How can your LMS bridge the skills gap? An expert explains how a modern learning management system can help develop essential workforce skills

How Can Your LMS Help Bridge the Skills Gap?

Sponsored by Learnsoft

The Skills Gap is Growing. So is Pressure on L&D

Demand for skilled employees seems limitless. Modern technology and automation are  displacing workers in all industries, even while creating new jobs that need to be filled. Baby Boomers are rapidly retiring, but entry-level people from younger generations haven’t yet developed enough expertise to take on these positions. And competition for skilled professionals in technology, healthcare and other specialties remains fierce.

Throughout the pandemic, HR departments felt pressure to deliver a high-performing workforce. Unfortunately, that pressure isn’t likely to ease any time soon. In fact, by 2030, talent shortages in the U.S. alone are expected to result in $162 billion in unrealized revenue. 

If these trends give you heart palpitations, I apologize. But the good news is that these pressures are causing employers to look within their organizations to bridge this skills gap. As a result, we’re seeing increased investment in upskilling and reskilling of current employees. Even so, L&D programs are not as efficient as HR and business leaders want them to be.

In part, this is because organizations are not leveraging available learning tools and resources to their full capacity. If you see this happening in your organization, how can you improve?

Let’s take a closer look at the primary types of skills gaps and how organizations are responding. Then, I’ll explain how a learning management system (LMS) can go beyond simply delivering training content to help your business address critical skills challenges.

3 Kinds of Skills Gaps: What Are They?

Skills gap” is generally used as a catch-all phrase for whatever is amiss in the employee/employer productivity relationship. But actually, there are three gaps to consider:

1. Skill Gap

Unlike the broader term, this specifically refers to intellectual or functional gaps in a person’s ability to perform a particular job effectively. For example, in healthcare this can be demonstrated by a lack of certification required to provide patient care. Or in construction, skilled laborers may need to develop proficiency with new equipment before they can use it at a job site. This differs from a knowledge gap.

2. Knowledge Gap

When employees do not know relevant information about their job or how their role fits into their department or organization, this is a knowledge gap. It can surface during onboarding – but can persist throughout an employee’s tenure. This is why hiring managers need to understand a new employee’s industry and job-specific knowledge, and then provide resources to bring that individual up-to-par as soon as possible.

3. Performance Gap

To perform well in a role, skills and knowledge are essential. However, motivation and commitment are just as important. This brings us to the performance gap – which is the disparity between an organization’s goals and an individual’s performance. This can be measured by a lack of engagement, low productivity levels, poor quality output, and other relevant metrics. These gaps can be especially detrimental, because they tend to expand over time when organizations lack tools to accurately measure key performance factors.

How Employers Are Addressing Skill Gaps

The most efficient way to accurately measure skills in an organization is with an appropriate skills management tool. For example, almost all large companies (98%, according to Training Magazine), use an LMS to manage and deliver e-learning courses and training programs.

The most-used function of an LMS is the ability to track training completions and course certifications within the learning platform. This solves some of the basic skills problems organizations face. However, the missing piece in many LMS platforms is a comprehensive and intuitive reporting capability.

For years, organizations in many industries tracked individual skills and knowledge through manual processes. In some industries, this is still managed manually.

That’s right. In 2023, organizations continue to struggle with automating and streamlining data management and reporting. Even when training is conducted online through an e-learning platform, the data is not easily transferred between applications.

I’ve worked with organizations where employees complete training online or in-person, and then a data entry specialist spends time manually extracting the completion data and copying it into an excel file. Next, they manually import the information into another HR application. This process is time consuming, inefficient and leaves room for error. But fortunately, there are better ways to manage this data-intensive business process.

An LMS Can Do More Than Deliver Content

1. Leverage Integrations

To truly maximize the benefits of an LMS, you need to integrate it with other enterprise applications and tools. By integrating your LMS with your HR ecosystem, you can streamline and automate your training processes, reduce administrative burdens, and enhance the user experience.

Your organization can track and manage L&D goals across the entire company using a single login system that connects an end user to any application within the LMS system. Users don’t need multiple logins to access the intranet, the compliance training portal, benefits and payroll, professional development courses, and so on. Instead, they’re all housed in one system – and those systems talk to each other so they can verify transferred data.

Here’s the benefit from a skills gap perspective: Because these applications work together within the HR ecosystem, you can easily identify employee reskilling and upskilling needs.

2. Support Employee Career Advancement

Understanding employee competency is essential to optimize the talent available in your workforce. This is why an LMS platform’s reporting function is just as important as its content delivery function. Job turnover is bound to happen, but how can an LMS help you more rapidly fill unexpected job openings?

L&D can quickly turn to a comprehensive reporting dashboard that identifies team members who are compliant and certified to fill a role. Intuitive reporting can make it easy to identify these qualified employees, regardless of their team or location. You can also leverage reporting to pinpoint existing skill deficits and make data-driven employee development decisions.

3. Establish Clear Paths to Success

The most important step in closing any skills gap is offering individuals opportunities to upskill through learning experiences and resources that expand their professional knowledge. Research indicates that employees agree. In fact, according to SHRM, 76% of employees are more inclined to stay at a company where continuous learning is available.

This is the strong suit of a modern LMS. It can help L&D teams work with managers to define skills benchmarks, build assessments that identify skills gaps, and determine how development can close those gaps.

You can outline specific courses employees must complete to move up in rank. Then you can communicate about these career growth opportunities and the path forward.

4. Meet Employees on Their Learning Terms

The keyword here is learning. There are many ways to distribute information. But you need to ensure that employees don’t just “acknowledge” that information. The goal is to absorb it, understand it and retain it.

A lack of learning engagement doesn’t benefit employees, and it can even put your organization at risk. For example, Corporate Compliance Insights found that 49% of survey respondents skipped or did not thoroughly listen to mandated compliance training. Imagine almost half of your workforce admitting they don’t pay attention to required learning! Sadly, this is a reality.

How can you avoid passive learning and drive engagement? Whatever content you create, it’s important to bring training directly to individuals and make sure the experience is as accessible, useful and relevant as possible. 

Be sure people have access to personalized training that best suits their needs. In some scenarios, this means face-to-face virtual training. In others, it means microlearning modules people can knock-out in 5 or 10 minutes.

Engaged learners make empowered workers. It is important to remember that people are lifelong learners. Employees need to train, retain, and show competency in their roles. This doesn’t stop when they clock-in for work. A flexible LMS can help employees train at workstation or remotely on a laptop or phone. And it should support personalized learning paths that help tailor learning to individual interests and goals. 

Your Organization Has Changed. Has Your LMS?

Addressing the skills gap means prioritizing your employees by making learning accessible, personalized and engaging. Most LMS providers require organizations to enter a multi-year contract – some up to 10 years. That’s a long time to use a platform if it doesn’t meet all your needs.

Is your LMS keeping pace with the needs of your workforce or your business? Consider these criteria of an effective LMS platform:

  • SaaS-based solution with flexibility to address diverse, changing needs
  • Integrates seamlessly with your HR ecosystem
  • A user experience that is easy for learners, instructors and administrators
  • Functionality that accommodates individual learning schedules and needs
  • Supports various content types to drive learning engagement
  • Streamlines upskilling/reskilling/cross-training efforts
  • Enables self-directed learning paths with recommendations based on job position, requirements, skills, competencies, and performance.
Employee Appreciation Day Why Not Celebrate All Through the Year WorkHuman SVP on the #WorkTrends podcast

Employee Appreciation Day: Why Not Celebrate All Year?

Sponsored by Workhuman

How often does your organization acknowledge team members who deserve recognition? Certainly, Employee Appreciation Day is an ideal opportunity to thank everyone. But an annual pat on the back isn’t nearly enough to move the meter on employee satisfaction, engagement, and retention.

So, what does effective recognition actually look like, and how can Employee Appreciation Day help? According to today’s #WorkTrends podcast guest, companies that get recognition right treat it as an ongoing conversation where everyone is invited to participate.

Makes sense. But what kind of impact can employers expect? The numbers are impressive. For example, research shows that when we regularly acknowledge employees, they’re 90% more likely to be happier at work. They’re also 70% less likely to burn out. And they’re 60% more likely to stay onboard. To find out more about what’s driving these outcomes, tune in now…

Meet Our Guest:  Derek Irvine

Had a blast discussing this topic with Derek Irvine, SVP of Strategy and Consulting Services at Workhuman! Derek is a foremost expert on recognition and the human side of business. I can’t think of anyone who’s better qualified to help us understand how to make each day feel like Employee Appreciation Day. So please join us as we dig deeper:

Why Appreciation Matters

Welcome, Derek! You’ve studied employee appreciation for years. What does science tell us about its value?

Actually, appreciation is like a natural medicine. When someone sincerely thanks us at work, it releases happy hormones. It boosts our health and wellbeing. So in a way, Employee Appreciation Day is like a wellness day.

Unfortunately, however, research says 80% of people aren’t appreciated enough. This means they’re more likely to become disengaged or quit. So this is important. But it’s something we can fix.

Factors That Support Appreciation
How does Workhuman honor Employee Appreciation Day?

Of course, we acknowledge all of our employees and celebrate as a team. But for us, every day is Employee Appreciation Day. So we’re committed to a continuous dialogue. And our reward strategy is built on three foundational blocks:

  1. Fair Pay: People need to feel appropriately compensated for their contribution.
  2. Ownership: We aren’t a public company, but everyone has a real stake in the company’s success.
  3. Recognition: These are the spontaneous moments when we acknowledge people for reaching a milestone or supporting our values.

Appreciation as a Cultural Priority

Spontaneous. I love that word. What other steps can companies take to build a culture of recognition?

In addition to being spontaneous, it’s also important to be intentional. Because most people I talk to agree that they should show more appreciation. And then, other priorities take over, so taking the time to say “thank you” constantly falls from the top of their to-do list.

