being as objective and consistent as possible across the board, your
company can apply the fairest possible criteria to conducting the RIF. n




                                                                                     WORKFORCE NOW | 17
About ADP
Automatic Data Processing, Inc. (Nasdaq: ADP), with nearly $9 billion in revenues and 570,000 clients, is one of the world’s largest providers of
business outsourcing solutions. Leveraging 60 years of experience, ADP offers the widest range of HR, payroll, tax and benefits administration solutions
from a single source. ADP’s easy-to-use solutions for employers provide superior value to companies of all types and sizes. You can count on ADP for
unparalleled compliance support and the most qualified and accessible client service in our industry.

The ADP Logo and The business behind business are registered trademarks of ADP, Inc. Workforce Now is a service mark of ADP, Inc.
All other products and marks are the property of their respective owners. ©2009 ADP, Inc.

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Workforce Now Volume 4

  • 1. SPECIAL ISSUE: ECONOMIC FORECAST WORKFORCE A PUBLICATION DEDICATED TO WORKFORCE MANAGEMENT SOLUTIONS VOL. 4 now SM recession relief Is the economy on the UpswIng? Managing Your organizaTion’s Top perforMers whaT’s new in hr TechnologY Top 3 flsa violaTions & how To avoid TheM To view an inTeracTive version of This publicaTion, go To: www.adp.com/workforce4
  • 2. ADP just rewrote the book on workforce management. When it comes to managing human resources, ADP wrote the book. Now, we’re adding a brand-new chapter that will redefine the way you approach workforce management. From reducing administrative burdens, to helping to control costs and mitigate risks, to managing talent, ADP Workforce Now brings together in a single, comprehensive solution the tools you need to meet your organizational goals. For more info: www.adp.com/workforcenow 1 800 cAll-ADP
  • 3. 8 RecessioN RelieF: 5 is the ecoNomy oN the UPsWiNg? By making proactive recovery plans now, your organization can be more prepared for the upturn than it was for the downturn. 13 WhAt’s NeW iN hR techNology? Five questions you should be asking IT to ensure that your organization’s HR function is operating at peak productivity. 16 oN ReADeRs’ miNDs Mike Taylor, Relationship Manager for ADP Workforce Now HR Services, addresses readers’ most pressing workforce management questions. 2 21st-ceNtURy stRAtegies FoR mANAgiNg toP PeRFoRmeRs When the employment tide starts to turn, will your company be swimming with it or against it? A look at emerging trends that are creating new jobs and different work styles. 5 steeRiNg cleAR oF comPeNsAtioN ViolAtioNs Learn more about the three most common FLSA blunders being committed by today’s employers — and your best bets for avoiding costly penalties. ?? ? ? 13 8 WORKFORCE NOW | 1
  • 4. 21st-ceNtURy stRAtegies FoR mANAgiNg toP PeRFoRmeRs When the employment tide starts to turn, will your company be swimming with it or against it? A look at emerging trends that are creating new jobs and different work styles. 2 | WORKFORCE NOW
  • 5. i t may take a little work, but if you look hard 30-50% of an annual salary to replace an enough, you can find positive news about entry-level employee, 150% to replace a the employment outlook. That’s largely due mid-level employee, and up to 400% for a to the fact that emerging trends are creating specialized worker or high-level executive. To new jobs and different work styles. put it in perspective, consider this: the Society As people increasingly seek security, flexibility for Human Resource Management recently and opportunities, more companies are facing estimated that it costs $3,500 to replace just costly recruitment and retention issues as a one $8-per-hour employee. result. It’s possible these trends could have a direct or indirect impact on your company’s the imPoRtANce oF beiNg AN workforce. “emPloyeR oF choice” Here’s a look at some of the latest employment Almost every business has a brand image, trends: regardless of size, industry, or target audience. To recruit and keep the best candidates, “hot desking” refers to workers who aren’t employers have to cultivate their “employer tied to a particular office or workstation, often brand” as well. Your goal is to become an working from their clients’ locations or from employer of choice — one eagerly sought home. Being home-based is particularly out by workplace newcomers and experienced appealing to parents and caregivers, for talent alike. reasons that include quality-of-life issues as well It starts with communication. An employer of as childcare costs. choice makes sure everyone is on the same page when it comes to the company’s products Rapid