human resources

10 Ways to Smooth Over a Work Disagreement

Paul Michael — Wed, 06 Jun 2018 09:00:17 +0000

Conflicts in the workplace are tough. They can lead to a very stressful work environment, a lot of sleepless nights, and some people even quit their jobs over the issue. But if you approach the disagreement calmly, it should not be something that ever gets you to the point of quitting or taking time off. You can get past this. Here's how.

1. Give each other time to calm down

Nothing good ever comes from a conversation that happens in the heat of the moment. Tempers are flared, egos are bruised, and both of you may say things you later regret (or that could impact your position at the company).

Whatever the situation, agree to take a time out from each other for at least 24 hours so that you can sleep on the issue and perhaps talk to someone about it. You will both come back to the table a lot calmer, perhaps with some insights into how and why the disagreement happened in the first place, and what you can do to smooth things over and get back to work. (See also: 5 Times You Should Avoid Confronting a Co-Worker)

2. Look at the issue from their perspective

It's easy to get self-centered when you have a disagreement. You know you're not the one at fault, and you sure aren't about to change your mind. But putting yourself in the shoes of the other person can be tremendously helpful, especially if you're convinced that this is all on them.

Advertising legend Bill Bernbach used to carry around a small piece of paper in his pocket. On it were three words: "Maybe he's right." Maybe you did something that led to choppy waters. Even if you didn't, what is the other person going through right now? Is there trouble at home? Did they get handed a lot of responsibility in a short amount of time? Are they in fear of losing their job? By switching roles in the disagreement, you will have a better understanding of it. And hopefully, the other person is doing the exact same thing.

3. Don't play the blame game

Finger-pointing is for the playground. In a professional working environment, trying to throw all of the blame onto someone else is not going to go over well. For a start, even if it really is all on the other person, you're going to be perceived by others as unreasonable. What's more, coming to an accord is going to be almost impossible if you don't bring some kind of concession to the table.

Imagine for a second that this happened because of a mistake you made. If the conversation starts with, "This is all your fault and you know it," how open will you feel to talking this through? Put aside the blame, and instead focus on the issue at hand, rather than the person who started it. What's the problem, how do you solve it, and how do you do it in a way that both parties can agree upon? Any meeting of the minds that starts with a pointed finger is not going to end well.

4. Stay focused on the issue

It happens in disagreements at home all the time, and it's not helpful. You start off arguing about one thing, and before you know it, you've lost your temper and it's become a character assassination. Don't let this happen at work.

If the other person is constantly late, and it impacts your projects, find out why. Saying, "You're late because you're disorganized and lazy" is an attack that leads to greater conflict. Instead, talk calmly about the situation and offer advice that could help. Maybe it's simply a case of downloading a few organization apps that can keep that person on schedule. If the other person keeps making mistakes, look at the cause. Are they stressed about something? Were they never shown the correct procedure? Was their training rushed, or was it given by someone who made the very same mistakes? Stay laser-focused on the issue, and a resolution will be reached much more quickly.

5. Don't ignore it and hope it will go away

It won't. Well, not unless that person is fired or has a life-changing epiphany. By ignoring it, you're both letting it fester. The issue will always be there, like an inactive volcano, and all it takes is one push to make it explode. You can paint on a smile, you can pretend everything is peachy, but you'll both eventually combust.

It's far better to get everything out in the open as soon as you can, talk about it, and find a solution. It's more difficult to tackle it than it is to ignore it, but the outcome is way better for everyone involved. You may even find that after the issue is resolved, you become good friends.

6. Establish ground rules for a conversation

There should be rules you both agree on before talking it out, and they can be very helpful in alleviating some natural tensions. For starters, you should both agree not to attack the other person's character. You may want to have a rule that allows either person to step away for a few minutes if things get heated or they're having a hard time concentrating. Perhaps you want a third party there to take notes and keep everyone honest. As long as you both agree on these rules before you begin, you should make significant progress.

When you're done, agree to shake hands, put the incident behind you, and focus on the future. This is not something anyone wants shoved back in their face the second some other disagreement happens.

7. Don't go negative

If you've ever had a disagreement with a romantic partner, you know how quickly it can derail when things turn negative. You go from talking, to screaming, to not speaking to each other at all. And after a period of not talking, it can take longer to recover from that argument than the issue it was actually about.

The same applies to a workplace disagreement. Do not go into the negative aspects of the issue. Avoid hostility, bitterness, and resentment. If your co-worker starts wandering into that territory, be the bigger person and steer them back to positive ground. Remember, you're both working for the same company, and you should both want each other to do well. When you're successful at your roles, the company benefits and everyone's a winner. So, stay positive. If you have things to say that may sound negative, how can you frame them in a better way? What good can come of this? What can you both learn?

8. Help the other party offer up a reasonable solution

This works well with most disagreements. If you come to the table with a solution already figured out, the other person will feel like you've bulldozed over them. Why should they take the solution you've offered? Does it benefit you more than them?

Instead, after you have both talked about the disagreement, ask them to consider what could be done to make the situation better for both of you, and maybe hint at solutions. For example, if they have been playing their music excessively loud, you could mention that the company pays for certain accessories that are helpful to create a harmonious working environment. That may be all the other person needs to suggest that he or she wears headphones. And if the company doesn't pay, why not offer to go halves, or pay yourself? If it leads to a happier life for you, it's money well spent. (See also: 12 Ways You're Driving Your Co-workers Insane)

9. Find a mediator

If the situation warrants it, and things have devolved into a situation that is unproductive, consider bringing in a mediator to help with the dispute. It could be another person from your department, a manager, or maybe just someone in the company who is known to be a people person. Don't bring in someone from human resources unless you want to make this official (more on that in a moment), and don't ask someone clearly biased to one of you.

Explain the situation to the mediator, and have the other person do the same. You are both going to have your own version of the story — if the mediator only hears one side of it, this will not work. Sit down and discuss things rationally. The mediator can help you both avoid going into a negative place, and can also explain things to each of you that may not come across the right way from either party, for obvious reasons.

10. Take it to human resources

As a last resort, and if you have tried all other avenues, you should both raise the issue with your human resources department (if you have one). When HR gets involved, you are shedding light on an issue that could have serious implications for both parties, so make sure you know what you're getting into.

You both may have to take some conflict resolution classes, and it's possible the incident could go into your employee record. That in turn could impact raises, bonuses, and other work-related benefits if it is seen that you cannot work out a disagreement amiably with each other. Human resources will keep the peace, but remember HR is there first and foremost to protect the company, not the employees. Everything will be put in writing, and if this is very serious, such as a disagreement based on race, age, gender, harassment, whistle-blowing, or favoritism, HR has the power to take action that could lead to dismissal and even criminal charges.

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This article is from Paul Michael of Wise Bread, an award-winning personal finance and credit card comparison website. Read more great articles from Wise Bread:

How to Grow Your Solo Business Without Hiring Employees

Elaine Pofeldt — Thu, 12 Oct 2017 08:30:10 +0000

The conventional wisdom is that to "scale" a business, you have to do it the traditional way — by hiring employees. Otherwise, the thinking goes, you'll be limited to whatever revenue you can generate personally.

That presents a conundrum. What if you really don't want to hire employees because you're not the managerial type — or can't pull it off financially? Creating jobs does a lot of good for society, but it is a big responsibility. For very small businesses that have uneven cash flow, it can be unmanageable. You can't just opt out of cutting paychecks one month if a big client pays you late. Employees depend on getting paid on time.

Fortunately, there's another option. In the digital age, it's increasingly possible to grow revenue in a one-person business or partnership without hiring traditional W-2 employees. In researching my upcoming book, The Million-Dollar, One-Person Business, I came across many people who were approaching or breaking $1 million in revenue without adding employees. They are among the 35,584 owners of "nonemployer" businesses that the U.S. Census Bureau found were hitting or breaking $1 million in revenue in 2014. (Nonemployer businesses are those staffed only by the owners.)

So what are they doing? It runs the gamut. Entrepreneurs are breaking $1 million while running internet retail sites, professional services firms, real estate investment firms, healthy cooking online courses, and many other businesses. It's not necessarily the type of businesses they run, but the way they run them that has enabled them to scale. Here are three growth strategies they are using that anyone in a one-person business can start using today to greatly increase revenue.

Outsource

In many small businesses, your time is your currency. If you waste it on nonproductive activities that don't add to the bottom line, you'll never maximize your revenue. The conventional wisdom is you need to hire staff so you can offload tasks that can be delegated, but many of the million-dollar entrepreneurs I interviewed used another approach. They outsourced whatever they could to make their business more efficient.

One example was Camille and Ben Arneberg. They started Willow & Everett, a store with its own website and a presence on Amazon, in 2015. Neither was a retail veteran. Camille had worked in the corporate sustainability field, while Ben had been in the military. But they loved home entertaining and had a knack for selecting products other people like, such as decorative tea kettles.