You’ll want to put a drumbeat in place to be sure this intention won’t slip off of your agenda.

Getting Started

What would you say organizations should do to make Employee Appreciation Day more meaningful for everyone?

Well, it could be a great day to launch your all-year initiatives. So maybe you could recognize people at a special gathering. But then also announce your commitment to change your organization’s habits and explain how you intend to create a culture based on ongoing recognition.

That’s my top recommendation because it will help your organization pivot in a more positive trajectory, and it will have a lasting impact.

Tools That Enhance Appreciation

How can technology help employers make recognition work better?

Using technology to thank people may seem odd. But it can help in several ways.

It can provide a nudge that reminds managers to reach out to people at specific times. But beyond that, with a platform like ours, you’ll create a fantastic repository of all the human connection stories that are happening in your organization.

You also have a huge data pool you can use to understand your culture better. For example, you can ask: What words are people using? What skills are being celebrated? Are particular leaders being recognized for skills we hadn’t seen? Are there dark spots in the organization where people aren’t being thanked at all?

Insights like these can be a powerful way to enhance your work culture with more intention…


For more insights from Derek about why and how to make every day feel like Employee Appreciation Day, listen to this full podcast episode. And be sure to subscribe to the #WorkTrends Podcast on Apple Podcasts or Stitcher.

Also, to continue this conversation on social media anytime, follow our #WorkTrends hashtag on Twitter, LinkedIn, and Instagram.

Employers: What are some simple ways you can help remote employees feel connected? Check these ideas from Social Flowers CEO, Brian Gomes

Simple Ways to Help Remote Employees Feel Connected

TalentCulture Content Impact Award Winner - 2023Sponsored by Social Flowers

What a difference three years can make! I’m sure that’s what many remote employees are thinking these days. Before the pandemic, only 6% of people worked remotely in the U.S. Now, after peaking at 60% during the height of the pandemic, that number has leveled off to about 30%. But we’re all still learning how to navigate this new work-from-wherever terrain without leaving anyone behind.

Why Remote Work is Here to Stay

I understand why people want to continue enjoying the flexibility of working from a distance — even for a few days a week. Remote work remains popular because it offers advantages to employees and employers alike. For example:

BENEFITS FOR REMOTE EMPLOYEES:

  • Less commute time
  • Higher productivity (90% say they’re more productive)
  • Better mental health (74%)
  • Increased happiness with work (In fact, 61% would accept a pay cut to continue)

BENEFITS FOR BUSINESS:

  • Lower overhead costs from less office space
  • Increased work output (4% more hours each week, on average)
  • Lower absenteeism (52% are less likely to take extra time off)
  • Potential savings in employee pay (People value working from home as much as a 5-7% pay increase)

Remote Employees Face Real Challenges

Despite the flexibility and freedom of working from anywhere, working at a distance also has its drawbacks. For instance, research says many remote employees struggle with social isolation and disengagement. Specifically:

To ensure remote work strategies succeed in the long term, leaders need to help people feel more connected. But that’s not always easy to accomplish from a distance.

Helping Remote Employees Feel Connected From Afar

It’s natural for remote employees to feel disconnected and lonely sometimes. After all, work relationships play a vital role in keeping employees happy, healthy, and productive. So, how can leaders bridge that gap? Start with stronger support and communication. For example:

1. Clarify Remote Work Expectations

McKinsey says remote employees who receive detailed information are 5x more productive and 3x less likely to experience burnout. That’s a good reason to articulate your vision, policies, and practices so people understand how they fit into your overall work structure and strategy. Be sure to capture this information in documents, videos, and other reference materials that are regularly updated and available to all.

2. Think Outside the Virtual Meeting Box

Many employers have learned the hard way that online meetings aren’t the only remote work solution. In fact, 56% of employees say these sessions are too frequent or too long, and 42% say they feel Zoom fatigue. Avoid overload by promoting the use of asynchronous chat and collaboration tools like Slack. Also, let people choose when and how they want to conduct team meetings or 1-on-1 conversations.

3. Leave Room for Face-to-Face Communication

There is no substitute for in-person meetings. They are the fastest, most effective way to build trust and strengthen relationships. Even if you can bring people together only for an occasional planning, training, or team-building event, you’ll find it’s worth the investment.

4. Support Social Interaction

Connections won’t flourish with all work and no play. Encourage your entire staff to develop relationships by organizing online lunches, coffee breaks, and fun online events. Offer digital community tools and resources so everyone can casually exchange information and ideas.

5. Double Down on Appreciation

When organizations celebrate together, employees are 20x more likely to feel connected and want to stay on board. That’s an impressive reason to acknowledge personal and professional milestones. Set up a channel on Slack or Microsoft Teams for managers and peers to honor individual and team achievements, as well as birthdays and other life moments. Also, if you’re a manager, lead by example. Take time to acknowledge individuals, personally.

A Powerful Way to Connect: Send Flowers

I’ve discovered sending flowers is one of the simplest but most effective ways to help remote employees feel connected. Research says all humans have a basic need to be recognized. And the most successful kinds of recognition are timely, genuine, personal, and meaningful. Receiving flowers ticks all of those boxes.

How Flowers Made a Difference in My Life

As a flower delivery business owner, I’ve seen first-hand how flowers can play a key role during life’s most important moments. But I didn’t truly understand how much they mean until my father passed away.

My immediate family had ordered arrangements for the casket and the funeral service. But I was really touched when extended family and friends also sent flowers.

Initially, I was surprised. But upon reflection, I was grateful so many people wanted to express how much my dad meant to them by sending gorgeous arrangements. Through their efforts to honor his life with the beauty of flowers, I felt a deep emotional connection that remains with me to this day.

Social Flowers: An Easier Way to Connect With Remote Employees

I created Social Flowers so others could feel this same kind of connection. The idea is simple. We make it easy to send flowers to anyone, anywhere, anytime — even if you don’t know where they’re located.

When ordering, you simply enter the recipient’s email address or mobile number. They receive a link to choose where and when they want to receive their flowers, which a local florist delivers.

You can send flowers to celebrate a birthday, a work achievement, or just to brighten someone’s day. This service ensures that you can be present for all the important moments in a remote employee’s life.

How Social Flowers Works

How to send flowers to remote employees - an easier wayAs we’ve developed our business, I’ve relied upon Social Flowers, myself, to solve logistical problems that can make it difficult to send flowers.

In one case, I knew my friend Nancy was having surgery. I didn’t know the exact date of her procedure, or if she was staying at the hospital overnight, and I didn’t want to bother her. I knew where she lived, but I hadn’t been to her home in years and I couldn’t find her address. Fortunately, I did have her mobile number, so I used that to send an arrangement through Social Flowers.

After I placed the order, Nancy accepted the text notice and chose to receive the delivery at her house. Soon afterward, I received a “Thank you!” text from her. It’s gratifying to see first-hand how this modern tool makes it so much easier to keep in touch and support others when they need it most.

Closing Note

Helping remote employees feel connected doesn’t need to be complicated. Even small gestures can make a big difference whether people are face-to-face in an office, or are working together from a distance.

It’s the same lesson I learned from my father’s funeral. With sincere intent and just a bit of thoughtful effort, you can lift anyone’s spirits anytime. Chances are, that gesture will bring you closer together in a way neither of you will forget.

WOTC Prescreening Employer Tax Credit Compliance

The WOTC and Prescreening: How Employers Can Stay in Compliance and Reap the Benefits

Sponsored by ADP

The WOTC (Work Opportunity Tax Credit) offers businesses a tremendous opportunity for tax credits based on hiring. But for organizations to participate and leverage the advantages of this federal program, they have to be in compliance. That means prescreening applicants. Given the recent update released by the IRS that clarifies the need to prescreen, the time is now to learn more.

As with so many complex tax credits and other regulations today, successfully navigating them requires not only understanding how to stay within the bounds, but then how to create a process to make it part of your hiring system.

A Tax Credit and a Boost

The Work Opportunity Tax Credit (WOTC) was first introduced in 1996. Since then it’s gone through a number of changes and extensions, including incorporating a credit for long-term welfare recipients in 2006. It’s authorized to stay in effect until December 31, 2025, so it’s anything but a flash in the pan: it’s a well-institutionalized regulation.

It’s designed to be both a tax credit for employers and a boost for employees, a combination of business advantage and social good. Companies who hire those American job seekers who consistently face barriers to employment can see up to $9,600 per employee — depending on a number of factors. In turn, qualifying new hires get the chance to break free from depending on government assistance and become self-supporting, steady earners and contributing taxpayers.

Leveraging the WOTC means respecting it: in its intent, the WOTC is designed to lift the barriers to employment among specific groups, and that’s why it includes specific criteria for compliance. It’s also opening up wider talent pools for employers at a time when hiring is tight, to say the least — and this should be seen as an added opportunity.

For larger companies that hire in numbers, it could be a windfall if done right. For smaller businesses it can make a tangible difference in a hiring budget: for every 4 or 5 new hires who fit within the target group, you may have the means to hire another employee as well.

Who Qualifies

Employees need to belong to a list of targeted groups, as specified by the IRS, and jobs must entail a minimum of working hours. Pay attention to the descriptions as well as the durations specified in each (adapted here):

 

Qualified IV-A Recipient:

  • A member of a family that receives state assistance under IV-A of the Social Security Act providing Temporary Assistance for Needy Families (TANF)
  • Assistance must be received for any 9 months during the 18-month period, ending on the hiring date.

Qualified Veteran: 

  • A member of a family that receives assistance under the Supplemental Nutrition Assistance Program (SNAP) (food stamps) for at least a 3-month period during the 15-month period, ending on the hiring date, or
  • Unemployed for a total of at least 4 weeks (consecutive or not), but less than 6 months in the 1-year period, ending on the hiring date, or
  • Unemployed for a total of at least 6 months (consecutive or not) in the 1-year period ending on the hiring date, or
  • Entitled to compensation for a service-connected disability and hired not more than 1 year after being discharged or released from active duty in the U.S. Armed Forces, or
  • Entitled to compensation for a service-connected disability and unemployed for at least 6 months (consecutive or not) in the 1-year period ending on the hiring date.