technology advancements and and services, procedures and processes, upgrades are creating opportunities for big-picture business goals, and current market technology professionals, especially those who strategies. Employers of choice also foster specialize in networking, installation and support. two-way conversation, seeking input and insight from the employee population at every Similarly, the focus on sustainable or green level. Nine out of 10 employee suggestions or business has resulted in growing opportunities critiques may not be actionable, but the 10th for “green jobs” — positions that contribute to could be a golden nugget of insight that the conservation of energy, expansion of wouldn’t have gotten to you any other way. renewable energy sources, and conservation or Taking employee input seriously helps build a improvement of the environment. powerful employer brand. baby boomers are living longer and better DeVeloPiNg AND emPoWeRiNg medicine is helping them lead more productive skilleD stAFFeRs lives. That means more experienced help is An employer of choice invests in its employees staying in the workforce longer. by providing on-the-job training or helping them grow through outside resources. But it’s not What effect will these trends have on your enough to identify needs and provide organization, specifically your staffing needs? opportunities — you also must remove any Slowly but surely, the workplace is shifting from barriers that might get in the way, like a buyer’s market to a seller’s market. And too workloads or scheduling. many employers consistently underestimate the To keep your best people from feeling like ramifications and costs of replacing employees they have to jump ship to get ahead, they need who depart voluntarily. Regardless of market to see there’s room for advancement within the conditions or employment statistics, you need to company. This means evaluating job perfor- make every effort to retain your top performers. mance on a regular basis, in an organized Why? Sources indicate it costs an estimated manner, so that you or your managers can give WORKFORCE NOW | 3
  • 6. employees feedback as well as point the way When employees can directly access informa- to improvement and/or growth. tion or find answers on their own, managers are Investing in technology also sends a strong free to focus on strategic rather than administra- message — one that shows your organization tive duties. is forward thinking and committed to giving Finally, don’t underestimate the value of people the tools they need to thrive. For simple flexibility. Though not every firm can offer example, online benefits systems are one-stop benefits such as on-site daycare or 100% destinations that employees can use to manage telecommuting, be open to non-traditional everything from their healthcare to their retire- arrangements like flexible work schedules or job ment plans. These convenient systems also give sharing that demonstrate your organization’s employees continuous access to important support for work/life balance. documents like company manuals and manage- ment reference materials, while paying addi- cUltiVAtiNg AND ReWARDiNg sUccess tional dividends by cutting down on many Every business wants high-performing common but time-consuming tasks handled by employees. By cultivating a culture that gives your HR staff. employees the balance of flexibility and Similarly, payroll management systems can accountability they need to feel challenged as help reduce operating expenses while providing well as valued, your organization is taking the support and security. Other types of information, right steps toward achieving “employer of guidance and forms can also be housed online. choice” status in no time. n YOuR EmplOYER BRANd: What message is it sending? Just as your corporate brand serves as the foundation for your marketing efforts, your “employer brand” is a powerful lever for attracting and retaining a high-performing workforce. So, what exactly is an employer brand? According to Aberdeen Group, a leading research provider, it’s the way your organization is perceived by your current employees, prospective job candidates, and the market at large — a perception that is reinforced by every interaction a company has with its employees and the marketplace. In a 2008 study, Aberdeen found that enhancing company brand and reputation in the recruiting market was named as the number-one strategic action among best-in-class organizations. To succeed, the report found, organizations must seize every opportunity to create a brand that resonates both internally and externally, and is accurately aligned with the expectations of the current workforce. By leveraging a positive employer brand, companies can achieve significant improvements — not only in talent acquisition and retention, but in performance as well. 4 | WORKFORCE NOW