The couple started small, investing $5,000 in inventory, and reinvested in new products as they went along. By April 2016, they had grown the business to $1 million in revenue, one year and four days after their launch.

One secret to their rapid growth was hiring the right kind of service to help them. After trying to pack a bunch of early orders themselves and finding their home buried in boxes of mugs, they switched to using a fulfillment service offered by Amazon. Although there is a small cost for this, the service handles tasks like labeling and fulfillment, freeing the Arnebergs to focus on growing their business.

Contract it out

One of the myths about running a one-person business is that it's an isolated affair. In reality, many smart solopreneurs rely on a team of trusted contractors to expand their capabilities. One entrepreneur I interviewed, Dan Mezheritsky, founder and president of Fitness on the Go in Vancouver, follows this model. As a former junior national champion decathlete in Canada, Mezheritsky founded his one-person, in-home personal training franchise in 2005 and grew his own annual revenue to $1.5 million in 2016. He did it by building a network of 180 personal trainers, who are all contractors.

Mezheritsky got burned out on the idea of bringing on traditional employees after finding out that many of his original hires were not motivated to help him grow the business. Because they were paid on salary, they didn't share in the financial gains the business made in a tangible way. When he switched to hiring them as contractors, that changed. Now that they had their own businesses, they saw a direct financial benefit if he brought on new customers — whom they would get to serve.

Mezheritsky provides help to the trainers that makes it more advantageous for them to work for him than on their own entirely. He licenses the right to use the company's brand name to the trainers and provides support with business management, leads, continuing education and other areas of the business for $400 a month. The company sets prices for the training sessions and the trainers keep about 91 percent. "It was a no brainer for the trainers, when they took a look at what they were receiving," Mezheritsky told me. "It was simpler than trying to do everything on their own."

Automate

Like many of the million-dollar entrepreneurs I interviewed, Mezheritsky is passionate about finding ways to automate repetitive tasks in his business. For instance, he hired a pro to help him build customized software that handles billing for all of his trainers, acts as a customer relationship management platform, handles his client rewards program, and more.

But you don't have to build your own software in most one-person businesses. For instance, you can save several hours a week on scheduling tasks by using inexpensive tools like ScheduleOnce or Calendly — scheduling programs that let you send business contacts a link to your public calendar so they can book a time to meet with you without emailing back and forth.

My new favorite app is Everlance, which tracks your mileage automatically from a smartphone. That way, you don't have to keep a written journal in your car.

Incorporate a couple of other time savers like that and you can easily free up a day every week to recharge and figure out new ways to grow your business — while enjoying the pleasures of running an ultra-lean operation.

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This article is from Elaine Pofeldt of Wise Bread, an award-winning personal finance and credit card comparison website. Read more great articles from Wise Bread:

8 Keys to Quitting a Job Like a Professional

Paul Michael — Mon, 11 Sep 2017 08:30:08 +0000

This is it: You're ready to quit. You've been dreaming of this moment for months (or years) and you are all set to let the company know you're moving on. Well, before you throw down your resignation letter and waltz out of the door, take some time to make sure you do this the right way.

1. First and foremost — Are you sure you're ready to quit?

Like, really sure? Because once you hand in your notice, you've put yourself on a path that leads directly out of that company. So, make sure you're leaving for the right reasons.

Some people act irrationally after a major upheaval or event at work, and hand in their notice while they're still in a cloud of anger and frustration. If you have been feeling this, and have decided "I've had enough," then take at least a few days to cool off and think it over. Talk to people you trust, and explain the situation. They may agree with you, and say that you're working in a toxic environment that is hurting your health. But, they may say that you have a good job with good coworkers, and that you're blowing things out of proportion.

2. You might not be required to give two weeks' notice

Most states in the U.S. have something called "at-will employment." This means your employer can terminate you at any time, without any reason at all, and without any kind of warning. Conversely, you have the exact same rights with regard to leaving. You can quit at any time, for whatever reason (even if you don't have one), and walk out of the door without giving notice.

Some employers like to have it both ways. They will be more than happy to let you go at the drop of a hat, but the company handbook states that you are required to provide a minimum of two weeks' notice. This is just something the company wants, but cannot enforce. If you live in an at-will employment state, two weeks' notice is not required. But, if you don't provide it, and leave the company in the lurch, you are potentially burning a valuable bridge. You always want to leave on good terms if you can, so unless the situation requires an immediate exit, give your employer the two weeks they expect.

3. Write an excellent resignation letter

Now is the time to start working on a resignation letter. If you have been at the company less than a year, you don't have to go overboard. Be polite, explain briefly that you are moving on to a new stage in your career, and thank the company for the opportunity they gave you. If you have a lot of years under your belt with the company, you may also want to add in some of the significant achievements and successes you had at the company, and call out people who genuinely made a difference to you, and helped you grow.

You may be tempted to throw people under the bus in this letter, or point out everything that is wrong with the company. Don't do it. This is a permanent record, signed by you, and that can come back to bite you.

4. Hand in your notice on a Friday

There are all sorts of reasons to wait until Friday to hand in your notice. Midweek is just an odd time, and on a Monday or Tuesday, you are catching people as they are about to dive into a full week of work. Doing it on a Friday is best. It gives you and your employer the rest of the day, and the weekend, to think about it and come to terms with the decision. If you are a key member of the team, your boss will likely need to come up with a game plan on how to replace you. He or she may also want to make you a counteroffer, asking you to sit on your resignation and think it over. For this reason, Friday is the most strategic day to hand in your notice.

5. Be positive and productive in your final weeks

You've handed in your two weeks' notice, and now you can just coast for the next 14 days, right? Well, not so fast. It can be tempting to slack off, take long lunch breaks, arrive late, leave early, and have a general disregard for the rules you used to obey. But that is not going to sit well with a company that is still paying your salary.

You can have the "What are they gonna do, fire me?" attitude, but it's not professional. You have history with this company, it has paid your salary and probably provided health benefits, and you owe it to the company, and yourself, to act as professionally as you did before you resigned. In some cases, if you don't have another job to go to, the company may well ask you to stay on as a contractor, at a higher rate of pay, until they find your replacement. They will not offer this if you are just treating the job as a joke.

6. Help the company through the transition

After you resign, you should offer your services in finding your replacement. You should also be willing to speak to the departments you work with on a regular basis, and ask them what you can do in your final two weeks to make sure everything runs smoothly once you are gone. Do they need certain files or contact names? Do they need you to show them how certain processes are managed, from inception through completion? Take this time to ensure that when you leave, the ship is not sinking without you.

7. Don't use the exit interview as a complaining session

A lot of people who resign have some sharp words for the human resources department, or the owner of the company. And while it is OK to point out areas of improvement, you should do it in the most constructive way you can.

This should not be the time to do corporate assassinations on people who've crossed you over the years. If you have genuine concerns about some of the people you are leaving behind due to a toxic work environment, then by all means bring those up. But be delicate about it. Talk about the need for improved communication, or more flexible working hours and telecommuting. Give them a checklist that makes them think you really want the company to flourish after you depart.

8. Stay in touch

Seriously, don't burn a bridge. You don't know what could happen in the future, and a company that you have a history with can be a powerful ally when you need help. If you ever need to pick up contract work or come back in a different role, you will want to have people to reach out to.

So, use LinkedIn and social media to stay in touch. Send the occasional email to people you know there, asking how they're doing. Be a friend to them. It can really pay dividends should your departure become a mistake.

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This article is from Paul Michael of Wise Bread, an award-winning personal finance and credit card comparison website. Read more great articles from Wise Bread:

How to Protect Your Job When You're in a Workplace Relationship

Paul Michael — Thu, 13 Jul 2017 08:30:10 +0000

There are various figures of speech that talk about workplace relationships, and most of them are in the negative. "Don't make honey where you make money," or "Never foul your own nest" are just a couple fit to print here.

It seems that the overall rule of thumb is to avoid workplace relationships like the plague. However, they happen. A lot. And if you find yourself in one, how do you ensure that it doesn't impact your job, or even your career?

Check the employee handbook

Most human resource departments have some kind of company or employee handbook that provides guidelines for behavior in and around the office. Before you get too involved in any kind of office romance, check this to see what it says about the implications of dating a coworker. It's possible your company may prohibit office relationships, although it's highly unlikely it would ever be enforced. However, you should disclose the relationship to Human Resources and your manager. It may also need to be documented, especially if the relationship brings about conflict of interest concerns. Almost every business will frown on a supervisor and his or her direct report having a romance, for obvious reasons.

You will usually get a gut reaction to your own fledgling relationship based on other activity you've seen in the office. If you've been invited to the wedding of two coworkers, or see couples holding hands in the office with no backlash at all, you're probably fine. If you haven't seen or heard a peep about any workplace hookups, you may have to tread very carefully. Or, figure out which of you should find another place to work, if you want to keep the relationship alive.