Qualified Ex-Felon:

  • Hired within a year of either being convicted of a felony, or
  • Released from prison for the felony.

Designated Community Resident (DCR): 

  • At least 18 and under 40 years of age, with a principal residence either in an Empowerment Zone (EZ) or
  • A Rural Renewal County (RRC).
  • The WOTC credit doesn’t cover wages paid or incurred for services performed while the person lived outside of an EZ or RRC. (You can find the latest list of EZ and RRC designations here.)

Vocational Rehabilitation Referral: 

  • Has a physical or mental disability and was referred to the employer while receiving or upon completion of rehabilitative services under:
  • A state plan approved under the Rehabilitation Act of 1973, or
  • An Employment Network Plan under the Ticket to Work program, or
  • A Department of Veteran Affairs program.

Qualified Summer Youth Employee:  

  • At least 16 but under 18 years of age on the hiring date or on May 1 (whichever is later), and
  • Only working for the employer between May 1 and September 15 (not employed prior to May 1) and
  • Lives in an Empowerment Zone (EZ).

Qualified Supplemental Nutrition Assistance Program (SNAP) Benefits Recipient:

  • At least 18 but under 40 on the date of hire, and
  • A member of a family that received SNAP benefits for either the last 6  months or at least 3 of the last 5 months.

Qualified Supplemental Security Income (SSI) Recipient:

  • Received SSI benefits for any month ending within the 60-day period that ends on the hire date.

Long-Term Family Assistance Recipient: 

  • At the time of hiring, is a member of a family that meets one of the following conditions:
  • Received assistance under an IV-A program for a minimum of the prior 18 consecutive months, or
  • Received assistance under an IV-A program for a minimum 18-month period beginning after 8/5/1997, and it has not been more than 2 years since the end of the earliest of such 18-month period, or
  • Ceased to be eligible for assistance under an IV-A program up to but no more than 2 years before because a federal or state law limited the maximum time those assistance payments could be made.

Qualified Long-Term Unemployment Recipient: 

  • Unemployed for not less than 27 consecutive weeks at the time of hiring
  • Received unemployment compensation during some or all of the unemployment period.

How to Certify

Eligibility for WOTC is not as simple as just hiring a member of one of these underrepresented talent pools and receiving a credit. As with many federal programs, the devil is in the details — and you can’t certify after the fact.

The IRS recently published additional guidance that clarifies the need to prescreen, and how to do it. As the update notes, “​​To satisfy the requirement to pre-screen a job applicant, on or before the day a job offer is made, a pre-screening notice (Form 8850, Pre-Screening Notice and Certification Request for the Work Opportunity Credit) must be completed by the job applicant and the employer.

To reiterate, both employer and job applicant need to complete Form 8850 in advance. Certification has to happen before you can claim this tax credit, which means establishing that the employee you hired is indeed a member of one of the targeted groups on the list.

And there’s more: employees in the targeted list qualify as long as they work at least 120 hours — any less, and the hire isn’t in compliance. Employers also can’t claim the tax credit for rehired employees (it’s not that much of a stretch to imagine that some employers might think they could rehire an employee in order to certify them for the WOTC).

While the maximum credit is $9600 for an eligible employee, the amount of credit an employer receives depends on the WOTC target group identified, as well as how many hours the employee works:

  • If the employee works at least 400 hours during the first year of employment, the tax credit equals 40% of the employee’s qualified wages.
  • If the employee works less than 400 hours but at least 120 hours, the credit equals 25% of the employee’s qualified wages.
  • Eligible employees MUST work a minimum of 120 hours to qualify.

Reading Between the Lines

It means something that the IRS releases an update clarifying its rules on prescreening. Clearly, there were issues being found in terms of when employers were screening: noncompliance was on the radar. Compound that with wanting to increase participation in the program, and likely a decision was made that it was time to set the record straight. Again, complying with the WOTC could mean a major windfall for a larger employer and a key difference in the budget for a smaller one.

But many employers may have been caught in a blind spot. Some have been customarily conducting certain screening processes post-hire, considering the practice a viable shortcut. The intention may be to assume the new employee qualifies, since there has been some due diligence on the part of the employer already. Another assumption may be that by certifying after the hire is complete, the credits will come sooner. But both approaches are wrong.

For one thing, Form 8850 covers specific information in a specific way in order to certify a hire — and as such, is far more effective in terms of fact-finding for WOTC compliance. From an HR standpoint, since both employer and job applicant need to fill out the form, there may be more incentive for the applicant to get all the information right if it helps boost their getting hired. And minor missteps can really add up, putting companies at greater risk, and great costs stemming from an accumulation of noncompliant hires.

Getting the Process Right

Simply making the shift to when an employer conducts screening and sends in their certification request, and then keeping clear and adequate records to stay in compliance would make all the difference. Here’s what you need to know:

Recruit potentially eligible candidates through the state workforce agency (SWA) or the local employment office. Then, screen them: the applicants need to answer the questions on page 1 of IRS Form 8850 on or before the job offer date. 

If the applicant is eligible (they qualify for one of the WOTC target groups), the next step is up to the employer. Employers must sign and submit the IRS Form 8850 — as well as Department of Labor (DOL) ETA Form 9061 or 9062 to the state workforce agency (SWA) within 28 calendar days of the new hire’s start date. 

Keep careful records of hours worked and qualified wages paid. Remember: WOTC-certified employees need to work at least 120 hours in the first year of hire.

Claim the tax credit using IRS Form 5884, and make sure you have not only accurate records but copies of all the forms and supporting documents submitted to the SWA. Keep tracking your employee’s hours in case the IRS wants to conduct an audit.

Better Practices, Better Results

Remember: audits potentially contributed to the IRS’ decision to publish an update with clarifying language on the need to prescreen. It’s clear some employers weren’t being compliant. The line in the sand has already been drawn. But it’s also possible that not all employers are aware of the ramifications of being out of compliance with the WOTC.

Not only does post-screening forfeit initial benefits, but there’s an overall risk of having the WOTC credit revoked if an employer is found to have systematically not complied with prescreening requirements. In a big company that is always hiring, that could be a disaster.

The solution isn’t to hope for the best here. It’s to lean on solutions that help you make the shift without adding complexity. An integrated solution can make it far easier to change a long-held process consistently across the board. But given the historic lack of clarity on compliance and why shortcuts won’t work, this may be the time to look for better guidance.

The Benefits of an Outside Provider

Consider partnering with an outsourced solution provider who has experience with prescreening. A solution provider who has a solid track record with successful prescreening will be able to create a better process that’s streamlined and efficient. They can help get your organization over the common hurdles and build better ways to ease the pain points.

Given the pressures organizations are under — from intensely competitive hiring to a need to scale and adapt within shorter windows than ever — being able to leverage the advantage of the WOTC could be a key differentiator.

Minimizing your organizational exposure to risk is never a bad idea. But having a well-run, successful, WOTC-compliant hiring program may do even more. It’s a huge boost to its employer reputation that could pay off in a steady talent pool and a great workforce.


EDITOR’S NOTE: ADP has developed additional information about the WOTC and how employers can apply it. Learn more here

Screening Job Candidates Online: Risky Business?

Sponsored by: Fama.io

It’s no secret. On a daily basis, recruiters and hiring managers are screening job candidates online by simply entering their names in search boxes at Google, Facebook, LinkedIn, Twitter and beyond. Experienced professionals know they shouldn’t be doing this, but many do it anyway. Why?

The Slippery Slope of DIY Candidate Screening

Publicly available online information can reveal a lot about potential employees. It gives employers insight into an individual’s hobbies, interests and personality traits. It also shines a light on controversial opinions, political affiliations and protected class information. 

Gaining unrestricted access to a candidate’s public social media profiles may be easy. But instant access isn’t a free pass to engage in unethical or potentially illegal hiring practices.

That’s why it needs to stop. Screening job candidates without permission is an invasion of their privacy rights — especially the right to consent to the search.

Catching Up With the Rules

To be fair, most recruiters and hiring managers don’t fully understand laws involving online background screening. That’s partially due to the relative novelty of this practice, as well as a lack of updated guidance.

But now that online screening has become so widespread, employers need to know how to protect their organization as well as job candidates. That’s why it’s important to understand the Federal Fair Credit Reporting Act (FCRA).

Learning how to comply with these regulations is worth an employer’s effort. Online screening can be a powerful tool to determine an individual’s hireability. And when performed correctly, an online background check is an effective and perfectly legal hiring practice. 

How can you make this process work better for your organization? Let’s look closer at key legal aspects of screening job candidates online. First, I’ll explain how problems tend to arise. Then, I’ll suggest steps for a fully compliant, worry-free screening process. 

Understanding the Controversy

Why exactly is social media screening so controversial? Calling it an invasion of privacy is hard to defend, since many social media profiles are publicly available. Furthermore, applicants freely choose what, when and how they share on their social media profiles.

Much of this information may reflect positively or negatively on a candidate’s ability to perform in a work-related capacity. For example, education, work history, extracurricular activities and hobbies are often prominently featured on social media profiles. And employers typically evaluate this kind of information during the interviewing process, anyway.

However, the issue isn’t about employers using information that would otherwise be discussed during a standard interview. Instead, it’s about access to information that organizations are legally and ethically obligated not to consider.

We’re talking about legally protected categories such as race, ethnicity, gender identity, sexual orientation, disability status or religion. This is where issues arise, because the moment anyone views a social media profile, it may inherently reveal details about protected categories.

How Widespread is This Practice?