  • 7. learn more about the three most common FlSA blunders being committed by today’s employers — and your game plan for avoiding costly penalties. STEERING ClEAR oF comPeNsAtioN ViolAtioNs i n business, as in life, mistakes can have a certain value. But that doesn’t mean they can’t still be costly — especially if we don’t learn from our mistakes or those of others. Nowhere is that advice more apt than when dealing with federal regulations such as the Fair Labor Standards Act (FLSA), which governs the rules for minimum wage, overtime pay, recordkeeping, and youth WORKFORCE NOW | 5
  • 8. employment standards. least the federal minimum wage for all hours Across multiple industries, it’s common to see worked, and time and a half their regular the same FLSA violations being committed time rate of pay for all hours over 40 hours in a and again, according to a recent research workweek unless specifically exempted. paper by Vicki Lambert, CPP, president of These exemptions include bona fide Lambert and Associates, a firm specializing in executive, administrative, professional and payroll training. outside sales employees. It’s important to According to Lambert, companies most note that job titles alone do not determine commonly go astray in three major areas: exempt status. To qualify for exempt status, employees must pass three tests: job duties, • lassifying employees as exempt or C salary level, and salary basis. For an non-exempt exemption to apply, an employee’s specific • Counting the number of hours worked job duties, salary amount and how that • Calculating overtime pay salary is paid must meet all the requirements of the Department of Labor’s regulations. On the surface, these three areas seem surprisingly simple. How could you possibly Accurately counting the number miscount the number of hours an employee has of hours worked worked? In reality, getting it right is not so Employees must be paid for all hours simple — and not so cheap if you get it wrong. worked. Sounds simple enough, right? Unfortunately, the FLSA does not provide a clear “THE MORE YOU LEARN FROM definition for “hours worked.” In several U.S. EVERYONE ELSE’S MISTAkES, THE Supreme Court rulings, hours worked may FEWER YOU HAVE TO MAkE YOURSELF.” include any time spent in HARVEY MACkAY “physical or mental exertion that is controlled or required by the Tasked with enforcing the provisions of the employer,” and all hours an employee is FLSA is the Wage and Hour Division (WHD) of required to give to an employer. This the U.S. Department of Labor — not exactly an includes waiting time if it is for the employer’s agency you’d like to see knocking at your benefit, and all the time during a workweek office door anytime soon. In 2008, the WHD that an employee is required to be on the recouped an estimated $185 million in back employer’s premises. wages, in the process assessing employers These circumstances might also be over $3 million in civil penalties for overtime considered hours worked: and minimum wage violations. • On-call time be AleRt to commoN • Attendance at meetings or lectures comPliANce PitFAlls • Travel time To avoid contributing to the WHD coffers • Special one-day assignments this year, re-examine your processes to • ime spent accessing and reviewing T ensure you’re remaining compliant in these emails while out of the office major areas: calculation of overtime pay exempt vs. non-exempt employees Many employers commonly believe that The FLSA requires that all employees be paid at overtime is calculated using the employee’s 6 | WORKFORCE NOW
  • 9. The Classification Conundrum: Contractor or Employee? Misclassification of an employee as an independent contractor can have serious implications for your bottom line. The IRS can reclassify independent contractors as W-2 employees, resulting in the imposition of fines, penalties and back taxes for which the employer is generally liable. Typically, an employer must withhold income taxes, withhold and pay Social Security and Medicare taxes, and pay unemployment tax on wages paid to an employee. You do not generally have to withhold or pay any taxes on payments to independent contractors. According to the IRS, businesses must weigh factors like these to correctly classify service providers: behavioral — Does the company control what the worker does and how? Financial — Are the business aspects of the worker’s job controlled by the payer? Consider how the worker is paid, whether expenses are reimbursed, and who provides tools or supplies. type of Relationship — Are there written contracts or employee type- benefits? Is the work performed a key aspect of the business? The keys to correct classification include looking at