Keep it between you and your partner

In the very early stages, only two people in the office should know about your relationship, and that's you and the person you're dating. Don't do public displays of affection. Don't leave each other little notes, or giggle in the elevator together. Don't start going to lunch with each other every day, and arrive in the same car in the morning. You want this to be kept quiet until you are sure it's nothing more than a fling.

If it's serious, you can inform HR, and if necessary, your managers. But even after that, keep it professional. You are still in a place of business, and you were both hired to do specific tasks. Those tasks will not be improved by bringing your relationship into it. And if you are arguing, or going through a rocky patch, you also need to separate that personal side from the professional side. If it becomes clear that your romance is affecting your performance, one or both of you could be let go.

Set boundaries at work, and out of the office

That old saying "Loose lips sink ships" is not just for wartime. In this case, that ship could be your career, and if you do not establish firm boundaries from the get go, you could start violating trusts that lead to gossip, rumors, and a toxic work environment.

It's possible that you know much more about a certain project or coworker than the person you're dating. They might want to know more than they are allowed to, or vice-versa. "Go on, tell me, are layoffs coming soon? Which departments are affected? Is anyone getting a promotion?" These questions can overstep the company boundaries and result in disciplinary action for both parties.

Then, there's the question of favoritism. You may be dating someone who is part of your team. You may be dating someone with significant influence. If you seem to benefit from that relationship, even if it's completely unrelated, it can seem like a huge dose of favoritism. "He only got promoted because he's dating the best friend of the boss." Take these things into account, because it can cause a lot of ill will and low morale among other employees.

Try not to date "up or down"

Obviously, it will be hard to deny certain feelings you both have for each other. But, if one of you is much higher up in the company than the other, things can get messy very quickly. Word will spread that you are in a relationship, despite your best efforts to conceal it. Then, you will be under scrutiny constantly.

Are you receiving special treatment, or giving it to your partner? Are you sure you're making decisions based solely on the best interest of the company, or are they being swayed by your affections? Are you getting a little upset that your partner travels a lot, while you are stuck in the office? Or, that they get perks that you do not at your level? All of these problems, and many more, can happen when you date up or down.

So, stick to relationships with people on a similar level to you in the company. And if one of you starts advancing more quickly than the other, reassess the situation. Is it going to cause problems? If you are put in charge, or report to your partner, you'll have something of an HR nightmare on your hands.

Document everything … just in case

It's sad, but true, that we now live in a world that provides us with a plethora of data on anyone we wish to investigate. Emails, Facebook profiles, text messages, Snapchat, photos, videos, you name it, it's out there. It's possible your relationship could cause jealousy among other coworkers, and wild accusations could be made.

If you can document that your partner got a raise or promotion through his or her achievements, and not the relationship, then you can shut down those creaking gates quickly. And if you should break up, those wild accusations may come from the person you were seeing. Again, good documentation can save you from some messy, fictional scandals.

If the relationship ends, be professional — very professional

Your office romance may last until the end of your life. It may also be over in a few weeks, months, or years. If the relationship does come to an end while you are both still working for the same company, tread very carefully. You may well be in a position to make life a living hell for your ex, and if he or she left the relationship on a sour note, you may be very tempted to.

However, it can only lead to pain and suffering for both parties, and to a lesser extent, the rest of the company. A well-oiled machine may break down due to animosity, or even hatred. If the other person is dating someone new, jealousy could drive your decision-making. When that happens, it's a slippery slope to a vendetta, and the loss of a job for one or both of you.

So, keep it professional. If it's painful to see each other at work after the break up, find ways to avoid the other person. Can you be transferred to a department that provides less contact? Do you have to go to every meeting, or will emails and phone calls suffice? And the big question … should one of you move on to a different company?

Remember, while it's not advisable to get involved with someone at the office, if you establish a real connection with someone, you should let nature take its course. You may find that one amazing person that you spend the rest of your life with; jobs, on the other hand, come and go.

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This article is from Paul Michael of Wise Bread, an award-winning personal finance and credit card comparison website. Read more great articles from Wise Bread:

8 Questions You Should Always Ask in an Exit Interview

Paul Michael — Fri, 28 Apr 2017 08:31:04 +0000

Exit interviews are common when someone is leaving a job. And usually, the onus is on the employer to ask the questions. If you're taking a new job offer, they may want to know why you're leaving, or what they could have done to keep you around. If you're being let go, they'll want to make sure you know everything about the package you're receiving, and your legal options.

Rarely do people talk about the questions you should ask in your exit interview. Here are eight that can provide invaluable answers.

1. Will my feedback be anonymous?

If you have some important issues to get off your chest, this is a very important question to ask beforehand. You don't want to tear into an awful boss or coworker, only to find out that it has gotten back to them. You may even want to consider if it's worth the risk at all; if you work in similar fields, your paths may cross again in the future.

Despite this, you may feel a moral obligation to tell HR all about the problems that certain coworkers caused, for the sake of the people who are left behind. If you must spill the beans, ask this question before you say anything negative or controversial about anyone. You may even want to write something down that can go on record — minus your name, of course.

2. What did I do well during my time here?

You can phrase this question however you feel most comfortable, but what you're looking for here is feedback on your strengths. What did you do that made a difference to the company? Were you a rock star at certain things? Were you highly prized in areas you didn't even consider?

All of this can be great information to take with you to your next job. You may have thought that speaking up in meetings about potential issues with a project was a cause for grief. But it turns out that people really valued you asking those "Devil's Advocate" questions, as it helped with the development of otherwise unconsidered issues. This kind of feedback can really bolster your performance in your next position.

3. Do I have the option to come back here one day?

It may seem like an odd question to ask — after all, you're probably leaving the company for very good reason. However, "boomerang" employees can be common in some industries, especially if you're leaving to relocate out of state and may one day return. If you're leaving on good terms, this probably won't be an issue. If you're leaving because things went sour with certain people, it may be tricky to return until they, too, have left. If you're being laid off, you should be given the option to apply for other job openings that match your skill-set in the future.

4. What could I have done better?

No one is perfect. Even an employee that is being begged to stay will still have some areas that could use improvement. Now is the time to find out what those shortcomings are, as this will help you become an even better employee for your next company.

Don't take any of this feedback personally. You asked the question, and you need to be an adult about the answers you get. Even if things take a turn, and you suddenly find out someone you respected was constantly complaining about you behind your back, just take it in stride. Fix what you think needs fixing, and ignore the petty stuff.

5. Can I use you as a reference in the future?

It may seem like a no-brainer that they'll say yes, especially if you were a good employee, but many companies frown on their staff providing references for ex-employees. If someone from that company provides a glowing reference for a person who turns out to be unreliable, a thief, a sexual predator, or anything else negative, it can come back on the business and bite them.

The HR department's job in any company is to look out for the business, not the people who work there. So, if you think you may want to use them as a future reference, ask before you put their name down. Otherwise, they'll typically verify your dates of employment, and that's about it.

6. When can I expect my final paycheck, and how much will it be?

Your final paycheck may not be issued to you on a regular pay period. It may also include unused vacation days, and depending on your company, unused personal days, sick time (although that's rare), and a portion of the annual bonus you were set to receive.

Not only do you want to ask about the final total, but when you can expect to receive that amount, and whether it will be a live check or a bank deposit. If the numbers don't add up, say something now. If they don't have final totals yet, make sure you have the phone number of the person in the payroll department.

7. Is there any kind of noncompete in place?

If you were given an employee handbook when you first started, this may be covered in there. But, roles and responsibilities within an organization vary greatly between departments, so now is a good time to clarify. It's possible that you will be asked not to have any contact with your current clients or vendors for at least a year or two, especially if you will be looking to poach current accounts from your company.

Legally, you may not have anything to worry about, as this is typically more of a courtesy. How you handle this, of course, is entirely up to you. At the end of the day, you have to do what's right for you and your family, and if there's nothing in writing to stop you approaching people, it's your call. And of course, if they approach you without any prompting, that's another ballgame entirely.

8. What about a severance package and health benefits?

If you're being laid off, your company may have a set severance package in place. Many businesses offer two weeks of pay for every year of service, up to a cap of their choosing. Others give you a set figure (anywhere from a week to a year) regardless of your time there.

You'll also need to know what's happening with your health benefits. Unlike most other countries, health benefits are tied to employment in the U.S. and losing coverage can be costly (or even deadly). Will the company continue covering your health insurance, and if so, for how long? What about COBRA? These are important questions to ask, and if they won't continue coverage, ask for more money in your severance to help cover the costs.

If you are planning to leave your company soon, make sure you have at least some of these questions ready for your exit interview. And if you suffer a layoff, please remember to ask about your severance and benefits. Good luck!

