CONSULTING - TOP 3 SMALL BUSINESS HR ISSUES
Risk Management : Increase Effectiveness : Problem Resolution

Your expertise is your product or service—not human resources. HR Precision can help reduce risk and improve effectiveness in your organization through consistent employment practices. We have found the Top 3 HR Issues for small and mid-sized businesses to be:

• Employment Policies & Practices
• Discipline & Termination
• Compensation & Overtime Pay Practices

Employment Policies & Practices
There's no law that says when you're required to have a written Employee Handbook or Policy Manual. However, it's much easier to be consistent if there are written policies for handling common situations and established practices for doing so. We typically recommend a manual when you reach from 10 to 20 employees.

Policy manuals commonly outline expectations you have of your employees, explain your requirements of fair treatment and equal opportunity employment, and provide information on benefits and compensation practices. HR Precision can develop an Employee Handbook customized specifically for your organization.

Discipline & Termination
Even the smallest business has to hire and fire. The most common question by small businesses is how to handle employee situations that require discipline and/or termination. You may need to know how to document a performance problem, how to coach an employee about a deficit, or how to weigh the risks of a termination decision.

At-will employment provides flexibility for separations, but it does not eliminate risk. Lowering your risk includes evaluating each situation case-by-case and then implementing the appropriate action according to your consistent policies and practices. Of course, there's often the unusual situation that you've not seen before…and that's when the outside assistance of HR Precision can be invaluable.

Compensation & Overtime Pay Practices
When are you required to pay overtime? What does it mean to be exempt or nonexempt? What is FLSA anyway? These are common questions you may come across in your business.

The Fair Labor Standards Act (FLSA) requires all employers to classify employees appropriately into categories based on the responsibilities performed. This classification determines if they are eligible for overtime pay. Making classification decisions is not easy, and many small businesses are exposed in this area due to not understanding FLSA requirements. Count on the expert knowledge of HR Precision to help clarify this often confusing—and potentially risky—area.