the entire relationship, considering the degree or extent of the right to direct and control, and finally, documenting in detail the factors used to make your decision. hourly rate, and multiplying it by 1.5 and the the chAlleNge FAciNg comPeNsAtioN number of overtime hours. If no other factors PRoFessioNAls beyond straight and overtime hours are Today’s business environment has made involved, that would be absolutely correct. understanding the latest FLSA requirements For more However, if the employee’s regular rate of extremely important in order to stay compliant information on pay includes items such as a shift differential, while meeting your organization’s HR needs. Of “The Top 3 FLSA non-discretionary bonus, or a cost-of-living course, the FLSA covers much more ground than Violations and How to Avoid Them,” visit adjustment, this formerly simply calculation can simply the three areas outlined above. But www.adp.com/ become infinitely more complex. Employers understanding the dynamics — and the workforce-management/ must then determine on a case-by-case basis if ramifications — of the three most common docs/whitepaper/ these additional payments are included in the violations will give your organization a head FLSA_White_Paper.pdf to download the regular rate of pay in order to calculate start in avoiding inadvertent and expensive complete white paper. overtime correctly. contributions to the WHD any time soon. n WORKFORCE NOW | 7
  • 10. RecessioN RelieF: IS THE ECONOMY ON THE UPSWINg? In the words of Sir Isaac Newton, “Every action has an equal and opposite reaction.” By making proactive recovery plans now, your organization can be more prepared for the upturn than it was for the downturn. D epending on where you live or work, you may have noticed some interesting billboards in your neighborhood recently. The Outdoor Advertising Association of America (OAAA) is sponsoring a campaign with the theme “Recession 101,” using relatable and light-hearted messages to help people maintain perspective about the state of the 8 | WORKFORCE NOW
  • 11. economy. Recently spotted: “Interesting fact schools, and investing in new energy about recessions. They end.” “It’s a test. Not a technology. The Recovery Act is also intended final.” “Stop obsessing about the economy. to save public sector jobs, protect vital services, You’re scaring the children.” and provide assistance to workers hurt by the One could argue that the OAAA has a vested weak economy. interest in filling billboards that might otherwise The Recovery Act will save or create nearly be empty, but the idea came from an anonymous four million jobs over the next two years. The donor who wants to “remind Americans of the money is being distributed to state things that make this country great.” governments, schools, hospitals, contractors The point is this: Recovery will happen. And and other types of organizations. While your you have a lot more control over how your organization may not be a direct recipient of company prepares for the upturn than it did for government funds, It’s hard to imagine a the downturn. business that won’t benefit from the Recovery Act in some way. As funded entities hire, re-hire iNVestiNg big iN the RecoVeRy or stabilize, the jobs created will have a ripple The American Recovery and Reinvestment Act of effect on general consumer and business 2009 (Recovery Act) was signed into law by demand for all types of goods and services. President Obama on February 17, 2009. It The federal government has been mandated addresses an economic crisis in this country to make the process as transparent as possible; second only to the great Depression, and it was www.recovery.gov has been created so that enacted specifically to get the economy back on everyone has access to information about how track. Billions of federal tax dollars have been and where money is being distributed. By allocated for initiatives such as modernizing the tracking where the money is going and staying nation’s infrastructure (roads, bridges, mass aware of events in your market area, you transit), revamping health care, improving our should be able to project how and when WORKFORCE NOW | 9