This article is from Paul Michael of Wise Bread, an award-winning personal finance and credit card comparison website. Read more great articles from Wise Bread:

Almost Half of Job Applicants Make This Same Foolish Mistake

Paul Michael — Mon, 23 Jan 2017 11:00:13 +0000

Hiring professionals in industries far and wide, when looking at applications ranging from entry-level to upper management, say almost 50% of the applicants are making the same mistake. Is it grammar? Poor choice of words? Not completing an online test, or answering questions incorrectly?

It's actually something much more basic. And it's a mistake that is completely inexcusable.

Almost Half of Job Applicants Are Not Following Directions

As bizarre as it may sound, job applicants are just not following basic instructions or directions given out by the employer or recruiting agency. Every application is different, but the basic problem is the same across the board — the inability to follow the directions to the letter.

Most of the time, this means omitting information required by the employer, from a resume or cover letter, to background information, references, and even contact information. For example, many applicants include a name and address, but not a phone number or email. That instantly puts them out of the running, as the HR department is too busy to track down people that don't have an immediate form of contact. No one is going to write you via snail mail inviting you to come in for an interview. Plus, the fact that you left out such a basic piece of information simply doesn't look good.

HR professionals also indicated that a simple visual test is often done on applications. If anything is blank, messy, or missing, the application goes into the trash. With so many people competing for the same job these days, removing applicants who cannot follow instructions makes life a lot easier, instantly thinning the pack.

Employers May Actively Test Your Ability to Follow Directions

It's not just about noticing mistakes. Some employers may actually lay traps that you have to avoid. Perhaps one of the most famous instances of an employer testing the suitability of a candidate goes back to an Army recruitment campaign in England.

The Army ran ads asking people to order a special recruitment kit. The kit included a VHS cassette (yes, it was a while ago). When the prospective new recruit put the tape into the VCR and hit play, the video showed an explosion. It then went on to tell people who saw that explosion that they were not the right candidate for the Army, because they did not follow the instructions. As it turns out, there was a small message on the cassette that said "rewind me first." Clever. Very clever. Of course, there was no way to know if the candidate lied about seeing that explosion first, but what it did was plant the seed of doubt. If they missed that, what would they miss on a real mission? Maybe this is not the career for them.

Another example comes from entrance exams that ask candidates to complete "only three of the following four questions." If the candidate answers all four, even if they answer them perfectly, it is a huge red flag to the employer. The inability to follow this simple direction lets the employer know that you either don't pay attention to details, you're too eager to get started, or you just refuse to follow the rules. These are not good qualities in a candidate.

So…What Can You Do to Be a Better Job Applicant?

Perhaps the biggest piece of advice, and the simplest, is to slow down. You may well have several applications to fill out for different jobs, but you cannot afford to rush them. By slowing down, and reading everything, you are far less likely to make a mistake. Having said that, you can also follow these steps to make sure you do not end up in the reject pile, along with almost half of the other applicants.

1. Read Through Everything Twice Before You Start

It's a little bit like the old DIY adage, "Measure twice, cut once." You should go through the entire application, line by line, and be clear about what you are being asked to provide. If you need to prepare something, such as a cover letter or a portfolio of your work, make a note of it.

2. Complete a Trial Application First

Think of it as a practice run. Fill it all out, and then read it back to yourself. What is missing? What sounds good, and what sounds bad? What can you improve, or edit? Are there sections that are stronger than others? Have you included the relevant dates and places, or achievements that could make you stand out? Mark it up, and then complete the application again. If you're doing this online, print out the application and fill it out by hand first.

3. Run Everything Through a Spelling/Grammar Checker

Even if your document is beautifully formatted and has all the required information, spelling errors can really mess you up. Some companies may even use software to weed out applications with too many grammar problems. If you're submitting an application using pen and paper, this may not be possible (unless you have a text recognition app or device). In that case, move on to the next step…

4. Have Someone Else Look Over Your Application

A friend. A colleague. A family member. Someone you trust. Put the application in front of them and ask them to go over it line by line. Ask them to read the instructions, too. Having someone else with a fresh eye can really help you out. They will notice glaring errors that you have become blind to.

5. Look Back at Your Notes Before You Submit Anything

Remember those notes you took at the very beginning? Now, after you have completed everything, is the time to check the "to-do" boxes off that list. Do you have your cover letter? Is it attached to the application? Is it stapled, or put on there with a paper clip (some employers want it done a specific way)? If you're sending something over the Internet, have you made sure the documents are formatted correctly, and saved the way the employer likes them (some prefer PDFs to Word documents)? All of this should be looked over carefully before putting it in the mail or hitting send.

Remember, the ability to follow simple directions is the very least an employer should expect from a candidate. If you don't do everything by the letter, you could be missing out on a great job, and a lucrative career.

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This article is from Paul Michael of Wise Bread, an award-winning personal finance and credit card comparison website. Read more great articles from Wise Bread:

6 Things You Need to Stop Asking HR For

Marla Walters — Wed, 02 Sep 2015 15:00:23 +0000

When the HR department I work at got a new boss a number of years ago, one of her first official acts was to put a copy of an article entitled Why We Hate HR into each of our mailboxes. Honestly, it stung, but some of the author's issues with HR were understandable.

Human Resources can be an odd place to work, because it's sort of in the middle — between management and staff. HR doesn't plan or direct the vision of the company; it coordinates the administrative functions. Management often uses HR as a sort of an enforcer, or a gatekeeper, which can lead to negative impressions. Truth be told, though, most of us in HR are there because we do want to help support the inner workings of our organization. Here are six instances, however, when they simply cannot help you.

1. HR Cannot Help You Get the Job You Want

That's not HR's function. While Human Resources is responsible for recruiting and screening, the actual interview and hiring decisions are usually made by managers. Human Resources can, however, help you figure out which jobs you may be qualified for, accept your application, screen it, check references, and put it on a list for the hiring manager. Any additional "help" to you would likely interfere with a fair hiring process — and that's plain unfair to others.

2. HR Cannot Help You Get a Promotion

We don't doubt that you deserve a promotion, or that you're the best candidate, but again, that's up to a manager. If you have been an exemplary employee, though, we can help you demonstrate that to your hiring manager with copies of performance reviews, records of attendance, records of training, and the like.

3. HR Does Not Give Out Raises

Yes, you have been here a long time. Yes, you are terrific. Yes, you absolutely do deserve a raise. But no: we don't give them out. At the risk of sounding like a broken record, that's a management decision. HR can implement raises, but another level has to make that decision. We also keep an eye on the industry to make sure our company's pay is competitive, and the recruiters speak up when it's not.

4. HR Does Not Determine How Much Leave You Get

We just track those hours — we don't decide how many you receive. That's a company decision, or in some cases, decided upon through collective bargaining. When employees need to take leave, I can honestly say we do our best (above and beyond) to find whatever we can. We all have families, too, so there is a great deal of empathy. Every HR department I have worked in has been extremely creative with coming up with a patchwork of vacation, sick, comp time, flex time, family leave, temporary disability, shared leave, and leave without pay.

5. HR Does Not Determine Benefits

We understand that you want and need them, and if they are available to you, we'll help you sign up for them. A little personal responsibility comes into play here, and I wish I had a nickel for every person who missed a health insurance open enrollment period or never returned forms. If employees don't respond to phone calls or emails, there is only so much the benefits people can do.

6. HR May Not Provide the Training You Need

In difficult financial times, training is often on the "cut" list, and we may not have the funds to provide what you need. Much of the training funds available have to be used for mandatory training, and not anything above and beyond.

That doesn't mean that HR won't help you, though. Check with your HR training person. They will likely be happy to search and find what you need, either at local colleges, universities or private training programs, or via the Internet. We will also help you put together a job shadowing experience, find you a mentor, or a preceptor.

In what ways is your company's HR department a friend or a foe?

This article is from Marla Walters of Wise Bread, an award-winning personal finance and credit card comparison website. Read more great articles from Wise Bread:

25 Questions to Ask Before You Outsource HR

Kate Lister — Fri, 12 Aug 2011 19:19:30 +0000

Link:

http://www.openforum.com/articles/25-questions-to-ask-before-you-outsource-hr

When you decided to start a business, it probably wasn’t the fun of keeping up with the latest employment regulations, tax issues, and OSHA requirements that lit your fire. Nevertheless, if you have even a single employee, you’re stuck with all that and more. You’re not alone and fortunately, where there is opportunity there are generally entrepreneurs with a solution. Enter the world of professional employer organizations (PEOs). For the folks who run these companies, HR is their passion.

Professional Employer Organizations

In a nutshell, a PEO acts as a co-employer and assumes many of the HR administrative functions that frustrate small business owners. These can include:

Payroll
Benefit administration (including healthcare)
Workers compensation
Recruiting
Background checks for new employees
Development of employee manuals
Safety management
Training (particularly in HR-related matters)
Drug screening
Employment assistance programs
Employment practices liability insurance

My first-hand experience with PEOs came 15 years ago when I was running a vintage airplane ride business in San Diego. The business was, er, taking off, but the payroll and other compliance issues were dragging it – or at least, me down. Just figuring out which posters I was supposed to have on what walls was enough to bring on migraine. A company called Employers-Resource was my salvation.

