As we draw closer to the end of 2022, it's prime time to assess and reassess what's working well for your small business, and what isn't. To help you with the "people" side of things, (which let's face it, is the MOST important factor in any business!) we've compiled a short HR-related, Must Haves list for 2023. Ready? Let's go.
1. HR and Payroll Technology with Automations
Let me guess, few to no HR or payroll processes are currently automated in your business. That's ok, for awhile, but in today's hyper-fast tech-driven world, there are tons of solutions available to small businesses that can help automate vital, complex, and simple recruiting, HR and payroll processes. For affordable prices, many systems can automate, or at the very least, simplify, sourcing candidates, interviews, tracking time and attendance, calculations for payroll, tax deductions, new hire paperwork during onboarding, and so much more.
How much time, money, and effort did you spend on these administrative tasks in 2022? Would you rather significantly free up your time, save money, improve efficiency, and make all of your back-end operations run smoother for 2023? When things consistently run as they should, employees are happier and more productive, which sounds like a win-win situation to me!
2. Improved Employee and Candidate Experiences
Today's workforce is increasingly demanding more flexibility, greater appreciation, feedback, updates, and self-service features from the modern technology you choose to implement.
Long gone are the days this only applies to large corporations with thousands of employees. Small businesses can join forces with one of nearly 1,000 PEOs and compete with the big guys for top talent. Partnering with a PEO not only streamlines everything we talked about in #1 above, but also has been known to strengthen company resilience, improve retention and recruiting, and improve employee satisfaction. Most, if not all PEOs offer self-service portals, self-selection for benefits, automated messaging, automatic PTO calculations, training courses, payroll automation features, plus a dedicated team to run your back-end processes, resulting in empowered, informed, and happy new hires and employees. No wonder companies stay with a PEO, on average, 5-7 years, grow 14% faster, and have a 51% better chance of still being in business for the next year!
3. HR Compliance
Last, and most importantly, get ready, because HR compliance is going to be a real B**** in 2023! Every single small business will have to focus on HR compliance more than ever before. It seems like every day, new state, county, and federal laws creep up and demand your attention and abiding action.
These changes are not to be taken lightly, as they have major consequences if you don't follow suit, and have major impacts on your employees. If you haven't updated your Employee Handbook since COVID, you're out of compliance already (most likely). Now is the time to dust off the ol' handbook and give it a nice, compliant revision, with the help of an HR expert and your legal counsel, of course.
Here's a few (of many!) changes that have recently occured - but if you want to know if these apply to you, and your business, the answer is, it depends. It depends on where your business is located, where your employees are living, and where your employees are working, as well as what kind of jobs are they performing. Crap answer, I know, but it's true!
So, to wrap this list up, here's just a few of the recent law changes that may affect your small business in 2023:
minimum wage increases
workplace health and safety laws
new ACA reporting requirements
paid leave laws / sick leave
retirement plan offering requirements
mandatory PTO pay-out laws
pay and reporting requirements for remote workers in different states
accommodation requirements for mental health related disabilities
commission payment requirements
job salary listed in job postings requirements (New York....)
diversity reporting requirements
I-9 process changes
The upcoming year dictates you make HR compliance strategy a major factor to reckon with. It cannot be an afterthought. It cannot be reactionary; it must be made central to your overall business and HR strategy, otherwise risk major fines, losing your business altogether, lawsuits, or other major consequences.
The best way to avoid that kind of hell hole, is to implement and utilize a robust people management solution, such as a PEO, who can ensure a reduced administrative burden and compliance with health benefits, workers' compensation, unemployment, ACA reporting, payroll processing, and everything HR related.
As mentioned, there are nearly 1,000 PEOs in the United States today, and not all are created equal. If you need assistance shopping PEO services, evaluating quotes, selecting the right one, or implementing their technology and services into your business, CTC HR can guide you through this process from beginning to end.
Want to know who's good, who's expensive, who's technology is the most user-friendly, who has the best benefits, who offers the best customer service, or who has the best deals for 2023? Ask us, and we'll share what we know. As great as most PEO teams are, it would still be smart move to have an impartial HR and PEO relationship expert to guide you through the selection, purchasing, and implementation process.
If your business isn't quite ready to take the plunge into PEO-land, CTC HR can help you navigate and implement temporary alternatives until you're ready to invest in a more sustainable, grow-as-you-grow, all in one people management solution. Either way, we got you covered. Cheers!