  • 12. recovery efforts will begin having an impact on outsourcing to explore: your business (if they haven’t already). If you’re frequently on the road, you may not gettiNg yoUR bUsiNess ReADy FoR need a full-time assistant. A virtual assistant the UPsWiNg can help you with time-consuming tasks like Use this time to assess your needs for re-entering managing voicemail and email, research, growth mode. For most businesses, managing fact-checking, event planning, travel increased costs for items like equipment and arrangements — almost anything you can think inventory is going to be less of a challenge than of that takes you away from your core business. managing your time and people needs. Rather than trying to predict the future when it Payroll solutions ensure that your company’s comes to specialty staffing needs, more payroll needs are met on time, every time, companies are thinking outside the box and helping you streamline your payroll process, leveraging the strategic benefits of outsourcing. improve productivity and simplify administration. If you look outside your company for business Payroll services manage time-consuming services, you’ll find providers that can give you processing and tax filing tasks so your HR team an edge over direct competition, and help level can turn its attention to more strategic needs. the playing field between your business and its bigger competitors. Why? Because you’ll be By using the services of a marketing dealing with specialists. consultant, you can plan and implement Here are just a few examples of selective effective marketing programs that can help 10 | WORKFORCE NOW
  • 13. you increase your business results at a faster ready to staff up, many HR service providers rate. You can find a professional who knows can also help you find, hire and keep your industry and is positioned to jump right employees, as well as help prevent you from in — whether your goal is to take advantage making expensive hiring mistakes. of an immediate opportunity or to develop a long-term plan. PUttiNg the FocUs oN stRAtegic imPeRAtiVes tax and compliance services keep your Many companies have chosen to hunker down business current with constantly changing laws and ride out the current economic turmoil. Is and regulations, help you meet strict government yours among them? If so, it may be time to stick deadlines, and avoid costly fines and penalties. your head up and take a fresh look at the Experts in governmental regulations can help bigger picture — making sure that your team’s you reduce expenses, mitigate risk, and focus is on mission-critical imperatives rather eliminate laborious manual tasks. than administrative necessities. If you’re a believer in Newton’s laws of hR service providers can help you track motion, it’s only a matter of time before benefits plans, integrate time and attendance the economy that went down comes back up. records with talent management solutions, Use the time in between to make plans, and improve communication with your employees, you’ll be in the best possible position to take and give your managers access to tools like your business right back into growth mode online performance reviews. When you’re when the recovery hits full speed. n YOUR PIECE OF THE RECOVERY AND REINVESTMENT PIE Opportunities abound for many businesses that in the past might not have considered pursuing government projects. You can now search online for opportunities across the entire federal contracting community. Start with FedBizOpps.gov for all federal government contracting opportunities that exceed $25,000. The site lists all major solicitations, contract awards, subcontracting opportunities, surplus property sales, and even foreign business opportunities. Interested in a federal grants? Federal agencies offer more than 1,000 grant programs and access to approximately $400 billion in annual awards. Visit Grants.gov to search and apply for grants from 26 different federal agencies. minority and woman-owned businesses may want to seek certification credentials to open doors to bigger opportunities. For information, visit organizations like the National minority Supplier development Council (msdc.adaptone.com/nmsdc) or the Women’s Business Enterprise National Council (wbenc.org). WORKFORCE NOW | 11
  • 14. ? ? ? ? ? ? ? ? 12 | WORKFORCE NOW
  • 15. WhaT’s NEW iN hR techNology? Five questions A 1987 article in The New York Times by Nobel Prize-winning economist Robert Solow you should be ignited a firestorm when it questioned the relationship between computers and productivity. Though that debate still continues today on certain asking IT to hot topics — the relative merits of being wired 24/7, for example — the majority of HR professionals are ensure that your certain to acknowledge the role that computers and technology play in easing their departments’ daily organization’s administrative burdens. With rapid shifts in business technology happening almost daily, it’s more vital than ever that your HR HR function is team maintains solid relations with your IT department, working together to ensure that your organization operating at leverages today’s best-of-breed human resources technology tools as effectively as possible. peak productivity. Here are five questions you should be asking your IT department to start a productive dialogue: 1 HOW INTEgRATED ARE WE? growing companies often find themselves