Co-Employment

As a co-employer, the PEO becomes the employer of record for tax purposes. They do all the payroll administration and reporting under their own tax identification numbers. Their fees run between 3% and 15% of payroll.

For some businesses, particularly new ones, an experienced PEO can offer big savings in Workers Compensation by virtue of their group rates. Group health insurance rates can be lower too, but it pays to check around. Some PEOs, due to their particular client base, may actually experience higher insurance rates.

But efore you wash your hands of all that annoying HR administrative stuff, it’s important to note that using a PEO doesn’t mean you’re entirely off the hook. If the PEO fails to pay the taxes for your employees, you’re still liable. Similarly, they are no get-out-of-jail-free cards for any violation of employee rights, wage, or similar disputes.

What to Ask a Prospective PEO

According to the National Association of Professional Employer Organizations, while the industry is relatively young – less than 30 years old – there are more than 700 PEOs across the U.S. So how do you pick a good one? Here are some questions to get you started on your search:

Does the PEO offer all the services you need or are likely to need in the near future?
How does each specific service work?
What options will you have for supplying payroll data? Email, fax, phone, website, hand delivery?
Do they offer performance guarantees and what do they cover?
What documentation will you receive regarding payroll, claims, filings, etc.? How often will you receive it? Will you have online access?
What hours will they be available by phone, email, or instant chat? What is their standard for returning phone calls?
What options will you have for reaching them in an emergency such as an on-the-job injury?
What assurances will you receive that all tax and other liabilities are being met?
What are their upfront and ongoing fees and how are they determined?
Will they charge you an average tax rate based on all their clients or will it be calculated for your organization? The former can result in a higher tax rate.
What rates will they be quoting for worker’s compensation? Health insurance? Etc.? How do they compare to what you could get on your own?
How long have they been with their workers compensation and health insurance carriers?
Do they have experience with similar size companies in your industry?
Are they licensed and operating in all the states where your employees reside, not just where they work?
Will they assist you in the event of an audit?
What is their customer retention rate?
How long have they been in business?
Are their financial statements audited by a CPA?
Who is their third-party benefits administrator?
How are their benefit liabilities funded?
What insurance do they carry and what protections does it provide you?
What makes them better than other PEOs?
How are employee or company disputes handled?
What is their track record on lawsuits?
What are their cancellation terms? To what extent will they cooperate with supplying information to a new PEO?

Naturally, you’ll also want to check a prospective PEO’s references with particular attention aimed at clients of a similar size and in similar industries.

The big players in the field include companies such as ADP Total Source, Administaff Inc., TriNet Group Inc., and Paychex. While they may offer the most comprehensive services, if you don’t need all of them, you may be paying for the extra overhead. Lots of smaller PEOs stand ready to take the HR burden off your shoulders, too.

You can start your search for a PEO on the Employer Services Assurance Corporation’s website.

This article is from Kate Lister of Wise Bread, an award-winning personal finance and credit card comparison website. Read more great articles from Wise Bread:

Hiring the Best: Go Beyond Asking Questions in an Interview

Thursday Bram — Fri, 03 Jun 2011 23:54:31 +0000

Link:

http://www.openforum.com/articles/hiring-the-best-go-beyond-asking-questions-in-...

Finding the perfect employee for your business can be difficult. Depending on the size of your business, you may not have a separate human resources department. You may also have limited resources you can commit to a search for job applicants.

Contrast that with the exhaustive process (and extensive resources) used by online footwear retailer Zappos. At Zappos, hiring is just the beginning. From there, new employees go through a four-week training program and then spend two weeks on the customer service lines, no matter what position they’re hired for. Zappos has become well known for this process, as well as a special offer the company makes to each new hire after the first week of training. If new hires agree to quit immediately, they can walk away with $2,000 in their pockets.

The entire on-boarding process ensures that new employees are just as dedicated to Zappos as employees who have been with the company for years. But it’s probably not a practical option for smaller businesses. Nevertheless, innovative small businesses can go beyond the standard interview routine to find the right employees.

Dig Deeper than the Interview

Interviews are a mainstay of the hiring process. They provide a way to get to know an applicant, but they don't say much about how well the candidate will perform nor how she'll fit in with you and the rest of the team.

To help her get a better sense of applicants, Alicia Vargo of Pampered Passions uses card, board, and strategy games.

“I don’t play an entire game of chess with an applicant," she says, "you can imagine how time consuming this would be – however I sit down and either play gin rummy or chess with our applicants. Of course, they look at me quite strange.”

Despite the odd looks, Vargo’s method gets results.

“When I sat down with one applicant, she was quite competitive, and frustrated with her mistakes. She was concerned about winning the game, and winning only. She was quite insecure at the same time about her strategies. Ultimately she was throwing her hands in the air, could not believe she was making the decisions she was making on the board, and gave up after about ten moves. She had mentioned that she was an excellent chess player prior to me taking out the game."

Form this experience, Vargo surmised a few things about the candidate:

She may be a perfectionist;
She may not be a team player;
She may give up in a challenging circumstance;
She may not be a problem solver;
She could not take the time to breathe through her frustrations.

The result? "She was not a candidate we hired," says Vargo.

The Handwriting on the Wall

Chess and board games aren't your only alternatives. While a variety of assessment tests have become commonplace in the hiring process, Sheila Lowe’s handwriting analysis stands out. Lowe provides employers with a deeper insight into the people that they may hire and her analysis has proven out for her clients. “I had provided an analysis of a woman who was applying for outside sales. In my report I noted that while she had many fine qualities for the job, her strong sensitivity gave her tendency to blow up at the slightest provocation. While not all my clients share with their applicants that their handwriting is being analyzed, this particular one did. He told the woman what my report had said and – she blew up.”

Lowe’s efforts provide employers with an additional layer of information about a candidate. “I never tell a client that they should or shouldn’t hire someone," she says, "but my analyses provide objective information (I never meet the applicants) that they can add to their impression in the interview, application, skill testing, background check. I’m not there to stop good people getting a job, but to help the employer make sound choices. In most cases, it’s not poor job skills that cause people to lose their job, it’s personality problems.”

Show, Don’t Tell

Many applicants will come to you with impressive resumes – but a resume doesn’t tell you how they really do their job and how they fit in with your team. Having a prospective employee actually get down in the trenches and do a trial project (paid, of course) can give you a much clearer picture of how they’ll actually work for your company.

Sara Sutton Fell is the CEO of the jobsite Flexjobs.com. Applicants to her company are asked to complete an exercise that shows how they would perform in the real world.

“One of the positions is a researcher role," Fell says, "so we gave the candidates similar guidelines that our current researchers have, and asked them to take a half hour and submit the results of the research guidelines. It gives us a great insight into (a) their current level of understanding of the job; (b) the quality of their work; and (c) in what areas they may need training. "

Because her current researchers are already experts, she includes them in the process, helping her "grade" candidate responses. “We had four candidates who just knocked the research component out of the park, with their submitted results being 100 percent usable and up to our current standards, with absolutely no training. The other submissions ranged on the spectrum, with about half of them ensuring their progress to the interview stage.”

Fell's process has resulted in positive responses from applicants, as a general rule. After all, many potential hires aren’t sure how a company really operates until they land the job and start work. The test offered a glimpse of what applicants were applying for. The insights that a work exercise such as Fell's research test provides can be beneficial to applicants as well as the companies interested in hiring them.

This article is from Thursday Bram of Wise Bread, an award-winning personal finance and credit card comparison website. Read more great articles from Wise Bread:

5 Workplace Situations That Just Won't Wait

Julie Rains — Wed, 23 Feb 2011 21:44:51 +0000

Link:

http://www.openforum.com/idea-hub/topics/managing/article/5-workplace-situations...

A typical workday may have you setting priorities and communicating them to your team, everything neatly aligned with your strategic plan. No matter what your road map tells you, though, there are some workplace situations that can't wait. Here are five that should always demand your attention now.

Claims of Sexual Harassment

An employee complains that a co-worker never addresses her by name but calls her “beautiful” or “good-looking” instead. This behavior makes the employee uncomfortable.

Take complaints seriously. Avoid categorizing any employee complaints – including sexual harassment complaints – as inconsequential. Gather facts and, if possible, get statements from witnesses. Speak directly with the accused, explain that certain behaviors have been brought to your attention, and ask to hear about the situation from his or her perspective. Be open-minded and objective. Be respectful toward all parties involved. Document your activities.

Follow-up. Meet with the employee who expressed the concern. Explain specific actions taken to remedy the problem. Confirm that he or she feels comfortable at work, given this resolution. Finally, ask to be informed of further incidents.