In a 2018 CareerBuilder survey, 70% of employers said they regularly review social media profiles as part of the hiring process. Furthermore, 54% acknowledged that they’ve rejected applicants based on a social media review.

However, the survey does not indicate how often social media reviews were being conducted by hiring managers who are legally obligated not to consider protected information. 

When used correctly, online screening can highlight positive work traits like compassion or open-mindedness. But it can also reveal negative traits. For example, what if a candidate threatens others in a post or shares a video while committing a violent act? This kind of behavior isn’t welcome in the workplace and would likely hinder the candidate from performing effectively in any role.

Steps to Achieve Better Outcomes

For a fully compliant screening process, consider these best practices:

1. Clarify the Rules

Defining a clear set of guidelines is essential for all background check methods — including online screening processes. According to leading U.S. employment attorney, Pam Devata, “In general, the same rules apply, whether you are using social media or more traditional methods for conducting background checks.”

In a recent interview, Devata explained, “The keys are consistency, accurate record keeping, ensuring that any data accessed is not legally protected information prohibited from being used in employment decisions, and that any decisions are rooted in business necessity.”

2. Focus on Documentation

Before attempting to navigate the nuances of social media screening, it’s important to establish consistent, generalized hiring practices across the organization. This includes putting a process in place to record and track all pre-employment decisions and FCRA-required disclosures.

Although it can be challenging to document online screening activity, consistent, accurate record-keeping will put your organization in a better position to address any issues that may arise. 

3. Partner with a Specialized Service Provider

One of the easiest ways to address the complexities surrounding online candidate research is to rely on a trusted online background screening partner like Fama.

With a proven, independent team managing the screening process, employers can gather only the information needed to assess an applicant’s job potential, without the risk of revealing protected categories. In fact, the strongest digital screening solutions include compliance filters. This ensures that reports shared with hiring teams focus solely on job-relevant information.

At Fama, we go beyond bare-minimum compliance protections by applying ethical AI and machine-learning technology. Also, a team of skilled humans reviews our screenings to ensure their legitimacy and accuracy. This helps us continuously improve our screening capabilities and our results.

Final Thoughts

No doubt, social media screening is bound to remain a controversial topic. But when you’re not sure about the legal implications, it’s important to avoid the false assumption that it’s safe to assess a candidate’s online presence on your own.

Guaranteed compliance is always possible by working with an objective, third-party screening solution. This means your team will benefit from a fully compliant screening process. And ultimately, it means your organization can focus on finding the best candidate for every job.

Are you ready to lead your business through uncertain times? Check this #WorkTrends podcast for insights from tech CEO and Founder Ronni Zehavi as he talks with host Meghan M. Biro

Are You Ready to Lead Through Uncertainty?

Sponsored by HiBob

As 2023 begins, the world of work is bracing for a rough ride. For more than a year, inflation has gripped the economy. Previously unstoppable tech companies are reeling from recent layoffs. And other industries are tightening their belts, as a recession now seems unavoidable. What will it take to lead through uncertainty?

Strategies that helped organizations thrive under different circumstances are no longer relevant. But during lean times, how can you preserve what’s valuable and unique about your organization? This question is top-of-mind for leaders everywhere. So let’s get advice from someone who understands the factors driving today’s business climate:

Meet Our Guest:  Ronni Zehavi

Today, I’m thrilled to welcome Ronni Zehavi, Co-Founder and CEO of modern HR platform provider, HiBob. After more than 25 years of experience in launching and leading successful technology companies, Ronni knows first-hand how to guide organizations through volatile, uncertain circumstances. Now he’s sharing his unique perspective and expertise to help others lead through uncertainty.

Managing Multiple Unknowns

Welcome, Ronni. Let’s dive right in. How can organizations navigate through uncertain times?

It’s a bit like driving a car. In 2021, driving fast may have been easier because the road was clear. But today it’s bumpy and cloudy. No one knows when it will end, so you need to slow down.

2023 is going to be challenging. First, read the map and then adjust your plan. How long is your runway? Do you have enough cash? Do you have enough funds to weather the coming storm?

Then look realistically at the environment. A slowdown will have an impact on your customers as well as your organization. Will you be able to generate the revenues you expect?

The Long Game

The economy will eventually bounce back. How can we prepare for that now?

It starts with your people. Invest in them. Make sure you can retain all of them. Or, if not all of them, focus on your most important people. Because you’ll want them to be with you when the tailwind comes.

And more than anything else, think positive. What goes down comes back up. So optimism is critical.

How to lead through uncertainty

JOIN US ON TWITTER!

What About Layoffs?

Is there a right way to reduce headcount? How can leaders avoid damaging their company culture?

Layoffs are only one option in a CEO’s toolbox when adjusting to a difficult environment. First, you may decide to slow down hiring. If a slow down isn’t enough, then you may need to freeze hiring or freeze salary increases, or both. And if needed, the next option could be salary cuts or layoffs. One or both.

But it is important to think about the people who stay as well as those who are laid off. Retention can be affected when those who remain are expected to do the job of two people or even more.

Communication and transparency are critical to preserve your culture.

Can Flexible Work Help?

Do you think economic changes will influence where we work? 

I don’t think so. I think hybrid work is here to stay. Flexibility was a nice-to-have perk a few years ago. But the pandemic proved that organizations can deal with it.

The ultimate combination is two or three days at the office or two or three days remote. It offers flexibility, but it keeps engagement and collaboration among people.

How to Support Hybrid Work

I like the idea of finding a balance between onsite and remote work. But how can leaders accomplish this? 

It’s a journey. It will take time until we get there as a standard. But flexibility is all about what we call internally, The Three T’s:  Trust. Transparency. Teamwork.

If your organization follows these values, it will help you create a flexible work culture.

 


For more insights from Ronni about how to lead through uncertainty, listen to this full podcast episode. And be sure to subscribe to the #WorkTrends Podcast on Apple Podcasts or Stitcher.

In addition, we invite you to join our live Twitter chat about this topic on Wednesday, January 25th at 1:30pmET/10:30amPT. Follow @TalentCulture for questions and be sure to add the #WorkTrends hashtag to your tweets, so others in the community can easily find your comments and interact with you!

Also, to continue this conversation on social media anytime, follow our #WorkTrends hashtag on Twitter, LinkedIn, and Instagram.

How to Improve Employee Experience with HR Tech

5 Ways to Improve Employee Experience With HR Tech

Sponsored by: Neocase

Did you know more than 160 million people are employed in the U.S.? Unfortunately, however, rising turnover is eroding workforce retention. In fact, 48% of hiring managers say turnover is higher this year – up from 44% in 2021. And the cost of replacing those people isn’t cheap. No wonder employers want to build a positive work culture that attracts and retains top talent. That’s why many are turning to HR technology to improve employee experience.

But here’s the catch: In recent years, the HR tech landscape has been bursting at the seams. This means choosing the best solution for your organization’s needs can be overwhelming. To overcome this obstacle, think first about how you want to improve employee experience, and work from those objectives to define your selection criteria.

HR Technology 101

To provide some context, let’s start with a brief overview of core HR systems. In most HR technology stacks you’ll find at least one of these systems as a foundation for all other people platforms, tools and applications:

1. HRIS Human Resource Information Systems

HRIS was developed to help organizations track and store employee data and records for essential administrative needs. As the HR function grew more complex, HRIS platforms added modules to support talent acquisition processes and recruitment operations, as well as employee information management and maintenance. 

2. HRMS – Human Resource Management Systems

Over time, HR became more deeply integrated with other functions, so HR tracking software had to meet these expanded business requirements. Now, HRMS/HRIS systems are used interchangeably to support operations such as payroll, time tracking and compliance management. 

3. HCM – Human Capital Management Systems

HCM supports a more expansive set of HR operations, including employee performance analysis, compensation planning and projection, workforce development and more.HCM covers all HR functions with a comprehensive solution that can be customized to support the entire employee lifecycle.

Why Employee Experience Matters

A strong employee experience is essential to attract top talent and keep people engaged with your work culture. As Gartner says, “Employee experience is the way employees internalize and interpret the interactions they have with their organization, as well as the context that underlies those interactions.”

But as many organizations have discovered, an exceptional employee experience isn’t easy to develop and maintain. In fact, according to Gartner, “Only 13% of employees are fully satisfied with their experience.

What’s at stake? A negative employee experience leads to low morale, poor work performance, and other issues that directly affect organizational culture and business results. On the other hand, a positive employee experience helps lift morale, productivity, efficiency, and work quality.

How HR Tech Can Improve Employee Experience

Clearly, creating the best employee experience possible leads to significant business benefits. So, to achieve the highest potential impact, consider these five priorities:

1. Automate Tasks and Streamline Workflows

Is anything worse than monotony? It is just as painful for your HR team as it is for others in your organization. Many manual HR tasks are excellent candidates for automation. Focus first on business processes that will free your HR team from tedious, time-consuming, redundant paperwork, and email communications.

Start by developing an employee journey map to better understand your current processes. Then look for bottlenecks, gaps, and disconnects. These issues are opportunities to streamline processes or speed response times.

Organizations often begin by mapping onboarding or offboarding processes. This ensures that an employee’s first and last impressions will align with company values and the employer brand.

2. Gather Employee Feedback

A silent employee can be a dangerous or at-risk employee – even if they don’t realize it. Many workers hesitate to speak up for a variety of reasons. Some fear punishment if they express negative opinions, while others think their input won’t be heard or appreciated.

If an employee doesn’t have a chance to share feedback or ideas, they could feel undervalued and unimportant. You can remedy this with HR technology specifically intended to improve communication.

Consider feedback tools that encourage employees to make their voices heard. Monthly surveys, quarterly outreach messages, and other kinds of digital communication can help build stronger connections and spark more useful conversations.

But that’s just the beginning. Once you receive input, you need to respond or implement changes. Otherwise, people could become more frustrated if you solicit input but don’t seem willing to act upon it.

3. Provide Self-Service Portals

One of the best ways HR technology improves employee experience is through self-service applications. Many platforms can help organizations build and deploy custom tools that help employees serve themselves at their convenience.

One of the best-known examples is a benefits portal. Many employers offer secure web-based destinations with all the information and tools people need to research, select and manage their particular benefits. This frees employees from having to manage the constant back-and-forth of emails or phone calls just to get basic benefits information or answer common questions.

This kind of solution increases efficiency, while giving employees more control. At the same time, portal analytics can help your HR team understand employee preferences and identify content and functionality that can better them.

4. Offer Anywhere, Anytime Access

Unfortunately, many employees feel totally disconnected from HR. Some need guidance and oversight, but HR teams and managers are stretched too thin to engage.

Integrated real-time HR communication tools can help you and your management team focus less on paperwork and more on people. Think of it as the digital equivalent of an office with an open door!

The benefits of integrated communications extend to employees, as well. This leads to a more closely-knit workplace culture that operates more efficiently and is better aligned with business priorities.

5. Design Intuitive Workflows

Demand for better, faster response started with customer service. But it has quickly spread to internal organizational functions, as well.

When we ask HR a question, we want the answer now. We also want to find answers ourselves, ideally with no more than one or two taps on a smartphone.

This aspect of HR technology requires decision-makers to put themselves in an employee’s shoes for a reality check. How easy is it to perform a task you want to accomplish? For example, if you’re a full-time manager using a self-service benefits portal, how intuitive is the path to information you need at the moment you need it? How much information do you have to dig through to find a useful answer?

This aspect of HR technology is central to the employee experience. Why? Because, if employees struggle to use a digital tool, they will also struggle to adopt that tool and succeed with it.

Final Thoughts

HR technology can play an important role when you want to improve employee experience. Whether you’re implementing a self-service portal to support job applicants, deploying an employee feedback tool or expanding business process automation to improve HR response times, your efforts can positively influence talent acquisition and retention. These 5 priorities can help your team focus on solutions that will make a strong impact.

Why Build Your Own Freelance Talent Network

Why Build Your Own Freelance Talent Network?

Sponsored by: Worksuite

The case for building a flexible talent network has never been more compelling. During the “Great Resignationof 2021, 47 million U.S. employees voluntarily left their jobs. And in 2022, a wave of disengagement took hold among remaining workers, giving birth to the term “quiet quitting.” Now as 2023 begins, the global talent shortage continues to play havoc with hiring strategies.

Access to skilled people who can keep your business moving forward is no longer a sure thing. That’s why smart employers are investing in freelance talent options. But what’s the best way to find and manage a qualified pool of on-demand talent?

When building a contingent talent network, you may be tempted to source contractors from public marketplaces. This seems easy enough, but it can be a frustrating and time-consuming option. On the other hand, if you run an established business, you could grow your own talent pool by leveraging your brand presence, network connections and internal resources.

This do-it-yourself approach means you don’t need to rely on potentially low-quality, unknown talent from a third-party network. However, it does require some careful planning. So to help you achieve better results, here are our best tips for sourcing, hiring and retaining top freelance talent.

Why Avoid Public Talent Marketplaces?

Marketplaces like Fiverr and Upwork are often an easy and popular first stop for employers seeking on-demand talent. And they can be useful if you need support in a pinch. Whether you’re looking for developers, designers, writers, or photographers, these platforms let you choose from hundreds of eager freelancers — often at bargain prices. 

But with so many potential candidates for every opportunity, finding a freelancer who meets your specific requirements can take longer than you’d like. And these marketplaces tend to produce hit-or-miss results. Here’s why:

1. Barriers to Entry are Low

It’s possible to find some fantastic people on these platforms. But sourcing them can be time consuming for your managers and teams. That’s because it’s so easy for anyone to join these public marketplaces. No experience or qualifications are necessary. All it takes is an account and a profile that attracts clients.

Literally anyone can promote their freelance services on these sites, whether they’re capable and qualified, or not. You never know exactly what you’re getting until you actually work with a contractor.

2. Faking Performance Rankings is Easy

You might think it’s a safe bet to hire a freelancer with hundreds of glowing five-star customer reviews. But don’t be fooled. Social proof can be easily bought.

Positive reviews are essential to get found and hired from among the hundreds of other marketplace hopefuls. So naturally, freelancers want to look as good as possible, as fast as possible. But accumulating strong legitimate reviews for freelance services takes a lot of time and effort.

Artificially enhancing your marketplace ranking is illegal. Nevertheless, this has spawned an underground network of people who buy, sell, and exchange reviews so they can get ahead.

These false ranking services aren’t visible on public freelancer marketplaces. But a Google search quickly reveals plenty of opportunities to buy or swap reviews in places like these:

Some websites even blatantly offer to help freelancers falsify their marketplace rankings. Well-known options include ReviewXchange and Fiverr 5 Stars

Bottom line: When hiring from public freelance marketplaces, “buyer beware” is a smart strategy. But if you can achieve better results in other ways, why take unnecessary chances and spend limited time and resources on public marketplaces?

Are Any Public Talent Marketplaces Credible? 

If your only option is hiring from a third-party marketplace, we recommend considering a handful of “focused talent service platforms” (FTSPs). Freelancers accepted by these platforms have been rigorously screened to ensure they are qualified for positions they’re pursuing. This reduces your risk as a hiring organization and makes it easier for you to conduct a talent search with confidence.

Below are four viable FTSPs that offer fully vetted, high-quality talent:

  • MarketerHire — Provides access to qualified marketing specialists
  • IndieList — Offers carefully-screened freelancers, contractors, and consultants from Ireland 
  • BetterUp — Connects businesses with expert coaches
  • Springboard — Provides access to fully trained, vetted professionals in cybersecurity, software engineering, design, data science and tech sales

Harnessing the Power of a DIY Talent Network 

Generally, businesses recognize it’s cheaper and easier to retain existing customers rather than continuously hunting for new prospects. The same principle applies to talent acquisition. An internal talent pool offers multiple benefits:

1. Speed to Hire 

Sourcing new talent often requires substantial time from your team. But by tapping into an existing talent pool, the process can be as fast as running an advanced search in your freelancer management system database to find the best fit among available people.

A good platform can provide granular details about anyone in your talent pool. For example, you should quickly be able to find someone in your extended organization who has demonstrated the skills you need on another project. You may also see a note or ranking about this person’s contributions, so with only a few clicks you can determine the strength of the individual’s qualifications.

2. No Training Downtime 

Your existing talent is already familiar with your organization, its operations, and its work practices. This means you don’t need to spend extra time continually onboarding and training new people.

3. Leverage Talent Across Your Business 

By extending access to existing talent across your organization, you can improve cross-functional business performance and reduce overall hiring spend.

4. Grow Your Internal Talent Pool 

Freelancers don’t exist in a vacuum. They all are connected with other skilled people. You can expand your internal talent pool by tapping into these networks. It’s as easy as sending emails requesting referrals.

Experienced freelancers won’t refer you to people they don’t trust because they know it could damage their own reputation. But many will happily refer viable colleagues.

You may decide to incentivize referrals – or not. Either way, existing contractors can be a highly effective and efficient source of network growth.

For example, with an internal talent network platform like Worksuite, you can use the Marketplace module to post and share opportunities for upcoming work. You can also vet new candidates, assign work opportunities to individuals, and invite them to submit RFI-style proposals for upcoming projects. In addition, you can maximize your reach by sharing new opportunities with both internal and external sources.

Where to Look for Contingent Talent

Freelance marketplaces and job boards aren’t the only way to find great contingent talent. Consider these alternatives: 

  • Social Media — Outreach on platforms like Twitter and Facebook can attract candidates from members of your global brand community.
  • LinkedIn You can search and contact freelancers directly or spread the word more broadly with posts on your LinkedIn company page or in specialized groups.
  • Referral Campaigns — Offering “finders fees” for referrals from employees and contractors can generate significant interest.
  • Alumni Talent Pools — Adding former employees and contractors to your database of on-demand resources is an easy way to maintain ties with qualified people.
  • Networking at Industry Events — Gathering profile data from participants at key professional conferences and other events can help you easily develop an extensive pipeline over time.

Developing Talent Network Trust and Loyalty

Sourcing is vital when building a high-quality freelance talent network. But that’s only the beginning. It’s also vital to keep people onboard and engaged with your organization.

Freelancers (especially in the Gen Z age bracket) know many opportunities are always available online. All it might take to land the next assignment is a single email or application. To keep potential candidates connected with your company, you’ll want to develop trusted relationships with valued contractors.

For example, these tactics are often effective:

  • Assign a steady, interesting flow of work opportunities
  • Communicate regularly and directly with active members
  • Gather ongoing feedback with periodic surveys 
  • Offer new assignments that expand on relevant skill sets
  • Provide loyalty incentives
  • Host annual awards to recognize excellent performers 
  • Increase pay rates to ensure top members are appropriately compensated

 


Worksuite: A Talent Network Solution

If you want to develop and manage your own talent pool, a specialized solution like Worksuite can make the process much easier. This platform includes essential features and metrics employers need to build and maintain a compliance administration and quickly identify top candidates whenever contractors are needed. Here’s how customers use Worksuite to support freelance talent strategies

1. Customize Onboarding Workflows

Worksuite partners with you to create an onboarding process that meets your exact needs. This includes capturing all the contracts, documents, tax information, and banking details needed before new freelancers are assigned to any project.

2. Add and Invite Freelancers to the Platform

Use sourcing and onboarding tools to reach out to prospective talent, and add qualified individuals to your detailed, searchable internal talent pool hub.

3. Ensure Contractor Compliance

Before assigning work to a freelancer, you must ensure they’ve received proper background checks and are compliant. This prevents costly legal problems down the road, especially when hiring global talent.

With Worksuite, background checks are managed through our partner, Checkr. This saves time for you as a hiring company while giving you peace of mind that every contractor you hire is legitimate. Worksuite also coordinates compliance administration. So, whether you’re working with 10 freelancers or 10,000, you know all NDAs, contracts and tax documents are in place to meet local and international regulatory requirements.

4. Publish a Searchable Talent Directory

Posting profiles of everyone in your talent pool gives your team a highly accessible overview of every contractor in your database. You can dive in deeper to see more details for any individual. Also, freelancers can access and edit their own profiles to be sure their information is always up to date.

5. Assign Groups, Tags and Rankings 

In addition to using the platform’s overview capabilities, you can easily organize freelancers in your dashboard. This gives HR and hiring managers full transparency into a member’s work history, background information, experience, skills, and abilities. 

You can also segment members into custom groups that make sense for your business, so you can easily search and select ideal candidates for any assignment at a granular level.

6. Rank, Rate, and Review Freelancers 

Talent rankings, ratings, reviews, and internal notes help your hiring team easily find any freelancer’s performance record at a glance. This helps you quickly decide who should be assigned to an opportunity (and who would not be an ideal candidate).

7. Track Key Metrics 

With Worksuite, you can set up metrics that reflect the quality and quality of deliverables your contractors produce. Here are some examples of metrics that help customers identify attractive candidates: 

  • Highest-rated members
  • Most engaged members
  • Talent active on multiple assignments (vs. only one assignment)
  • Percentage of assignments canceled prior to the start date 
  • Percentage of assignments rejected by members
  • Average number of assignments per member
  • Individuals who have not been assigned to any projects within the last 12 months 

8. Communicate Regularly With Network Members

You can manage all communication with network members directly from the Worksuite platform. Also, you can send personalized bulk messages using your organization’s filters. This helps freelancers stay engaged with your business, and keeps them up-to-date with your news and job opportunities.

9. Archive Talent Records

With Worksuite’s archive feature, you can remove access to the platform for freelancers who haven’t worked with you in more than 12 months. This helps keep your talent database current, so you know who’s still interested and available to work with your organization.

 


EDITOR’S NOTE:
To learn more about how Worksuite tools and services can help you start or grow a high-quality freelance talent network, contact Worksuite directly.

Job Design: Is it time to rethink your approach? Learn more in this article...

Job Design: Is It Time to Rethink Your Approach?

EDITOR’S NOTE: This is the last article in a 4-part series sponsored by Unit4. The series outlines a new approach to talent strategy for people-centric organizations. This final post looks at why and how employers should rethink job design.


 

As we close this series about how employers can reinvent their talent strategy for the future of work, we turn our attention to one of the most important ways to attract and engage the people your organization needs to succeed. Namely, we’re looking at why this is the right time to revisit your approach to job design.

For most of the past 100 years, employers have used the same techniques to scope job vacancies, write job descriptions, and hire employees to fill roles. But these classic job design methods aren’t particularly efficient or effective.

In fact, only about 50% of interviewed candidates who receive a job offer actually become employees. Plus, the talent acquisition process, itself, is expensive. This means the perceived cost of a “bad hire” is so steep that decision-makers often become paralyzed. And that inaction forces organizations to offset costs by relying too heavily on long tenure.

It’s not an ideal solution by any measure. But focusing on the 4th talent strategy pillar can help you address these issues. How? Read on…

Reworking Job Design: Where to Start

Employers can no longer afford to ignore the need to address ever-changing talent rosters. Average employee tenure is decreasing, even as demand for future-ready skills is increasing. This means leaders must fundamentally rethink the way they structure jobs.

Here’s a good starting point: Design new roles based on the assumption that whomever your hire will stay onboard for 2-4 years. Then work backward from there.

In this game plan, onboarding and robust initial training are especially important, so you can ensure faster time-to-value from new hires. In addition, jobs designed with shorter tenure in mind will benefit from being supported by onboarding and “bedding in” processes that are much more tightly controlled.

This means that skills mapping, employee learning, and professional development will need to become a more prominent part of the HR function, along with talent pipeline development. It also means that the skills you expect to develop in employees should become central to the benefits you offer candidates.

Reframe Benefits for Shorter Job Cycles

In addition to packaging skills as benefits, you’ll need to reorient benefits so they’re compatible with shorter terms of service. Rewards for time-in-role or time with the company are relics that don’t make sense in today’s workplace. They need to be replaced.

For better results, focus on performance-based incentives for contributions to specific projects and programs with more clearly defined targets and expectations.

What Does This Look Like? An Example

One way to illustrate this new approach to job design is through the rise of the contractor. This increasingly popular option is a way to tap into skilled talent on a temporary basis. It helps employers find and deploy people more quickly, while simultaneously reducing operational overhead and risk.

At the same time, contractors benefit from more options in today’s predominantly hybrid working environment. They also benefit from a faster learning curve that comes from working on a more diverse portfolio of projects over time.

Reliance on contractors has increased dramatically—but not at the same rate in every region. For example, in the U.K., contractor usage has grown by about a third since the 2008 financial crash. By comparison, in the U.S., it has surged by the same proportion since only 2020.

Nevertheless, the shift to a contingent workforce shows no sign of diminishing. And many organizations still struggle to find permanent employees in today’s tight labor market. So the advantages of hiring contractors make project-oriented hiring a highly attractive option.

Repackaging Jobs to Attract Top Talent

In your job descriptions, do you still use this kind of phrase?

“The successful candidate must be willing to…”

If so, prepare to leave that kind of thinking behind. Instead, think in terms of asking this question:

“How do you want to work for us?”

In other words, you’ll need to let new hires determine some of the terms of their engagement with you. This makes sense because it encourages deeper ownership of the role’s success. Besides, if you’re designing jobs around shorter “tours of duty” with specific goals and objectives, why not configure these positions so they can be performed on a contract or project basis?

This model offers multiple benefits:

  • You can more accurately assess jobs and redefine them so they deliver the most value to your organization.
  • You’ll be better prepared to tap into a much larger talent pool. (After all, the huge increase in today’s contractors is coming from somewhere. That “somewhere” is the rapidly growing segment of the working population currently seeking greater flexibility in how they market and sell their skills.)

Where to Find Help

This blog series may be over, but your job restructuring journey is just beginning. For an in-depth view of our insights into this and other future-minded strategies for people-centered organizations, download our white paper:

Rebuilding Talent Strategy: Finding and Retaining People in a Changing World.

Also, as you consider technologies needed as the backbone of a reimagined talent strategy, we invite you to take a closer look at our ERP and HCM suite of solutions. These advanced platforms can provide the advantage your business needs to stay at the forefront in the future of work.

For example, you’ll be better equipped to:

  • Audit and map workforce skills
  • Target and deliver timely, relevant learning and development programs
  • Take the pulse of workforce engagement
  • Increase pay equity and transparency
  • Provide people with seamless connections to colleagues and resources in hybrid work settings.

In combination, these capabilities can help you build sustainable business value, going forward. To learn more about how Unit4 solutions can make a difference for your organization, book a demo here.

 


Related Reading

For other articles in this series, check the following links:

Part 1:  Reimagine Talent Strategy: Make Development a Core Part of Your Business

Part 2:  Commit to Careers

Part 3:  Engage in the Employee

 

Hybrid

How the Era of Hybrid Work Impacts Employee Travel, Spending, and the Workplace Experience

Sponsored by: SAP Concur

The next chapter of the future of work – hybrid work—is underway as businesses return to the physical office in some capacity while honoring employee flexibility to work from home. Hybrid work is new territory, and there’s more to consider than desk assignments. 

With employees working from different locations on any given day, there’s a need to reconsider the processes and policies that govern day-to-day work. Especially when it comes to employee spending. 

Here’s what is important to know about employee spend – through travel and expenses – in the era of hybrid work, and how it impacts the workplace experience.

Work From Anywhere Business Trips

Business travel took new shapes during the pandemic. While many organizations paused formal travel programs, some employees took personal trips with a business component. For example, the “work from vacation home” trend. Workers took advantage of remote work settings by taking trips with long stays. All they needed was Wi-Fi and a charging station, and they could work from Hawaii for a month. 

The flexibility to mix work and personal trips is likely to stick and become an expected aspect of workplace benefits. A recent SAP Concur survey of 1,000 U.S. business travelers found that nearly half of business travelers perceive “bleisure” travel – taking personal time off while on a business trip – as a standard workplace benefit. 

The hybrid workplace is likely to travel as well. Business travelers say that common workspaces during a business trip have included a café or coffee shop (70%), lobby (64%), waiting room (57%), and poolside (31%). Employees are now used to working from the couch or their bed. It makes sense that they’re more accustomed to non-traditional workspaces during business trips as well. Now, they’ll appreciate the flexibility to choose alternative lodging accommodations or casual business meeting spaces. 

As a side note, more than a third of business travelers (39%) have reported working from a restroom. But we’re not anticipating the start of porcelain cafes. 

Bumps in Hybrid Spend Processes

The hybrid work environment calls for adapted spend management processes. Not only are employees spending on new expense categories, like home office equipment, but the associated processes used to manage spending have typically relied on workers being in the office. Now, they’re conducting business from waiting rooms or restrooms, and without proper infrastructures, errors are likely to occur. 

An SAP Concur survey of 100 U.S. finance managers and 1,000 U.S. business travelers found that nearly all finance managers (98%) have seen an increase in non-compliant expenses during the past year. Though most (53%) believe those expenses stem from unclear policies, employees admit to being a bit more mischievous. Nearly two-thirds of business travelers admit to intentionally trying to get reimbursed for personal expenses. In fact, nearly all (89%) have submitted at least one travel expense in the past year that might have violated their company’s travel policies. On average, $3,397 of questionable expenses.