with “patchwork” HR IT solutions cobbled together and modified by necessity as new needs arise. Lack of integration across vital systems can have serious repercussions in terms of productivity and continuity. Think about it — the common appearance and menu functionality across every program in the Microsoft Office suite isn’t by accident. Non-integrated systems force a steeper learning curve when it comes to training new users, and repetitive data entry (entering payroll data in separate payroll and tax systems, for example) can lead to costly mistakes thanks to simple keystroke errors. Fully integrated systems (also known as Human Resource Information Systems, or HRIS), bring together under a single interface interdependent HR processes such as payroll processing, benefits administration, and applicant tracking. With the latest generation of HR applications delivered over the web (known as SaaS, or “Software as a Service”), companies can skip the expensive investments in hardware that presented a significant barrier to implementation in the past. Upgrades, too, are simpler than ever, as developers can push out new features faster, allowing your business to adjust to shifting market conditions as needed. WORKFORCE NOW | 13
  • 16. 2 HOW REDUNDANT ARE WE? If people are your organization’s most important asset, your HR data is equally important. A Pepperdine University study recently estimated that lost data costs U.S. companies an average of $18.2 billion dollars each year. What protections do you have in place to protect employees’ privacy and guard against data loss — whether from hardware failure, environmental catastrophes like fire or flood, or external security breaches from malicious hackers or identity thieves? Review your system protections with your IT pros to ensure that adequate data protections exist, your backup and recovery systems are tested regularly, and a business continuance plan is in place in the event that one or more of your offices becomes inaccessible. Even the best recovery system is useless if no one knows how to use it when disaster strikes. 3 4 HOW CAN WE DO WE HAVE A BETTER MANAgE CLEARLY DEFINED RECRUITMENT, TECHNOLOgY STAFFINg, AND ACCESS POLICY? PROFESSIONAL Here’s an issue that’s sure to generate DEVELOPMENT? strong opinions on both sides of the The best workforce starts with the argument. For many senior managers, access best hiring and retention tools. to social media technology — blogging, Applicant management programs are Twitter, Facebook, YouTube — is immediately fast becoming the norm for seen as a distraction or time waster. automating functions like processing Conversely, younger hires view them as applications and ranking respondents’ must-have tools for collaboration and getting résumés — routine tasks that often business done. consume the bulk of a hiring Before adopting a knee-jerk “no access” manager’s time and attention. policy, consider the elements of social Screening and selection tools take the networking that may be in line with broader process one step further, using management strategies. For example, thorough candidate screenings to internal video blogs or knowledge banks ensure compliance and reduce risk. can help employees more easily connect Once your organization’s made with one another and share information, the right hire, technology-based time especially in larger or far-flung organizations and attendance solutions can where simply walking down the hall to ask streamline employee scheduling, track a question isn’t possible. activities, and manage absences, As social media moves from strictly helping you optimize your labor marketing and branding applications to investment. To keep employees tools for lead generation, customer challenged and motivated, consider communication, and internal communication using performance appraisal or talent and collaboration, companies of all sizes management software to simplify need to have a clear strategy for social the process of tracking goals and media tools — and an equally clear policy identifying skills gaps. on employee usage. 14 | WORKFORCE NOW