The immediate goal is to prevent further harassment. Your long-term goal is to establish and maintain a professional work environment.

Set the tone for appropriate behavior by modeling respect in the workplace and creating policies that support your values. Policies should cover standards of appropriate language and behavior, definitions of inappropriate language and behavior, methods of dealing with complaints, and consequences for violations. Your state's Employment or Labor Department will have guidelines to help you develop appropriate policies.

Paycheck Errors

An employee questions the accuracy of her paycheck.

Communicate. Let the employee know that you are committed to prompt resolution of any payroll problems. Direct your payroll staff or outside payroll provider to address concerns quickly, preferably by the end of the workday. Certain matters may require more time to investigate but make sure that resolution happens within deadlines specified by the Department of Labor and your company’s policies.

Be proactive. Make sure your payroll team can handle payroll nuances and respond quickly to concerns. Direct them to confirm proper treatment of pay-rate increases for merit raises and promotions, adjustments to income tax withholdings, updates to employee deductions, increases in 401k contributions, etc. before finalizing payroll and distributing paychecks.

Be especially careful in setting rules about bonuses and sales commissions. Make sure that everyone -- your employees, your payroll group, and you -- share a common understanding of how these payouts are calculated. Advise employees of any changes prior to paycheck distribution and ask them to alert you to any problems.

Employees under Drug Influence

You or one of your managers observes that an employee is exhibiting erratic behavior, seems excessively drowsy, or has become dramatically less productive.

Ask the employee to stop working. Don’t accuse the employee of substance abuse. Your priority is to maintain a safe workplace rather than expose underlying problems. Focus on eliminating the possibility of injury to either the suspected employee or others. Explain why you have pulled the employee aside, and allow him or her to offer an explanation of the behavior. Depending on the response, a drug test may be appropriate. If the employee is impaired, have him or her escorted to the test facility and then home.

Follow-up when the employee returns to work. Sit down with the employee to discuss any non-drug-related problems that may be causing unusual behavior. If the drug test confirms drug use, take the appropriate next step, which may include a warning on the use of certain drugs, referral to substance abuse counseling, or termination.

Develop policies that will help prevent substance abuse. Your state Employment or Labor Department and OSHA both have guidelines to help you create a substance abuse policy. If you establish your business as a drug-free workplace, require negative test results from drug screens as a condition of employment and arrange for random testing of all employees.

Workplace Accidents

An employee is injured in an accident at your workplace.

Seek medical evaluation and treatment immediately. Prompt care will ensure the best outcome and avoid complications. Depending on the nature of the accident, suspend activity in the area in which the injured employee was working.

Next, investigate the accident. Observe workplace conditions and talk to witnesses and the injured employee (if possible) to get a clear picture of the events that led to the accident. Address any safety violations before anyone else is allowed to enter the area. Over the following days, pinpoint the cause and devise a plan to remedy safety problems.

Consider a risk assessment. Comprehensive safety programs can provide a framework for preventing accidents, responding to them, and taking corrective action later. Ask your insurance carrier to conduct a risk assessment (relating to workers’ compensation insurance coverage) and provide guidance on accident prevention. To augment the safety program, create an incident-response plan to guide decision-making immediately following an accident.

Irate Customers

A customer is incensed about a real (or perceived) failure on your business’s part to deliver results as required and expected.

Respond immediately. Your goal is to prevent escalation and collateral damage. Customer service policies, though useful as a guide for most interactions, may not be helpful in situations with irate customers. Solutions will vary depending on the nature of the problem but may include invoice adjustments. Getting to the root cause of the problem and making corrections to underlying processes are essential, but you may not have the leisure to wait for an investigation; taking immediate action, even if based on imperfect information, is the better course.

Plan ahead. Before you deliver a product or service, verify that your company is in full compliance with all specifications so you can articulate and defend your position if conflicts arise. For less clear situations, consider examining and updating your marketing communications so that your products or services are more closely aligned with customer expectations. In some situations, though, you’ll need to identify and get rid of bad customers before problems surface.

You may never encounter these high-risk, sensitive situations. But planning now to avoid them and deal with the unexpected can help your workday go smoother, every day.

This article is from Julie Rains of Wise Bread, an award-winning personal finance and credit card comparison website. Read more great articles from Wise Bread:

5 Tips for Using the Internet at Work

Sarah Winfrey — Tue, 14 Dec 2010 15:00:10 +0000

Most employees get on the Internet for personal reasons while they’re at work. It makes sense — when you’re online all day anyway, you may as well check your personal email, Twitter, or even Facebook.

Many employers don’t mind if their employees spend some personal time online, as long as it doesn’t interfere with customer service or hamper productivity. In order to keep it that way, though, there are some tips you should keep in mind. They are, for the most part, common sense, but you might be surprised how many employees break them. (See also: 5 Ways Being Nice at Work Can Payoff)

1. Know Your Company’s Policy

More and more companies have written policies covering what their employees can and cannot do online from the office. Ask about this or look it up before you have the chance to get in trouble, as it will look especially bad to be found breaking it if you’re new to the job. While you may feel awkward asking about checking personal email at your orientation, doing so will help you get started on the right foot.

2. Avoid Blocked Websites

Some companies have started blocking social networking sites or video sites, like YouTube, so that computers on their premises cannot access them. Usually the programs that block these sites also record which computers are trying to access them. If you make repeated attempts, or more attempts than most people do, you may find yourself having an awkward meeting with HR.

3. Watch What You Say

When you’re at work, you represent your company, even if you’re sending a personal email. That may not seem straightforward to you, but it will certainly seem that way for your company. Thus it’s important to watch your words, especially if there’s the chance that a keylogger is installed on your computer.

Refrain from swearing, tirades, rants, and other overly emotional communication at work. Even if you’re not talking about your company directly, these sorts of communications may garner you more attention than you’re looking for.

4. Don’t Knock Your Company

This one may seem particularly obvious, but people still get fired regularly for the things they say about their company online. If you have something negative to say about your job, your corporation, your boss, your coworkers, or anything possibly pertaining to work, just don’t say it online. Don’t Tweet it, don’t post it to Facebook, don’t blog about it, and don’t email anyone about it.

If you’re angry about a specific situation and you need to talk, take a break (even if you have to take personal or vacation time to do it) and call someone close to you. Go outside, have your rant, and be done with it. If you need to tell someone at work what’s going on, do it in person, not via the web.

5. Don’t Give Away Company Secrets

Again, this one should be obvious. But people email their work passwords to a personal account all the time. Even if you have a perfectly legitimate reason for doing this, at least clear it with your supervisor first. That way, if the company has certain keystrokes flagged and you trigger an alarm, you have support when defending yourself against the charges.

Emails about trading information, new designs, product revisions, personnel reviews, and more should all be sent encrypted if they’re leaving your company. Some may disagree with this, but you want to cover yourself in case something gets leaked.

It goes without saying that you shouldn’t pass secure information via the Internet for illegal purposes, either. Your job and your reputation are more important than any data you might obtain.

It’s easy to be a responsible employee and still keep up with your personal life online while at work. Just make sure you’re not being a moron, and do what you know is right.

This article is from Sarah Winfrey of Wise Bread, an award-winning personal finance and credit card comparison website. Read more great articles from Wise Bread:

Questions You Can't Ask When Hiring

Thursday Bram — Sun, 16 May 2010 00:34:51 +0000

Link:

http://www.openforum.com/idea-hub/topics/managing/article/questions-you-cant-ask...

Legally speaking, you can ask just about anything at a job interview. But there are plenty of questions that you should never actually ask, because they'll quickly come back to haunt you. If you ask a question that could be interpreted as discriminatory and then choose not to hire the interviewee, it can be very easy for that interviewee to say that he or she didn't get the job due to discrimination.

Here is just a handful of the many questions that can get you into hot water:

Are you planning on having children?
Have you ever been arrested?
What religion do you practice?
Have you ever declared bankruptcy or had your wages garnished?
Do you have any handicaps?
What ethnic background do you come from?
Are you pregnant?

A Question of Discrimination

Off-limits questions boil down to any that could lead to accusations of discrimination down the road. Roberta Matuson, the president of Human Resource Solutions, has seen the trouble a well-intentioned small business owner can get into.

During the interviewing process you cannot ask anything that is related to marital status, race, religion, sexual orientation or anything else that might be perceived as discriminatory. Common mistakes small business owners make when hiring include asking people (generally women) about their plans for a future family or how they will care for their children while at work. Or they will ask questions such as, 'Where did you learn to speak Spanish?' which can cause the candidate to reveal their origin.

Matuson points out that some questions can even be double-whammies:

'What does your husband do?' This answer to this question reveals both sexual orientation and marital status.