What could be motivating employees to skirt policies? In the past year, 86% of business travelers have reported that their company has been delayed in reimbursing their business expenses at least once. Nearly all agree this impacts their personal finances. Many people have been challenged by rising costs from inflation. As a result, late expense reimbursements that create added stress for workers are an issue.  

The Digital Office

One aspect of work provides consistency: the digital office. No matter where employees are, they’re plugged into digital infrastructures that enable them to do their best work. Travel and expense management solutions should fit within this framework and enable workers to make purchases, on the go, simply. 

Learn how to support and adapt to the future of travel and expense management in our eBook.

The Great Resignation

The Great Resignation – When Employees Woke Up

2021 turned out to be a year that introduced many new terms into the common vocabulary. One of the most popular terms – The Great Resignation.

  • Pandemic
  • Hybrid Work
  • Non-Fungible Token – and many more 

For the human resource professional, none turned out to be as life-changing as “The Great Resignation”, at least, on the professional front. 

Sure, for HR teams, the pandemic caused a lot of strife. Re-engineering of processes that support the hire to retire Lifecycle of employees, was the need of the hour. Supporting colleagues as the threatening environment led to mental health issues, was equally, if not more, important. Amidst all of this, however, what ended up taking precedence was hiring. Fueled by the aforementioned wave of resignations that corporates witnessed. But, why did The Great Resignation happen? 

Let’s try and understand this by recounting the sequence of events that occurred starting in early 2021.

The Great Resignation – Why?

When the pandemic initially started digging in deeply across the world leading to lockdowns (or curfews or variations, thereof), the expectation was that hiring would stall. That companies facing a business impact would control operational costs by laying off or redeploying their staff. Unsure about the way the economy would play out, most organizations tended to err on the side of caution. Consumers were, after all, expected to become conservative and cautious in their approach.

What happened, however, was quite unexpected. For the most part, consumers changed their behavior while making their purchases. The growing e-commerce world became the gateway to personal happiness in a much bigger way. Unable to visit farmer’s markets and malls, shoppers filled up their e-carts. Clicking away on their screens, keeping the economy going. Restricted from dining at their favorite hangouts, people ordered in, making full use of services like UberEats.

Unexpected Revenue Shifts

Other than in industries like travel and hospitality, executives in most other sectors were pleasantly surprised to see that the dive in revenues and profits was not as sharp as expected. In many cases including technology and healthcare, there was a rise! 

As swiftly as the revenue graphs had sloped downwards, they turned upwards and started reaching new highs! Further waves of the pandemic led to additional learning over the course of the following months. This experiential learning enabled policymakers to change their approach when it came to managing their economies.

At the start of the pandemic, many governments across the world had locked down their entire nations. In more recent times, the preferred approach has been to try and create containment zones whenever there seems to be a fresh outbreak of the virus. This new mechanism of fighting the spread of this disease is extremely beneficial for the world of business. It prevents a complete stop of the production cycle.

So, what has been the benefit of this new reality for our workforce?

The Destruction of Boundaries

For the first time ever in many industries, “human capital” is truly free from the shackles of the physical office space. The past twenty-odd months have shown us that work can continue seamlessly even when carried out remotely. All it needs to keep these running smoothly is an evolution in work practices.

Even in organizations that are in the manufacturing or product space, there are enough roles that can be played off-premises. An additional benefit is the “remote interview”. Candidates can be interviewed virtually (literally and figuratively) at the drop of a hat. No more juggling personal schedules or taking a leave of absence from the current job. Just thirty minutes sculpted out during the day.

The Rise of Digital

A huge reason for the world being able to come out largely unscathed (relative to what was anticipated at the start) is the fact that technology has advanced to a level where the element of distance has been negated. Exploding technologies have been brought into mainstream facilities like video conferencing, showcasing tech-enabled shifts in the way business work is now conducted.

The digital landscape also propelled learning across walls. Aspirational professionals, ranging from fresh graduates to experienced C-suite executives, used this opportunity to pick up new skills and dig deeper into chosen fields of work.

The Availability of Choice

One of the major (positive) side-effects of the pandemic has been the self-awareness that many have gained. This self-realization has encouraged many to decide the operating rules for themselves. From flexibility in terms of work location to flexibility in terms of work hours, workers are looking at customizing the kind of work commitments they make, much like the way they choose to personalize their Subway® sandwich. The talent-hungry corporate world had chosen to play ball – creating work models that suit varied types of individuals. With a shift from ‘pay-for-time’ to ‘pay-for-output’, employees balance their work and personal life, in a more controlled way, putting themselves in the driver’s seat.

Conclusion

In essence, 2021 can be clearly proclaimed to be the year when workers woke up and The Great Resignation started. Truth is that not all may have awakened out of choice. Some amongst us might have been jolted awake by the rude interruption of the dreaded virus, as they found themselves retrenched or having had to leave their work to take care of an ailing family member. But, the end result is the same. It seems, as we get further into 2022, that professionals are indeed awake and about enjoying their days in the sun! What a time to be working!

 

recruitment marketing strategy

How Recruitment Marketing Strategy Can Improve Candidate Experience

How vital is candidate experience to a company’s recruitment marketing strategy? Look no further than a Talent Board study that listed the top three reasons candidates end the application process: disrespect of time (37 percent), poor recruiter rapport (32 percent), and length of the hiring process (29 percent).

Those numbers point to how pivotal creating a positive candidate experience is in attracting qualified, top-tier applicants. Candidates these days can be highly selective, exiting the talent funnel at the first sign of trouble. A customized, memorable experience keeps companies competitive and their talent pipelines brimming. Candidate experience should be a critical element of marketing your company and strengthening brand perception.

The candidate experience in recruiting should provide a picture of not only the duties and responsibilities of a role but also the culture, mission, and values of an organization. It should answer common questions: “What happens after I apply?” “When will I hear back?” “How many steps are involved in the hiring process?” It should set expectations and provide a realistic preview of how candidates move from one phase to the next in the hiring process.

A thoughtful, transparent, and candidate-friendly application experience can be a valuable part of any company’s marketing strategy. Finding the tools and tactics to round that approach into form is essential.

Creating a Positive Candidate Experience With Marketing

Even when you think you’ve perfected your candidate experience, perception doesn’t always match reality. A PricewaterhouseCoopers study found that 49 percent of candidates in high-demand fields turn down job offers due to a poor experience as an applicant.

Employing the right recruitment marketing strategies ensures everyone knows what to expect from the start. These tactics reduce any uncertainty or confusion during the critical stages of the candidate journey where talent can easily be lost. The right candidate marketing strategies also allow you to showcase why someone should choose your organization over other options.

You always want to build a foundation of trust with candidates. That’s what happens when you focus your marketing efforts on candidate experience. You develop a bond with those “right fit” candidates as they learn who you are as a business and why your company is the right fit for them.

How to Improve the Candidate Experience During Recruitment

Given all of this information, it’s natural to wonder how you can go about creating a positive candidate experience that will resonate with top-notch talent. Here are six places to start.

1. Spotlight the process in a variety of ways.

Not everyone consumes information the same way. And with that comes the need to vary the delivery format of essential information during the hiring process.

Besides telling candidates what to expect—both in the recruitment process and while on the job—consider incorporating educational content such as blog posts, infographics, and videos into your recruitment marketing strategy. A human-interest piece from an applicant’s perspective can also help pique the interest of potential hires and create a more marketable candidate experience.

Our company regularly features this type of content in our digital ads and on social media, educating while driving talent to our website.

2. Keep communication consistent during the process.

Clear and regular communication is essential to creating a positive candidate experience. As often as possible, keep talent informed on all subsequent steps and provide a rough estimate of the timing.

Let candidates currently in the queue know when to expect a response and consider communicating all pertinent information across different mediums. Email is an obvious choice, but you might also employ automated messaging, chatbots, and text messaging to be even more responsive while supporting the variety of communication preferences modern candidates have.

Many companies now use automated communication platforms, 24/7 live chat support, and help desk ticketing systems to meet the urgency people often feel during the application process.

3. Humanize the experience.

As the world gets more automated, it’s easy to lose that human element in our day-to-day interactions. Even when talent prefers to handle everything digitally, there are still opportunities for warmth and humanity within the candidate experience during recruitment.

Automation and other recruitment technology shouldn’t be reserved for only rare occasions, though. You can’t beat the speed and immediacy it affords your candidate engagement activities. But you still must ensure all messaging and visuals support your brand and effectively convey the culture candidates will be joining while building a relationship with your candidates. Each touchpoint is an opportunity to strengthen the foundation.

4. Leverage testimonials.

People trust people more than brands. If employee testimonials aren’t already part of your recruitment marketing strategy, you’re missing an opportunity to connect with job seekers on a more impactful level.

Share employee experiences with candidates, connect them with people on the floor, and never forget to capture feedback on the entire recruitment process to improve your candidate engagement strategies continually. You’ll never be able to spot any gaps if you fail to ask for this valuable feedback.

5. Customize the candidate journey.

Candidates are consumers. And like consumers, they want customized experiences during the recruitment process.

Make sure you have a solid candidate engagement platform. This allows you to tailor the experience to suit each person’s preferences. At the very least, choose recruitment technology that offers candidates a choice in the type and frequency of communication on job applications as well as career opportunities that fit specific criteria. The move will help in personalizing interactions and creating a positive candidate experience.

6. Align the candidate and employee experience.

The candidate experience should be a window into the employee experience. If one falls short, you’re doing a disservice to all parties involved—including your business.

Make sure talent truly experiences what it would be like to be an employee. We go as far as providing virtual reality job previews for many of our positions. This ensures candidates feel confident they know what to expect on day one. Conversely, make sure the employee experience matches all the pomp and circumstance of the candidate experience in the recruitment process.

Otherwise, people won’t stay. They’ll likely also spread the word, damaging your reputation with other potential recruits. Own all facets of your business and see it through from start to finish.

The importance of candidate engagement can’t be overstated. It requires time and attention to get it right. Even then, you might miss the mark a time or two. As long as you set clear expectations early in the process, stay in regular contact with candidates, and never lose the human side of your organization, you’re moving in the right direction.

workplace safety

A New Era of Workplace Safety: Prioritizing Psychosocial Health

For too long, the workplace has been viewed as a mystical place where we bring a version of ourselves that is unbreakable. It’s a version of ourselves that powers through every obstacle, even if it takes a toll on our health. Sadly, it’s a version that is essentially unsustainable. How often have we seen an employee get lauded for “going above and beyond,” even when we know that what we’re saying is just code for working through illness. Or forsaking personal commitment? Or working well beyond reasonable and safe hours?

That attitude–celebrating the workaholic, to put it bluntly–is an example of how the conversation around mental health has been too narrow. It’s especially been too narrow when discussing mental health in the workplace. Also, until now, occupational health and safety management was focused almost exclusively on physical safety rather than psychological health. That changed this past summer. An international standard was issued in June to provide a structural framework to help businesses manage psychological health and well-being in the workplace.

In essence, the ISO 45003 Psychological Health and Safety at Work guidelines have two goals:

  1. Lay out global standards for organizations to create and administer an environment where the psychosocial well-being of employees is as clearly defined and cared for as their physical safety
  2. Offer a helpful baseline for HR professionals across industries to evaluate how effectively their organizations are providing a psychosocially healthy atmosphere, without the need for in-house specialists with deep expertise in mental health

For HR and training leaders, it’s important to recognize:

  • Three common mental health and wellness issues that organizations face
  • How the new standards for workplace safety could lead to a more psychosocially healthy work environment

1. A Stigmatized or Nonexistent Support System

The pandemic highlighted the lack of supportive environments for employee mental health at an organizational level. It also shed light on unsustainable and unfair workloads and untimely or ineffective recognition practices. Because of these issues, employees have very little time during the workday and very few, if any, tools to take care of themselves psychologically or emotionally. In a 2021 survey that covered 46 countries, 89 percent of respondents said their work-life was worsening. Eighty-five percent said their well-being had declined, and 56 percent said their job demands had increased.

A strategy for change: Discussing mental health openly at work starts with a clear organizational strategy. You need to create an environment of psychological safety. That means a workplace where employees feel comfortable being themselves and discussing emotional and mental concerns. The ISO guidelines go a step further. They ask top leaders to remember the important role they play in supporting these conversations. They also ask leadership to set a culture of protection from reprisal or judgment for employees who speak up.

2. A Diverse Workforce Has Diverse Mental Wellness Needs

More than nine out of 10 respondents in a 2021 survey felt that mental health should be a focus within the company culture, up from 86 percent in 2019. The increase shouldn’t be surprising when you consider that between 2019 and 2021, mental health was cited as an increasingly prevalent reason that employees left their jobs. Overall, 84 percent of respondents felt that at least one workplace factor negatively impacted their mental health. Further, the problem is most acute among Millennials and Gen Z.

The numbers were disproportionately higher among younger workers and members of underrepresented groups. Women, minority groups, remote workers (in some organizations), and the younger generation joining the workforce are all prone to feeling excluded from blanket policies and run-of-the-mill pledges of inclusion.

A strategy for change: Sure, companies have increased investment in employee mental health over the last decade. The global mental wellness industry grew nearly twice as fast as the global economy from 2015–2017 alone. But the quality and reach of these programs are what matters. ISO guidelines call out the need for organizations to consider the diversity of the workforce and the needs of particular groups around a psychosocially healthy workplace.

3. Burnout Remains Pervasive and Prevention Is the Best Cure

Meet the new mantra, same as the old mantra: Prevention is the best medicine. Yu Tse Heng, a researcher who uncovers ways to humanize workplaces, puts it this way: “It starts with employers, to protect employees from becoming resource-depleted in the first place. And it’s also on the employer to provide the resources necessary to support employees’ mental health.” The employee’s responsibility, meanwhile, is to try and understand where their burnout stems from and to craft a way to get out of it.

Even pre-pandemic, the results of implementing mental health programs at work spoke for themselves. In a 2019 study conducted by Deloitte and the Australian Institute of Health & Safety, the ROI for workplace mental health programs yielded $1.62 for every dollar invested. That’s just in one year. For companies with programs that had been implemented over three years, the median ROI was $2.18 for every dollar spent.

A strategy for change: Self-reflection and self-care are crucial to recovering from or preventing burnout. But the ISO reiterates the importance of employers implementing and maintaining support systems in the workplace for burnout prevention. For example, having trained personnel on staff who can take charge of these programs further mitigates the risk of psychosocial damage.

A Significant Opportunity for Organizations Ready for Change

As mental health and workplace safety become increasingly important and open subjects, employers are at a crossroads. Traditional solutions just won’t cut it. A vacation does not erase the dread of returning to a draining work environment. In fact, American workers last year left an average of 33 percent of their allocated paid time off on the table. At the same time, they reported a 49-minute increase in the average workday.

Organizations seeking a transformative solution to employee mental well-being should consider activating the new ISO guidelines. They present an opportunity for companies to take a fresh look at:

  • How they view employee mental health
  • The role their leadership is playing to change the company culture around mental health
  • The effectiveness of their mental health strategy for today’s changing workforce

As with everything around workplace safety, you can be superficial with fixes and apply Band-Aids to mask the issues. Or you can choose to step up and transform how you approach workplace mental health.

employer healthcare benefits

Employer Healthcare Benefits and the ‘Great Resignation’

According to the U.S. Department of Labor, 11.5 million workers quit their jobs between April and June of this year, and that trend isn’t likely to end soon. A Microsoft survey found that 41 percent of people are considering making a similar move.

This mass exodus, referred to by many as the “Great Resignation,” came as a result of the pandemic. In fact, 74 percent of those surveyed by LinkedIn cited the pandemic as their reason for moving on. During the shutdown, people had a chance to really contemplate their current work situations. Stress and burnout were also contributing factors, but many workers appeared most concerned with their employer’s response to the coronavirus and the financial risks and ramifications (e.g., frozen merit increases, holds on promotions, potential layoffs).

None of this should be a surprise. Even under “normal” circumstances, people leave their employers for many of the same reasons. Burnout is the number one contributing factor, followed by lack of opportunities and low pay. People have also come to enjoy the flexibility of remote work. Returning to the office and working a set schedule is far less appealing, as evidenced by the prediction that freelancers could make up more than 50 percent of the workforce by 2027.

Employer healthcare benefits: a potential solution for the Great Resignation

Some industries have been harder hit by the Great Resignation than others. Leisure and hospitality are still struggling with attracting and retaining talented employees, losing more than 740,000 people in April alone. In the retail sector, nearly 650,000 people quit that same month. Nursing saw an 18.7 percent turnover rate in 2020.

Many businesses have responded by raising wages and offering hiring bonuses of up to $1,000, but financial incentives haven’t been enough. A Korn Ferry survey found that 94 percent of retailers can’t find talent to fill empty roles. Part of this could be due to the prospect of long hours spent in positions that involve interacting with the public, which still feels daunting and dangerous for many; the coronavirus still poses a severe threat to people’s health.

Another part of the equation is insufficient employer healthcare benefits packages. According to the 2019 Kaiser Family Foundation Health Benefits Survey, just 50 percent of small businesses (fewer than 200 employees) offer health coverage to employees. And with more than 40 percent of the private workforce employed by such establishments, that’s a lot of people personally insured, underinsured, or uninsured. The Great Resignation is compounding the issue. More than 60 percent of the workforce receives health benefits through their employers. When someone leaves without another job, they lose their employer-sponsored health insurance and aren’t eligible for unemployment insurance, creating a gap in health insurance coverage between jobs.

The key to attracting and retaining talented employees could be as simple as offering employer healthcare benefits. It can be a huge differentiator by increasing job satisfaction, employee loyalty, and productivity.

Employer-sponsored health insurance options

Despite the benefits, finding room in the budget for employer-sponsored health insurance can be difficult for many small businesses. While deductibles and premiums may be on the rise, it is still worth the effort to explore your options. Many retail and services workers are now taking entry-level positions in offices and warehouses with lower wages because of the benefits, career development, and upward mobility they offer.

Here’s what to consider when building your employer healthcare benefits plan.

1. Supplement a high-deductible health plan with virtual primary care.

A complimentary virtual primary care plan can be a good supplement for businesses that cannot afford full employer-sponsored health insurance. Virtual care plans can reduce out-of-pocket costs associated with deductibles, copays, and prescriptions.

2. Include a health savings account with high-deductible plans.

Health savings accounts provide many advantages for employees. The funds are available to pay for medical expenses, which puts the individual in control of when and how to use the money. Want to pay a deductible? Go ahead. Need to refill a prescription? Feel free. But the contributions come out before taxes, lowering taxable income. Many plans also earn tax-free interest, and any unused funds can be rolled over for the next year.

3. Base premiums and deductibles on employee income.

Basing premiums and deductibles on employee income doesn’t always work for smaller businesses, as the difference in wages isn’t usually extreme. For midsize and larger employers, however, it can be a helpful tool in attracting and retaining talented employees. Perhaps pay 80 percent of premiums for workers making less than $60,000 a year while also offering lower annual deductibles.

4. Offer an independent virtual primary care plan when insurance isn’t an option.

Telehealth plans can help employees access the care they need. Look for comprehensive solutions like virtual primary care, which allow employees to see the same primary care physician regularly and manage chronic conditions with ongoing treatment plans. These plans also provide access to annual virtual wellness exams—including routine labs—as well as virtual urgent care and behavioral therapy.

The reasons people seek other employment opportunities will vary, even after the pandemic. Finding ways to address the most common causes of talent loss should help, but it’s also important to provide people with the perks and benefits they seek—one of which will always be employer-sponsored health insurance.