  • 17. 5 HOW USER-FRIENDLY ARE WE? Respondents to a January 2009 study commissioned by ADP said that nearly half their HR team’s time (45%) is spent on a combination of payroll-related activities (18%), HR administration (14%) and benefits administration (13%) — repetitive, time-consuming tasks that leave little room for more strategic contributions to your organization. Companies are now turning to self-service portals that allow employees to access, maintain and modify information via a web browser. This shift to self-service functionality for employees and managers alike is a direct response to the competitive challenges of today’s knowledge economy, making it the preferred method for improving internal service and enhancing the lines of communication between your company and its employees. The benefits of these self-service portals are two-fold in positioning your organization as an employer of choice — demonstrating your responsiveness and techno-savvy to employees, while freeing your HR team to concentrate on more strategic initiatives to further reinforce that leadership position and attract top talent. hARNessiNg techNology to DRiVe iNNoVAtioN With human capital the largest investment of just about every business, it makes sense to also invest in the technology needed to make the most of that valuable capital. By staying ahead of the technology curve and making sound investments, you’ll ensure that your HR strategies and goals are aligned with the technology needed to achieve them. n WORKFORCE NOW | 15
  • 18. On ReadeRs’ Minds Mike Taylor, Relationship Manager for ADP Workforce Now HR Services, addresses readers’ most pressing workforce management questions. Q: We’Ve jUst begUN ReVisiNg oUR comPANy’s extRemely DAteD emPloyee hANDbook. Do yoU hAVe ANy RecommeNDAtioNs FoR cURReNt best PRActices thAt We shoUlD keeP iN miND DURiNg this PRocess? A: If your handbook hasn’t been updated in a while, chances are it doesn’t address many relatively new issues such as the use of technology or legislative mandates for the Family and Medical Leave Act (FMLA) or the recent changes to the Americans with Disabilities Act (ADAAA). To stay current with best practices and remain in compliance, your employee handbook should include clearly stated information on the following: • Use of cell phones in the office • ccess to online social networking sites, A such as Facebook or LinkedIn • Drug and alcohol use • Workplace violence Older handbooks are often out of compliance when it comes to issues like risk and safety, and family and medical leave, particularly regarding pregnancy-related absences. Congratulations on recognizing the importance of an up-to-date employee handbook. By defining and communicating your organization’s policies and standards, you’ve taken an important step toward the fair and consistently applied personnel policies that are the hallmark of today’s leading employers. 16 | WORKFORCE NOW
  • 19. Q: mANAgemeNt WANts to mAke seVeRAl chANges to Q&A the PAiD holiDAys obseRVeD At oUR comPANy. WheN is the best time AND WAy to ANNoUNce these chANges? A: Several considerations should come to mind when making changes like paid holidays, including minimizing any disruption to business activities and the potential impact on employee morale. Rather than a mid-year change to the holiday observance schedule, which could affect employees’ childcare or vacation plans, consider implementing a new schedule for the new year — and communicating changes well in advance. Many companies choose to communicate in stages — sending a general notification that the holiday policy is being reviewed, followed by a detailed summary of the changes and timeline for implementation. By mapping out a strategy well in advance, you’ll be in a better position to control how and when these changes will be best received by your employees. Q: oUR oRgANizAtioN is UNFoRtUNAtely AmoNg those tAskeD With imPlemeNtiNg A ReDUctioN iN FoRce (RiF). hoW Do We eDUcAte oUR mANAgeRs oN the PRoPeR WAy to select the PositioNs to be elimiNAteD? A: When tasked with an RIF, objective criteria and consistency in the criteria used to make the cuts is critical. Steer clear of any considerations that could be considered biased, such as an employee’s attendance record, and be aware of the impact on protected classes of employees. For example, companies often consider length of tenure as the criteria for a reduction, but fail to recognize that its longest-tenured employees may be protected by age discrimination legislation. By being as objective and consistent as possible across the board, your company can apply the fairest possible criteria to conducting the RIF. n WORKFORCE NOW | 17
  • 20. About ADP Automatic Data Processing, Inc. (Nasdaq: ADP), with nearly $9 billion in revenues and 570,000 clients, is one of the world’s largest providers of business outsourcing solutions. Leveraging 60 years of experience, ADP offers the widest range of HR, payroll, tax and benefits administration solutions from a single source. ADP’s easy-to-use solutions for employers provide superior value to companies of all types and sizes. You can count on ADP for unparalleled compliance support and the most qualified and accessible client service in our industry. The ADP Logo and The business behind business are registered trademarks of ADP, Inc. Workforce Now is a service mark of ADP, Inc. All other products and marks are the property of their respective owners. ©2009 ADP, Inc.