It may seem difficult to ask an interviewee about what he or she wants in the future, based on the long list of questions that are essentially off-limits. That doesn't mean that you can't get a good idea of what you can expect with a prospective employee. Matuson suggests:

The best predictor of future behavior is past behavior. Look at the person's track record. Ask them to explain why they left each position they've worked in. If they've jumped around for reasons that make you suspect they may do the same if you hire them, then pass.

How You Ask Questions

You can't protect your business by warning candidates that answers won't be taken into consideration or that they don't have to answer. Chris Beck, the managing director of First Transitions, has more than twenty years of human resources experience. He tells the story of a sales manager conducting interviews in different cities for sales representatives for his manufacturing company:

The sales manager used the following 'technique' in all of the interviews: he truly thought that if he 'warned' the candidates that he intended to ask inappropriate questions by stating, 'this next part is off the record' — he could ask anything he wanted and it would be OK. After he told each candidate that 'this next part is off the record,' he proceeded to ask the following questions: How is your financial status? Are you in debt? How are things at home with your spouse — any trouble there? How will your spouse feel about you traveling if you get hired? When you travel on business, do you party or 'fool around' at all? Have you ever been in trouble with the law?

Beck continues:

Of course, there is nothing 'off the record' in an interview. Even if the interviewer takes the candidate for a cup of coffee after the interview, it is still considered part of the interview...inappropriate questions are still inappropriate. Some of these sales candidates did question the sales manager why they were being asked those questions during the interview. Fortunately for the manufacturing company, none of the unselected candidates filed a claim — although they could have.

Planning for an Interview

Linda Pophal, the author of Employee Management for Small Business, notes that employers should only ask those questions that relate to the job, but that making sure you stay on track during an interview can be particularly difficult.

For example, then, if you're hiring a data entry clerk, things like speed and accuracy will be important to you. What won't be important are things like sex, age, race, religion, marital status...It really is quite straightforward. Where small businesses (and even large ones!) get into trouble is when they begin just asking questions without a plan and without a focus on job-related hiring criteria.

In order to make sure that you stay on track during an interview it's important to have an idea of what you need before you even schedule the interview. Pophal suggests coming up with your questions before the interview:

If one of your requirements is that a candidate has strong customer service skills, you would come up with questions that you felt would help you most effectively determine whether/not they had these skills. For instance: 'Tell me about a time when you had to deal with a difficult customer. What was the situation? What did you do? What was the outcome?' or 'What do you believe are the strongest characteristics of a person with strong customer service skills? Which of these skills do you believe you are strongest at? Which do you feel you could improve on?'

If it proves difficult to come up with appropriate questions, Matuson points to more information as the solution.

The best way for small business owners to protect themselves is to educate themselves. Ways to do this include asking your attorney for a list of questions that are best avoided or working with an HR expert who can guide them through the minefield that is often associated with everyday hiring.

While you may not be able to get the free and easy feeling of choosing your questions on the spot, going in with a plan guarantees that you'll learn what you need to know about your prospective employees, without asking anything that could cause problems down the road.

This article is from Thursday Bram of Wise Bread, an award-winning personal finance and credit card comparison website. Read more great articles from Wise Bread:

The Small Business Benefits Package

Thursday Bram — Sun, 09 May 2010 17:40:29 +0000

Link:

http://www.openforum.com/idea-hub/topics/managing/article/the-small-business-ben...

As a small business owner, winning over and keeping the best employees can be difficult. The right benefits package can make a world of difference: You can improve employee morale, make it easier for your employees to come in to work every day and make your business run a little more smoothly.

On top of offering the right benefits for your employees, it can be particularly important to create benefits that you, the business owner, can take advantage of.

When to Add a Benefits Package

Recognizing the point when offering benefits, no matter what kind, can be difficult. In many cases, offering costly benefits from the day you open your doors simply isn't cost effective. But as your business grows, you increase the size of your work force, or your personal needs increase. Adding certain benefits can make a word of difference.

Rashelle LeCapitan, the president and founder of Connecting Cultures, found that offering health insurance as a benefit was crucial to her company moving forward.

We wanted to become a competitive employer throughout our community. More importantly our industry did not have full time positions available for healthcare interpreters. The goal of the company was to provide employment opportunities for bilingual individuals wanting to connect their communities through language services. In order to do this, we felt providing health insurance was critical to attract and maintain a professional staff. It was also important to provide benefits that I, as owner, was able to take advantage of.

Being aware of your employees' needs can be as simple a matter as sitting down with them and talking over the matter. It is crucial to handle such a situation delicately, of course. The concern is that many employees may want benefits that you are not yet able to offer and it's possible to create a problem if you are not absolutely clear when you discuss the circumstances.

However, as long as you are aware of such concerns before you start the discussion, you can typically head off issues from the beginning. And, after all, it's important to get information on what benefits would be suitable for your employees. Even within a single type of benefit, such as health insurance, there can be wide variations between plans. What may be right for a young, single employee may not be so helpful for an older employee with a family.

What Benefits to Offer

The standard benefit most employees look for is health insurance. It can be a critical component of the package that you offer, but there are alternatives worth considering. For instance, many business owners find that a traditional health insurance plan isn't the only solution to their employees' needs: a health savings account or a monthly allowance can be useful options.

For many employees, benefits such as assistance with public transportation or the opportunity to telecommute can be particularly useful. While it is not necessary to directly involve your employees with the process of choosing specific benefits, it is important to be aware of their needs. LeCapitan's choices were based first and foremost on her business' financial capabilities.

Health insurance came first. Second was paid vacation and holidays. Currently we offer dental and AFLAC as well," said LeCapitan. "The intangible benefit that is also available is our flexibility and understanding for the personal needs of our staff. As an example, and within reason, an employee may not be penalized for having to stay home with their sick child. Small businesses can offer benefits that large corporations do not and vice versa.

Be creative with your choice of benefits. You can often negotiate a better company rate for certain services your employees need than they can get for themselves. A gym membership, for instance, can help your employees stay healthy and (as long as you have more than one or two employees), you can negotiate a group rate for a membership as a benefit. It's easy for your benefits package to serve multiple purposes.

Working With a Benefits Provider

There are many companies that have put together benefits packages with small businesses in mind, and as the new health care reforms come into effect, it is likely that even more packages will be available. David Jenson, the managing director of Oliver Russell, chose to work with A Plus Benefits because the company provided easy offerings that met the company's employees' needs. Jenson notes:

Our employees recognize the importance of good benefits and appreciate that we provide the best options for them and their families. With A Plus, we're able to offer our team broad medical and dental benefits as well as options that allow them to pick and choose plans that work best for them; everything from Health Savings Accounts (HSAs) to traditional PPO plans.

When working with such a company, it's important to make sure that your benefits provider is reliable. Jenson says:

Employees rarely worry about payroll or human resource issues until there is a problem or mistake. It only takes one incident for an employee to lose trust and start questioning the company. In a time where employees expect benefits, the ability to provide a generous benefits package can make a company very competitive and can go a long way towards attracting top talent.

Other options for finding a benefits provider can include looking to your business' local memberships, such as chambers of commerce or professional associations. LeCapitan says:

Our initial step to finding insurance providers was working with our local chamber of commerce. They have a health insurance program that takes all of their members as one group to provide more reasonable rates for their members' employees. The insurance agent that had an existing relationship with my co-owner was our initial vendor. Ultimately we switched vendors as we grew and as our needs changed.

Working with an individual agent can also be an option. If you handle most of your business' insurance policies through the same agent, you may be able to negotiate a lower rate. Get a quote from as many sources as possible as a starting point.

This article is from Thursday Bram of Wise Bread, an award-winning personal finance and credit card comparison website. Read more great articles from Wise Bread:

Temps, VAs, Contractors and Employees: Who Should You Hire?

Thursday Bram — Fri, 30 Apr 2010 20:32:16 +0000

Link:

http://www.openforum.com/idea-hub/topics/managing/article/temps-vas-contractors-...

The options for bringing in some help for your business go far beyond hiring a full-time employee. While an employee can be a good choice in many situations, it's worth taking a look at the other options out there, as well as the situations in which each can best help you grow your business in the long term.

Temps

Depending on the type of projects you need help completing, a temp may be more practical than bringing in a new employee full-time. On an hourly basis, it may appear that a temp is more expensive than hiring someone directly, but the hourly rate you pay for a temp is typically not that far off from the actual cost of an employee when you calculate taxes, insurance and so on. You also have the benefit of only paying for a worker when you have a project for him or her to work on. Another benefit of hiring through a temp agency is that the agency handles most of the paperwork and other details that go along with hiring an employee. As a general rule, agencies test applicants' skills, check references, handle payroll taxes and more.

Whether or not a temp is a good fit for your business tends to be a question of just how much work you have that you or the other employees already in place can't handle. For the occasional project where you just need a spare pair of hands (like changing over a filing system or conducting inventory) a temp can significantly speed up the process at a reasonable rate. But if you've reached the point where you need at least a few hours every week, it's likely that a temp isn't the best choice for you. After all, there's no guarantee you'll get the same temp every time, which can mean training a new person on a regular basis.

Virtual Assistants

Sometimes you don't need a full-time employee, but you do need to work consistently with the same person. A virtual assistant can often fill that gap. While you may never meet a VA in person, he or she will provide you a certain number of hours of work a week, doing everything from administrative tasks to web design, depending on the VA in question. Typically, virtual assistants are contractors, running their own businesses, although some will work for a larger business providing a range of assistant services. Different VAs will offer different skill sets.

The price tag that goes along with working with virtual assistants can vary pretty dramatically. Many virtual assistants are based outside of the country and can offer significantly lower rates due to their location. However, there are trade-offs, including difficulties communicating and working with someone in a very different time zone. VAs closer to home tend to be more expensive, especially if they offer a specialized skill set. However, it is worth noting that the costs associated with an employee are absent when you work with a virtual assistant. You don't even have to pay to have the lights on when your VA is working.

Contractors

For particularly specialized projects, it may make sense to bring in a contractor or a freelancer. If, for instance, you need a new website built for your company, a freelance designer is likely to be the most cost effective option: you aren't likely to need more than one website any time soon, so hiring a web designer on a long-term basis just doesn't make sense. A contractor is likely to have better-developed web design skills, as well, than an employee for whom web design is just one more responsibility. Contractors are generally one of the best options when you need a specialized skill set on a short-term basis.

Pricing for contractors is fairly similar to that of virtual assistants. You'll likely pay a premium for the best work and for someone located within the country, but a freelancer does not work from your office nor require you to pay benefits or taxes. Many contractors are also willing to work on a per-project rate. However, it is important to be careful to make sure that your professional relationship is based on a contract and to check out the IRS rules for working with contractors. There are certain circumstances in which the IRS will reclassify a contractor as an employee, which can be a big mess for both you and the contractor.

Employees

The first type of help most employers think about bringing in when they're ready to expand are employees. Typically, employees are expected to work for a company indefinitely, meaning that an employer is making a long-term financial commitment to any employee. There are other financial considerations that can set an employee apart from the other personnel that might help you with your business: when you have employees you have legal obligations such as payroll taxes. You may also choose to offer employees benefits, while it's very rare that benefits are available to other people who may be working for your business.

If you know you're going to consistently need the same skill set in your business for a long time to come, an employee is probably going to be the best option, whether part-time or full-time. It may also be worth considering an employee if you need someone to work specific hours and in a specific location. Those are both concerns that can lead to contractors being reclassified as employees.

Choosing Your Help

It's crucial to look at the specific responsibilities you have in mind for anyone you're considering bringing into your business. Are those responsibilities flexible in any way? If there's a lot of variety, would they be better broken up into smaller projects? How important is it that you have the same person handling these responsibilities day in and day out? These questions can be key to deciding whether you really need an employee or whether hiring someone as a contractor, a virtual assistant or a temp may prove to be a more cost effective option.

This article is from Thursday Bram of Wise Bread, an award-winning personal finance and credit card comparison website. Read more great articles from Wise Bread:

The High Cost of Employee Turnover

Scott Allen — Fri, 09 Apr 2010 19:42:22 +0000

Link:

http://www.openforum.com/idea-hub/topics/money/article/the-high-cost-of-employee...

It's impossible to be all things to all people. No matter how great your company is, it's likely that some of your employees will eventually move on to other opportunities. That may be costing you more than you realize, once you consider both the direct and indirect costs. Investing a little more into hiring and retaining the right people can pay out big in the long run.

Just how much employee turnovers cost varies widely by industry and job type. Studies by American Management Association and others report a range between 25% and 250% of annual salary per exiting employee. Entry-level, unskilled positions are at the lower end of the cost range, while executive, managerial and sales positions are at the higher end. According to the U.S. Bureau of Labor Statistics, the average non-farm monthly turnover rate is 3.3%.

Let's put this in perspective. Using the median personal income of full-time workers of approximately $32,000 per year, and assuming a 100% of salary as turnover cost, for a company with 100 employees, that's an annual cost of $1.3 million. And much of it you'll never notice, because you don't just write a check for it — it appears in the form of lost productivity and other less immediately obvious factors.

A web search will turn up several online turnover cost calculators, but if you want to get an accurate picture, it's best to set up your own spreadsheet that incorporates all of the factors relevant to your business.

Calculate Profit Per Day (PPD)

For each affected position — the vacated position, HR staff, managers, etc. — calculate an approximate cost per day for lost productivity. For sales staff, start with the individual sales quota less the cost of sales; for non-sales staff, calculate with the gross income (revenue less cost of sales) per employee. Then subtract the employee's salary and benefits and divide as needed to calculate the daily profitability per employee. You'll need to tweak it intelligently according to the person's position — clearly the CEO has greater potential impact on the company's profits than an entry-level unskilled worker. You'll end up with a number for each affected employee that will give you an approximation of the value of their lost productivity

Exit Costs

1. Human Resources
There's potentially a lot of paperwork when an employee leaves. Calculate the cost of your HR staff's time to conduct an exit interview (and the time of the exiting employee), stop payroll, change benefit enrollments, COBRA health insurance notification, and any other administrative activities.

2. Managerial Handoff
Calculate the cost of the manager who will conduct their own exit interview, review the exiting employee's work-in-progress, and determine how to cover that work until a replacement is hired.

3. Involuntary Termination
If the employee was terminated involuntarily, calculate the costs of any severance package, benefits continuation and unemployment insurance premiums, if eligible.

4. Lost Customers and Contacts
Non-compete agreements are extremely difficult to enforce in practice. Particularly if the employee is in a sales or customer service position, consider the potential cost of customers the employee may be taking with them to their new position. For any position, consider the value of the contacts they have developed (of course, a new person may bring in their own contacts that offset this).

5. Lost Knowledge
During their time at your company, the exiting employee may have developed specialized knowledge and skills about your business. You may have even invested in training for them. (Note: You should only count training costs on either the exiting employee or the new employee, not both.)

Absence Costs

1. Coverage
The exiting employee's essential responsibilities are going to be taken up by other employees, which means that some portion of their own current workload will typically be given up and their productivity reduced. Or, you may have increased overtime costs to cover the work. Be sure to include the additional management costs to re-delegate the work.

2. Direct Productivity Loss
The rest of the tasks performed by the exiting employee simply won't be done in their absence. Estimate that portion and multiply it by their PPD.

3. Disruption
While it may be difficult to put an exact number on this, an exiting employee may be disruptive to essential business processes in a way that goes beyond simple coverage issues. What's the cost if a customer gets upset because something didn't get handed off properly? Also, consider the effect on the morale of other employees when a respected peer leaves.

Recruitment Costs

1. Advertisements
Where and how will you advertise the available position? Classified ads and internet job postings typically cost several hundred dollars per listing. Employee referral costs typically run from a few hundred to $2,000 or more. External recruiter fees can run as high as 1/3 of the salary for the position.

2. Internal Recruitment
Calculate the time cost for the internal recruiter to understand the position requirements, develop a sourcing strategy, review resumes, prepare for and conduct interviews, conduct reference checks, make the offer to the selected candidate, and notify unsuccessful candidates.

3. Hiring Manager
Calculate the cost for the hiring manager(s) and other key stakeholders to review resumes, conduct interviews and make their selection.

4. Internal Candidates
Calculate the lost productivity for any internal candidates who may apply for the position.

5. Screening
Calculate the costs of drug screens, background checks, skills assessment, personality profile testing, and any other tasks (especially outsourced ones) used to screen candidates.

Onboarding Costs

1. Onboarding
Calculate the cost of both the new employee and HR staff for orientation and onboarding paperwork, including business cards, ID badge, credit card, mobile phone and so on. Also consider the costs for IT staff to set up user accounts, telephone access, etc.

2. Training
Calculate the cost of both structured training (including materials) and the time of managers and key coworkers to train the new employee to the point of 100% productivity.

3. Productivity Ramp-up
Depending on the position, it may take anywhere from a few days to a few months for the new employee to be at 100% productivity. For a simple calculation, take the number of days to 100% productivity and divide it in half. Multiply that by the PPD for this position.

Once you look at just how widespread the impact of employee turnover is, it's easy to see how associated costs and productivity losses could run as high as 200% or more. Once you've done your own calculations, it may give you some food for thought: Relative to the cost of the churn, investing in simple things that make your company a more comfortable and rewarding place to work could yield big dividends, even if they're hidden.

This is a guest post by Scott "Social Media" Allen, a 25-year veteran technology entrepreneur, executive and consultant.

This article is from Scott Allen of Wise Bread, an award-winning personal finance and credit card comparison website. Read more great articles from Wise Bread: