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May 03, 2017

Bad Managers Aren’t Good for Business

Few things are as costly and disruptive as good people turning in their resignation. Finding qualified, motivated and reliable employees can be challenge enough but retaining them once hired can often be just as taxing. In order to prevent good employees from wanting to exit, companies and managers need to understand what they’re doing that contributes to an employees’ departure because people don’t typically leave jobs, they leave managers.

Many managers lack fundamental training in managing people. More importantly, they lack the values, sensitivity, and awareness needed to interact effectively with their staff which affects the company as a whole and causes the bottom line to suffer.

 

Let’s take a look at the type of manager behavior that send good people packing.

Micromanagement - Bosses who are always under foot and constantly requiring updates are exasperating to everyone. All managers should start out from a position of trust with their employees. Micromanaging shows a lack of trust and makes an employee feel like they can’t be counted on to do things effectively.

Failing to get to Know Employees as People – Developing a relationship with employees is a key factor in managing. Managers need to know how to balance being professional with being human. Because we spend more time at work than we do at home most days, it’s important that employees feel like they belong. Celebrating successes, both professional and person, and empathizing during hard times can go a long way.

Workload Burnout – If you want push people out the door, nothing does it better than overworking your staff and pushing the limits of excessive production. Managers tend to push their best and most talented to do more but overworking your employees is counterproductive and risky if you don’t compensate with some sort of recognition such as raises, promotions or title-changes.

Failure to Communicate – The best communication is transparent communication. Sharing as much information as possible helps to make employees feel engaged and empowered. It also opens the door for feedback, ideas and suggestions which every company should encourage.

Don’t Recognize Good Work – Everyone likes a pat on the back every now and then and it’s the managers’ responsibility to reward a job well done. It can be as simple as verbal recognition, a small token of acknowledgement such as a gift card for coffee or as grand as a raise or promotion.

Failure to Develop Skills – Talented employees are always looking to learn something new and missing the mark on this one can cause your best people to grow bored and complacent. If you take away their ability to improve, it not only limits them, it limits you too.

If you want your best people to stay, you need to think carefully not just about how you develop them but about how you treat them. Cultivating happiness and good will through methodical efforts will help to avoid any unnecessary losses.
May 02, 2017

HR Question: Non-Paid Positions

Question: We are offering non-paid positions volunteer work to interns working at the office on research projects, collecting data and conducting study projects. What liabilities do we need to be aware of as these volunteer interns will be working on company premises?

Answer: One of the primary issues you face is in paying or not paying your interns. The Fair Labor Standards Act FLSA, which sets standards for the basic minimum wage and overtime pay, affects most private and public employment. Covered and nonexempt individuals who are “suffered or permitted” to work must be compensated under the law for the services they perform for an employer. Internships in the for-profit private sector will most often be viewed as employment, unless the test described below relating to trainees is met.

Interns in the for-profit private sector who qualify as employees rather than trainees typically must be paid at least the minimum wage as well as overtime compensation for hours worked over 40 in a workweek.

Test for Unpaid Interns

The determination of whether an internship or training program meets this exclusion depends upon all of the facts and circumstances, and the following six criteria must be applied when making this determination:
 
  • The internship, even though it includes actual operation of the facilities of the employer, is similar to training which would be given in an educational environment.
  • The internship experience is for the benefit of the intern.
  • The intern does not displace regular employees, but works under close supervision of existing staff this is the test that shows the intern is not answering phones, delivering mail, filling in for an absent employee, etc., and that the intern is doing work that is for his or her benefit and not necessarily for the benefit of the employer.
  • The employer that provides the training derives no immediate advantage from the activities of the intern, and on occasion its operations may actually be impeded.
  • The intern is not necessarily entitled to a job at the conclusion of the internship.
  • The employer and the intern understand that the intern is not entitled to wages for the time spent in the internship.


If all of the above factors are met, an employment relationship likely does not exist under the FLSA, and the act’s minimum wage and overtime provisions do not apply to the intern. This exclusion from the definition of employment is necessarily quite narrow because the FLSA’s definition of “employ” is very broad.

Important: As of May 25, 2016, the Second Circuit New York, Vermont, and Connecticut and the Eleventh Circuit Alabama, Georgia, and Florida have rejected the Department of Labor’s six-factor test and have adopted the “primary beneficiary” relationship test, which takes into account the economic reality between the intern and the employer. The primary beneficiary relationship test has seven factors:
 
  1. The extent to which the intern and the employer clearly understand that there is no expectation of compensation. Any promise of compensation, express or implied, suggests that the intern is an employee — and vice versa.
  2. The extent to which the internship provides training that would be similar to that which would be given in an educational environment, including the clinical and other hands-on training provided by educational institutions.
  3. The extent to which the internship is tied to the intern’s formal education program by integrated coursework or the receipt of academic credit.
  4. The extent to which the internship accommodates the intern’s academic commitments by corresponding to the academic calendar.
  5. The extent to which the internship’s duration is limited to the period in which the internship provides the intern with beneficial learning.
  6. The extent to which the intern’s work complements, rather than displaces, the work of paid employees while providing significant educational benefits to the intern.
  7. The extent to which the intern and the employer understand that the internship is conducted without entitlement to a paid job at the conclusion of the internship.


In examining these factors, no one factor is dispositive and courts should weigh the factors to determine the appropriate result depending upon the facts before them. The factors are also not exhaustive and, in certain situations, additional evidence may be appropriate to consider.

Here is our practical advice before you hire an intern:
 
  • Develop an intern policy and define the job carefully so that both parties are clear about job duties and expectations. This reduces misunderstandings that can lead to lawsuits. The policy should define the basic internship program, such as compensation structure or the fact that interns will be unpaid, eligibility requirements, and the intern’s at-will status. Make sure the policy does not establish what could be viewed as a legally binding contract. Never infer the promise of employment for a specified period.
  • Define supervisory roles and supervisor/intern evaluations. Reliable supervision is the key to preventing problems, including injuries, discriminatory actions, and performance failings. Make sure all supervisors know who is overseeing the work of each intern.
  • If possible, obtain formal documentation from the intern’s college explaining the educational relevance of the internship if the intern will earn credits.
  • Ask whether the school provides liability insurance to cover damage caused by a student. Many schools carry the coverage. Also, if the company has employment practices liability insurance, check whether it extends to interns.


Once the intern is on board:
 
  • Manage interns as closely as employees, if not more so. The company can be held responsible for the actions of any workers, including unpaid interns, while they are performing work for the company. Courts will view interns like employees, as “agents” of the company.
  • To ensure interns are paid correctly, maintain time records. To avoid the possibility of FLSA violations, companies who find themselves in the position of “employer” should ensure their interns accurately capture and are paid for all of their hours of work.
  • Apply the company’s workplace policies to interns, for both consistency and good positive employee relations reasons. Interns who are considered employees have all of the legal protections regular employees have, and even unpaid interns may be able to pursue claims under Title IX, which bans sex discrimination in “any education program” or pursue common-law job-bias claims, such as infliction of emotional distress.
December 14, 2016

7 Simple Steps to a Well-Balanced Work Life

With employees constantly striving to prove their invaluable skill sets, along with the rise of technological advances, employers are finding it more and more challenging to get their employees to slow down and take well-deserved breaks from their work responsibilities.

Often equipped with fewer resources and a smaller staff size, nonprofit employees tend to feel overworked and stressed out. Because high stress levels can lead to a domino effect of general workplace unhappiness and high turnover rates, it’s imperative that employers take the time to encourage a balance between their work and personal life.

Here are 7 best practices that will help your employees maintain a proper work/life balance:
 
  1. Set the example. Rather than just preaching the importance of taking time off from work, you need to take time off yourself and avoid work communications when you’re off the clock.
  2. Encourage vacations. Vacation days are meant to be used. In case your employees are too “busy” or nervous to take their allotted vacation time, make sure you let them know that you want them to take a relaxing break from the office.
  3. Have flexible work hours. If possible, allow your employees to work from home, outside or at a nearby café every now and then. You can also let them create their own work hours, rather than strictly enforcing a typical 9-5 schedule.
  4. Give time management tips. Provide training on the latest methods for organizing priorities or keeping track of both short term and long term tasks. This should help increase work efficiency and lessen the amount of time your employees work outside the office.
  5. Develop personal relationships. Ask your employees about any upcoming trips they may have or what’s new with them. Having consistent conversations with your team will help you gauge whether or not they’re feeling burnt out or overwhelmed at work.
  6. Implement interactive breaks. Whether it’s a quick game of charades or a weekly company lunch, set up fun breaks throughout each month so that your employees have something to look forward to.
  7. Ask for suggestions. No one knows what employees want more than employees themselves. Request feedback on what methods help them stay de-stressed and happy. They’ll appreciate your thoughtfulness and will respond positively when you implement their ideas.


As a supervisor, your responsibility is to make sure that your employees have the tools and positive work environment they need to efficiently work through their day-to-day tasks. Taking the time to check in with your staff and encourage a balanced lifestyle will not only help your employees stay sane, but also improve general organizational productivity and growth. ​
December 06, 2016

HR Question: Handling Employee Requests for Steep Pay Increases

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Question: One of my best employees is asking for a raise because he found salary data on the internet that he believes shows he is underpaid. How should I handle that conversation? I don’t want to lose him, but I doubt he is that underpaid.

Answer: Handling this type of discussion on such a sensitive subject can be difficult, but it is also an excellent opening for a frank conversation with that employee about his professional needs while you get direct feedback about his view of his job and the company. We recommend this approach:
 
  • Involve the employee’s manager in the discussion and have him/her lead the conversation with the employee.
  • Treat his concerns with respect and schedule time with him to discuss his issues. He may have been searching the internet for jobs as well as salary information.
  • Let him know that he is valuable to the company and you want to hear his concerns and review the salary data that he has compiled.
  • Prior to that meeting, review your company’s reason for paying the employee at his current salary. The compensation rates are probably due to a number of factors, including your compensation survey data, your internal company compensation strategy, and his performance level. For example, your company’s strategy might be to pay below market level because your benefits or time off plans are so rich.
  • If you are satisfied that you are paying him the proper compensation for this job that is aligned with all of the internal company equity considerations, then think about how you will present that information to him during the course of the conversation. If you believe that there may be some valid concerns about his level of compensation, discuss those concerns in advance with your boss and Human Resources and consider what may be done to ensure his compensation is adequate.
  • Try not to minimize the salary data that he is bringing to you to discuss. The information on the internet can be very broad, general and tied to a job title (that could be very different that what the employee is actually doing in your company) where the data your company uses is probably carefully matched to the industry and the specific job description’s duties and responsibilities.
  • You can point out that general compensation surveys can be misleading and may not consider the total compensation package being offered, especially if you have more specific information that you can share with him about how his total compensation package was derived.


During the course of these types of conversations, although compensation may be mentioned as the presenting problem, often the issue is really not that: You could find that the issues are more about the job itself, development opportunities, career goals, or other considerations. Consider the complete picture and be prepared to have a career development discussion with the employee about where he currently fits in the organization, what additional skills he may need to move his career in the direction he wants it to go, or other considerations.

The keys to these types of conversations are to treat the employee with respect and not dismiss his concerns without a good discussion of all of the relevant factors. Assure the employee that you value and respect his contributions to the business and want to do all you can as his manager to help him be productive and feel good about his contributions to the business.

This Q & A was provided by ThinkHR, powering the UST HR Workplace—a cloud-based HR platform provided to UST members at no additional cost. If you’re a 501(c)(3) nonprofit, get your toughest HR questions answered by signing up for a free 30-day trial
November 29, 2016

Tips for Handling Employee Pay Issues Caused by Mother Nature

Although warmer weather is on the way for most organizations across the U.S. it's always the right season to think about how to handle employee relations and pay issues that arise when your organization is forced to close due to inclement weather.

What should an employer do? Pay employees to stay at home? After all, in most cases, they are not at work through no fault of their own. Many businesses, however, do not have the financial resources to pay employees not to work. What follows are the rules regarding paying employees who miss work due to Mother Nature, along with some practical tips. From an employee relations perspective, the more generous you can afford to be to your employees who are suffering as a result of a weather-related disaster, the better. Employees (and their families) do pay attention to how they are treated, and a little extra time off and compassion for individual circumstances can go a long way towards enhancing employee loyalty.

If the company has no power and sends employees home for the day, should they be paid? And does it matter if the employee is exempt or nonexempt?

In general, there are two sets of rules for paying employees depending upon their classification under the Fair Labor Standards Act (FLSA) as it relates to eligibility for overtime. With nonexempt employees (those eligible for overtime pay), there is no obligation under federal or state law to pay for time not worked. However, under certain state laws, employers may have an obligation to compensate nonexempt employees under call-in/reporting pay laws, especially if the employees were not advised that they should not report to work and were denied work upon arrival at the workplace.

These pay obligations vary by state. With respect to salaried exempt employees who must be paid on a “salary basis” under the FLSA, employers may not make salary deductions for absences that result from an employer’s partial-week closing of operations, including closings due to weather-related emergencies or disasters. The bottom line is that exempt employees must be paid their full salary if they perform any work in a workweek and only miss work time due to the employer’s closure of operations. Closures for a full workweek need not be paid if no work is performed.

Are these rules different if the company can tell the employee not to come to work the next day?

For nonexempt employees, if they are told in advance not to come to work and the employees stay home, then the employer is under no obligation to pay them for the time off. The employer and the employee can choose to use accrued paid time off to compensate the employee for the missed workdays.

For exempt employees, the “salary basis” rule still applies. In some cases, the employee may be working from home during the bad weather days. If state laws permit employers to do so, employers may deduct from the exempt employees’ accrued paid time off balances to resolve the issues related to “salary basis” compliance. The employer should ensure, however, that these employees have not done any work from home during the office closure prior to deducting time from the accrued paid time off bank balances.

If an employee is on Family and Medical Leave Act (FMLA) leave, do those “bad weather days” count against the employee’s 12-week allotment of time off?

The FMLA regulations are silent about bad weather office closures. However, the regulations do allow for situations when the employer’s business stops operating for a period of time and employees are not expected to come to work (plants closing for a few weeks to retool, mandatory company-wide summer vacation, etc.). In that case, the week the business is closed and no employees are reporting to work would not count against the employee’s FMLA leave entitlement. If the business is closed for a shorter period of time, the general thinking is that the FMLA regulations relating to holidays would likely apply. Under those rules, if the business is closed for a day or two during a week in which the employee is on FMLA leave, then the entire week would count against the employee’s FMLA leave entitlement. If, however, the employee is on intermittent FMLA leave, then only the days that the business is closed and the employee is expected to be at work would count against the leave entitlement.

How do we handle attendance issues where the office is open but public transportation is not available due to the weather and employees cannot come to work?

If the business remains open but employees cannot get to work because of the weather, employers will need to consider their own attendance policies and practices in determining what flexibility to give employees as it relates to attendance. Employers may encourage employees to car pool or assist them in establishing alternative methods of transportation to get to work.

Under the FLSA rules as they relate to pay, however, employers do not need to pay nonexempt employees if they perform no work. For exempt employees, if the business remains open but an employee cannot get to work because of the weather, an employer can deduct an exempt employee’s salary for a full day’s absence taken for personal reasons without jeopardizing the employee’s exempt status. Employers cannot, however, deduct an exempt employee’s salary for less than a full-day absence without jeopardizing the employee’s exempt status.

Does a company have to allow employees to work from home (exempt or nonexempt) if the office is closed due to bad weather?

No, the employer does not need to allow employee to work from home, regardless of their FLSA status (exempt or nonexempt). The employer can make those decisions based upon the work that can be done remotely and based on the needs of the business. The employer should have clearly communicated policies and expectations regarding working from home during office closures.

Be Prepared

The bottom line is that every employer should think about the needs of the business, its financial resources, and employees’ needs and have plans in place to manage business issues due to inclement weather. Thinking through what the wage and hour laws require and developing your policies and then applying them consistently and fairly with all employees can reap huge dividends in employee loyalty and retention.
October 27, 2016

HR Question: Bonus and Employee Leave

Q: Our company provides a bonus to all employees based on overall company performance. Do we have to pay an employee who is out on a leave of absence (LOA), and would payment of the bonus impact his or her disability payments?

A: The Family and Medical Leave Act (FMLA) requires that employees be restored to the same or an equivalent position with the same benefits and compensation. If an employee was eligible for a bonus before taking FMLA leave, the employee would be eligible for the bonus upon returning to work. The FMLA leave may not be counted against the employee. For example, if an employer offers a perfect attendance bonus, and the employee has not missed any time prior to taking FMLA leave, the employee would still be eligible for the bonus upon returning from FMLA leave.

On the other hand, the FMLA does not require that employees on FMLA leave be allowed to accrue benefits or seniority. For example, an employee on FMLA leave might not have sufficient sales to qualify for a bonus. The employer is not required to make any special accommodation for this employee because of the FMLA. The employer must, of course, treat an employee who has used FMLA leave at least as well as other employees on paid and unpaid leave (as appropriate) are treated.

Therefore, if the bonus is based purely on the company’s performance without specific individual employee productivity metrics to qualify that employee for the bonus, then the employee on leave would be entitled to such a bonus.

The bonus would likely not impact the disability payments, but it is best to check with the specific plan documents or with the carrier to determine what, if any, impact it may have.

Question and Answer provided by ThinkHR. Learn more about how your nonprofit can gain access to their expert HR staff here.
July 07, 2016

4 HR Mistakes Nonprofits Make

If you work for a nonprofit, you’re probably familiar with the concept of wearing many different hats for your job – whether it’s development, accounting, human resources, or all of the above. But no matter how hard you try, HR mistakes are bound to happen. It’s just the nature of the beast (a very, very regulated beast).

These mistakes can be costly if you’re not careful; think compliance penalties, litigation, unemployment costs and employee replacement costs. We’ve listed some of the most common mistakes so you can try to avoid them at your nonprofit.

1. Bad Hiring Decisions

In the nonprofit world, you’re likely to know just about everyone who works in the same circle. So it makes sense that to offer a job to someone you know, right? Well sometimes skipping the interviewing step means you’re missing out on the most qualified candidate, and missing important information. Interviews, background checks and references are absolutely a must when it comes to hiring the right person. The wrong person for a position can be costly, since you may have to pay unemployment if you have to replace them, and the cost in both time and money to find a replacement quickly adds up.

2. Not Documenting Infractions

It’s not easy addressing performance or company policy concerns with an employee. Although it can be uncomfortable, it’s much more uncomfortable to have to address these issues in an unemployment claim appeal hearing when you try to prove the employee was discharged for cause. The first steps are having clear performance expectations in your job descriptions as well as an employee handbook outlining organizational policies. Then create a performance review to discuss any concerns with an employee, and address the steps they can take to improve. And any infractions must be documented in writing, including:
 
  • Date of infraction
  • Details of infraction
  • Explanation of corrective actions needed
  • Statement of next disciplinary steps
  • Signature of the employee


Finally, don’t wait to have the conversation! It’s easiest to provide immediate feedback and point to a distinct occurrence rather than try to explain later on “Remember that one time…” Do it now, and you’ll thank yourself later.

3. Not Knowing Basic HR Rules

If you don’t have someone with acute knowledge of the laws around the following HR laws, make sure you get acquainted with the rules or have a certified HR professional to help you:
 
  • Discrimination
  • Overtime and minimum wage requirement
  • Family medical leave and Military leave
  • Unemployment
  • Age and gender discrimination
  • Disability
  • Safety in the workplace
  • Pregnancy discrimination
  •  Immigration
Ignoring these laws can lead to costly legal concerns and thousands of dollars wasted. Download the 36 Critical HR Processes, and learn more about UST’s live hotline with SPHR and PHR certified HR professionals.

4. Not Knowing the Difference Between Contracted, Volunteer, Part-Time, and Full-Time Employees

The U.S. DOL has strict rules around Independent Contractors and Volunteers. Not only do you need to be aware of the rules around pay and benefits, you should know who is eligible to collect unemployment benefits. Independent contractors may file for unemployment, and you need to be able to prove he or she is not an employee of your company.

Here at UST we know it’s not easy managing the most important part of your organization: your human capital. Having the right employees can make or break your mission, and so can following the proper HR procedures. Interested in learning more about our tools for nonprofits? Find out about Unemployment Claims Administration and our HR Hotline.
September 29, 2014

The 6 Signs of a Highly Engaged Employee

Engaged employees mean lower turnover and more productivity, as well as results that directly affect your mission.

But finding and hiring highly engaged employees is difficult. You might ask - How can an employee be “engaged” before they’re even hired? Well, the highly engaged employee is often a person who simply leans in that direction in all parts of their life. That’s why finding them is so important for your nonprofit – because it’s easier to help an engaged employee thrive than to try to build one from the ground up.

Here are some signs of a motivated personality when you’re looking at hiring, or even internal development:

1. They don’t expect their organization or their leaders to provide all the stimulation in their workday or their job. They seek out new opportunities to engage in their job on their own. Complaining about a former manager or job not providing enough work satisfaction in an interview can be a red flag that they didn’t take that extra step to engage themselves at their previous job.

2. They know their performance speaks for itself, and they’re not worried about what their organization can give them, but rather about what they can give to their organization. They have a low sense of entitlement. (Although rewarding and recognizing them is important to keeping them engaged!)

3. They help inspire others to love your mission, including clients and volunteers.  They can’t help but be excited about what they’re doing and that translates to others.

4. They are engaged despite the conditions around them. Even if their last job wasn’t perfect, they found ways to be engaged. And even motivation in other places of their life can show an “engaged” personality – like running a 5k to help a local dog shelter. Your job is simply to foster this engagement at work.

5. They enjoy shaping their own outcomes – and the outcomes of your organization. Being a voice in the direction of your organization, whether it’s something small like finding a better way to file invoices, or more strategic like new ideas for an annual campaign, they will feel happiest when they can give something to your organization.

6. They like to stretch the limits. This can be uncomfortable for leaders, but allowing engaged employees to think outside of the box can lead to some amazing results. And sometimes listening and showing you are truly interested in their input, even if it doesn’t get used in the end, shows that this behavior is not only welcome, it’s appreciated – and it should be!
September 28, 2014

EAP and Performance Issues

Q: How does an employer go about using the Employee Assistance Program (EAP) to address an employee’s performance problems that may be related to issues outside of work?

A: The employer should contact the Employee Assistance Program (EAP) directly and request a review of the process for making referrals. In general, during the implementation process, the EAP provides the contracting employer with that information so that employees and employers have a clear understanding of the services the EAP can offer employees and the process by which the employer can make referrals to the service. This service typically includes employer assistance so that employers may communicate directly with the EAP counselor to provide a “heads up” to the counselor regarding the performance issue and obtain guidance for handling the discussion with the employee. Then the employer can have the performance discussion and refer the employee to the EAP as part of the action plan for performance improvement. Discussions between the employee and the EAP are confidential, and the employer should not expect feedback from the EAP regarding those discussions.

While the employer can make the referral, it is ultimately an employee’s choice whether or not to contact and work with the EAP. If the employee chooses not to seek help or address the issue that led to the referral in the first place and performance does not improve, then the employer should follow its progressive disciplinary process, including corrective action up to and including termination of employment.

Question and Answer provided by ThinkHR. Learn more about how your nonprofit can gain access to their expert HR staff here.
September 24, 2014

The ABCs of Ethics in the Workplace

While a substantial paycheck may entice a job candidate to seek employment at a particular nonprofit, an organization’s reputation for ethical procedures and workplace culture can be just as persuasive. An ethical workplace provides a fair and harmonious environment for every worker, promoting equal opportunity, honesty and open communication. Specifically for leaders, developing and adhering to ethical values in the office is key to helping employees determine what type of behaviors are expected of them.

Here are a few ways you can maintain an ethical culture at work:
 
  • Communicate ethical priorities through training, meetings and ongoing encouragement—From the get-go, it’s imperative to train your employees on the fundamental values of your organization. Explain why ethical behavior is a priority, and how to effectively carry out ethical action. Give them realistic examples of potentially tough decisions, and equip them with the knowledge and tools they need to make the ethical choice.
  • Lead by example and be consistent with your follow-through—Your employees can readily identify inconsistency or unfair treatment. Rather than merely telling them how to act, show them that you not only support ethical behavior, but practice it on a day to day basis. This includes addressing bad decisions, and brainstorming ways to improve ethical practice.
  • Hire employees with a similar ethical compass—Being upfront with your nonprofit’s ethical culture during the recruitment process can help you determine best-fit candidates. More often than not, employees will have a difficult time upholding ethical priorities if they do not agree with them. Hiring individuals with the same morals can lead to an easier transition and will further strengthen your nonprofit’s ethical foundation.


Because nonprofits are often small organizations working in a small sector, their reputations are precious. Creating and implementing a strong ethical culture where employees maintain integrity will improve internal morale and help the overall business grow.

Learn more about how to encourage strong ethics within a work environment here.
September 22, 2014

10 Ways to Avoid Costly Employee Turnover

In order to minimize costly hourly employee turnover, there are 10 things you can do, writes Mel Kleiman on his Humetrics blog:
 
  1. Hire tough (so you can manage easy).
  2. Let every new employee know why their job is important.
  3. Avoid the mindset that it is “only an entry-level job” (in both the new employee’s mind and in your own mind).
  4. Pay the highest wages you can afford. (When you can pay more, then you can expect and get more.)
  5. Give a pay raise as soon as the new employee deserves one (not on a time schedule, but on a productivity/ learning schedule).
  6. Give recognition when recognition is deserved.
  7. Train for process, not for speed.
  8. Help the new employee make friends at work.
  9. Learn to fail fast. (When you realize you made a hiring mistake, release and replace that person immediately.)
  10. Make work FUN!!


Here at UST, we believe hiring the right employees is one of the top ways to reduce your organization's overall unemployment costs. That's why we're committed to this blog, and giving nonprofits the tools they need to reduce turnover, reduce costs, and reduce time spent managing them!  We also want to make sure nonprofits aren't overpaying for unemployment taxes. You can find out by filling out a (free) savings evaluation here.
September 17, 2014

HR Question: Can we transfer a sub-par employee?

It can be okay to replace a sub-par employeee[/caption]Q: Would it be permissible to transfer a long-term part-time employee who is an average to poor performer to another role and replace that position with a full-time employee?

A: Unless there is an employment contract or collective-bargaining agreement that suggests otherwise, employers do have the ability to set an employee’s work hours and job duties based on business needs. In the situation you described, you have a poor performer whom you want to transfer to another position, enhance the job, and bring in another employee to do the work. We assume that you have been addressing the current incumbent’s poor performance issues and the job that you are moving the employee into will be more in line with his or her skills and hopefully provide an opportunity for the employee to be more successful on the job. If you have not addressed your performance concerns, now is the time to do so. Explain why the change is necessary and use the opportunity to discuss the employee’s career goals and development needs. It is critical that the employee receive feedback regarding performance and behavior, as this may continue into either role and should be addressed to correct the concerns or take progressive discipline as appropriate. Have these conversations before you announce the new employee transferring into the expanded position.

The employee may have questions regarding why you are taking a part-time position and turning it into a full-time one and may suggest that he or she could be successful in the job if allowed the additional time each day to complete the duties. Be prepared to address that and provide the employee with a copy of the expanded job duties and explain why he or she is not the right fit for that job. Having a direct and respectful conversation, with specific feedback and action plans to move forward, can go a long way to making the change successful.

Question and Answer provided by ThinkHR. Learn more about how your nonprofit can gain access to their expert HR staff here.
September 16, 2014

How to Create a Smooth Transition for You and Your New Hire

New employees provide fresh ideas, new skill sets, and positive thinking—all of which impacts any nonprofit’s potential growth. However, a new hire’s success rate is greatly influenced by their initial onboarding experience.

Follow these 6 simple methods to ensure a successful employee transition:
 
  1. Educate everyone prior to the new hire’s start date—Encourage your new employee to learn more about the nonprofit’s history and mission objectives, either through research or conversation. In addition, notify current staff of the new employee’s background and role responsibilities so everyone is prepared for the transition.
  2. Create and communicate realistic goals—Develop both short and long-term goals for your new hire. Be as clear as possible when outlining job priorities, and check in consistently to give constructive feedback on their work.
  3. Assign a senior mentor—Having a senior employee, who is well versed in your nonprofit’s procedures and history, will provide your new hire with a valued resource that can further build their sense of belonging. This additional outlet will also free up some of the time you would be spending on your new employee’s training.
  4. Encourage innovative thinking and listen to new ideas—Explaining correlated challenges and strategic goals to your new hire could help inspire new solutions. A new employee’s fresh perspective can help break the cycle of seemingly unavoidable problems.
  5. Help them feel like they’re part of the team—Construct interactive opportunities in team meetings and planning sessions. It’s also important to have team building opportunities, enabling your staff to develop strong professional and personal relationships with one another.
  6. Celebrate early wins—No matter how small the accomplishment, celebrate early wins as a form of encouragement for the new employee’s hard work. But don’t forget to celebrate the team’s work as a whole to continue the positive momentum.


Taking the time to efficiently train your new employees on your nonprofit’s culture, strategic goals, and personal role expectations will not only help new hires adjust, but also strengthen your organization as a whole.

Learn more tips about how to manage new employees here.
September 09, 2014

HR Question: Can the board request payroll info?

Q: Can executives or board members review our company payroll register upon request?

A: Yes. You may wish to inquire as to what types of compensation information they need so that you are providing the detail and data that is relevant for their review and discussion. You will want to ensure the privacy of your employees’ personal information, such as concealing Social Security numbers, garnishments, etc.

Executives typically need relevant summary compensation information for decision-making with revenue and cost considerations. Reviewing the actual intent of how the data will be used may enable you to provide a summary report without revealing data that could potentially be perceived as inappropriate to reveal.

Question and Answer provided by ThinkHR. Learn more about how your nonprofit can gain access to their expert HR staff here.
September 01, 2014

HR Question: Can FMLA be used for frequent bathroom breaks?

Question: If an employee states that he or she needs to use existing Family and Medical Leave Act (FMLA) designation during the day for restroom breaks, is that something the employee can do?

Answer: More than likely the frequent use of a restroom may be a serious health condition; however, one would look to the Americans with Disabilities Act (ADA) prior to counting this time against the Family and Medical Leave Act (FMLA) entitlement.

In general, when counting bathroom time against an employee’s FMLA entitlement, only do so if the frequency and duration extends beyond the employee’s normal lunch and break periods.
 

Question and Answer provided by ThinkHR. Learn more about how your nonprofit can gain access to their expert HR staff here.

August 28, 2014

HR Question: Terminating Employees for Past Mistakes

Q: Can an employer terminate an employee for making a costly error years ago that has just been discovered?

A: This answer is based upon the fact that there is no specific employment contract in place that outlines specific reasons for termination of employment and that the employer has an employment-at-will policy in place that provides for termination at will based upon the employer's discretion.

From the detailed description of the situation, this employer does have an internal disciplinary procedure in place that specifies termination of employment for performance. This error was made years ago and could have been detected if the employee had been conducting annual audits of the file, which was not done, compounding the error.

Although employers can terminate employment "at will", there should always be a legitimate business reason for the termination that is well documented, nondiscriminatory and carefully considered in order to reduce the employer risk of liability from wrongful termination suits.

The employer should consider the following prior to making the final decision:
 
  • Is this employee in a protected class (race, gender, age, disability) where s/he might believe that s/he is being targeted because of that class?
  • Was the process for auditing and correcting the errors documented and was this employee trained to conduct the audit?
  • Is this a one-off issue with the employee or have there been other instances of performance concerns? If so, have those concerns been brought to the employee's attention and was s/he given the opportunity to correct the performance deficiencies?
  • Is there anything that the employee's manager or senior management missed that could have prevented this situation?
  • Has this situation ever happened before with another employee? If so, how was it handled?
  • If an audit of other customer files took place today, could there be this same type of error made by other employees (pointing to an overall training or supervision issue)?


If the employer believes that the situation warrants termination of employment because it is well-documented, the employee has been properly trained, the supervision was adequate, and that this is a unique situation, then a termination is allowed, but we recommend confirming the decision with legal counsel prior to the termination.

Question and Answer provided by ThinkHR. Learn more about how your nonprofit can gain access to their expert HR staff here.
August 26, 2014

Think You’re Ready to Hire More Employees? Read This First.

Your organization has been doing really well lately, and you’re looking to create new positions and hire new employees to help fulfill your mission. You’ve written the job descriptions, gotten approval from all of the relevant stakeholders and are ready to begin recruitment.

But slow down just a minute. Are you sure your organization is ready to hire more employees?

Although only your organization can determine if you’re actually ready to hire new employees, Inc. recommends answering the following questions about your organization, where you want it to go, and what is happening now.

What kind of organizational structure do you want?

Do you want your organization to grow extensively? Are you pretty happy with the size it is now, but unable to meet the demands of your mission with your current staff, or are you hoping to grow organically whenever the need arises?

Will you be able to slow down growth if you need to?

Not all organizations have significant control over how much growth they will experience in any given time. For instance, if your organization helps provide disaster relief to a specific area and the area suddenly experiences a large-scale disaster, your response must be immediate and decisive. Or, if your organization helps animals and takes part in a multi-county animal seizure, you must be able to provide shelter and care for all of the animals involved for the foreseeable future.

But if your organization works to help a select group of impoverished students succeed, it’s reasonable to expect that there will not be an unmanageable influx of students to your program in any given year.

Do you really need help?

Do any of your employees have extra time throughout their week or month that can be used to address some of the needs that you’d like to hire new employees for? If so, can these employees be trained to perform some of the needed tasks?

While it might not fully address your needs, it would cut down on organizational waste and potentially allow for a part-time position to be created in lieu of the more expensive full-time position.

Are you fully prepared to recruit, hire, and train more employees?

Our ThinkHR resources and your UST Customer Service Representative can help you ensure your organization is best positioned to do all three without exposing you to excess liability in the future.

Not yet a member? Learn more about the UST program here.
August 20, 2014

Is Your Nonprofit Falling Prey to These 5 Common Myths?

The Unemployment Services Trust recently released its newest whitepaper, “The 5 Myths That Are Increasing Your Nonprofit’s HR Costs” – which explains how to identify and debunk these costly myths at your organization.

For a limited time, you can download the whitepaper for free and find out:
 
  1. Which myths might be hurting your organization
  2. How you can proactively reduce HR costs
  3. Whether you are overpaying for unemployment claims


Learn the secrets of other nonprofit executives and HR staff who have reduced their human resource and unemployment claims costs. Download your complimentary copy of 5 Myths That Are Increasing Your Nonprofit’s HR Costs today.

By providing exclusive access to such cost saving resources, UST aims to educate 501(c)(3) organizations on the latest HR best practices and compliance laws—living up to its mission of “Saving money for nonprofits in order to advance their missions.”

Fill out a complimentary Savings Evaluation to find out if you can save with UST.
July 03, 2014

How HR Departments Impact the Nonprofit Sector

For most nonprofits, sticking to a smaller budget makes it harder to allocate the necessary time and resources needed to maintain an effective HR department. Responsible for salaries, training, recruitment and paperwork, your HR staff greatly influences your organization’s potential growth.

 

XpertHR and Nonprofit HR conducted a 2014 survey of Senior HR professionals to reveal the way nonprofit HR departments are constructed and held accountable. Representing 260 organizations throughout the US and Canada, the results showcase the importance of measuring and documenting an HR department’s effectiveness.

According to the survey, just over 1/3 of organizations reported documenting an official HR strategy. And with nearly 40% of HR professionals failing to measure their department’s effectiveness, many nonprofits have trouble building upon their HR best practices.

In addition to sustaining an effective HR department, nonprofits are also burdened by a limited HR budget. Taking the cost of HR salaries, recruitment, and administration into account, the median cost of running an HR department is reported at $91,715.

In order to alleviate financial HR costs, UST offers its members exclusive access to ThinkHR, a value added service that provides HR professionals with expert advice and support tools. This service includes a live HR Hotline, an online HR library, and over 200 employee training courses. Learning how to outsource and prioritize your organization’s HR needs can save you money—money that can be put towards mission advancement and further HR staff development.

Learn more about how your nonprofit can gain access to ThinkHR’s expert HR staff here.
June 09, 2014

Seeing Voluntary Turnover as an Opportunity for Improvement

Last year 48 million Americans across all sectors left their jobs.

For large organizations, or organizations that expect high turnover year-over-year, that number may not be particularly compelling. But for organizations in which high turnover is a sign of a bigger problem, this kind of turnover needs to be looked at as an opportunity for improvement.

Looking more closely at the reasons for separation, nearly 60% of all turnover last year was voluntary. And—including both voluntary and involuntary separation data—about 40% of separations happened when the employee had been in the position less than 6 months.

The cost of turnover can be monumental.

Even for employees that have only recently joined the organization, the cost of replacing them can be mind boggling.

Consider this: the average cost of turnover is typically reported between 15 and 21% of the employee’s salary. But the ‘actual cost’ consists of the time and resources that are spent recruiting and hiring a replacement, greater demands on other employees to pick up the slack (which could lead to burn out and more employee openings), the need to train and develop the new employee, and potentially lost revenue and opportunities.

To stay competitive and to reduce the amount of voluntary turnover as efficiently and effectively as possible, it’s time for employers to dust off their research skills and learn more about what factors are encouraging employees to leave your organization.

Conduct exit interviews, and find out why employees are leaving your organization. Dig deep into the reasons that employees are leaving—is there a toxic employee rotting the rest of their department? Is the amount of work incongruent with the amount of pay? Are poor benefits or strict working hours causing employees to look elsewhere?

Once definitive information has been collected and examined, take the time to address it throughout the organization. Make changes where necessary. And if changes can’t occur, for instance if better benefits are too hard to provide, look for opportunities to become more flexible with employees.

The savings will quickly add up.

Read more about how to see voluntary turnover as an opportunity here.
April 03, 2014

Recruiting the Right Employee: Conclusion

Presently, 10.7 million people are employed by the nonprofit sector. With job functions ranging from healthcare administration to membership development to content creation, the nonprofit sector encompasses every job skill and employment level available. Falling behind only the retail and construction fields in terms of sheer manpower, nonprofits face very different challenges when it comes to recruitment.

Hobbled by limited budgets for recruitment, historically lower pay scales, and fewer opportunities for internal advancement (the largest majority of mid-level employees come from other nonprofit organizations), nonprofits have a lot working against them when it comes time to hire. So what is a nonprofit to do when they need to source appropriate applications and hire the best candidates to advance their mission?

Let’s start by ensuring job postings are in the right place and reaching the most relevant candidates.

Rather than relying solely on word-of-mouth advertising through the nonprofit community, or on your informal network of connections, become active in sourcing candidates from the very field you want to hire for. You never know which job seekers are looking for the opportunity to leave the corporate structure in favor of an organization whose mission they are passionate about.
April 02, 2014

Recruiting the Right Employee: Part 3- Posting and Screening for Specialized Positions

Does your nonprofit rely most heavily on informal recruitment networks to fill open positions? If you said yes, you’re not alone. A recent survey found that 88% of nonprofits surveyed are satisfied with using the informal recruitment networks of their friends and colleagues.

The same survey found that a whopping 85% of nonprofits don’t have a formal annual recruitment budget. Of the 15% of organizations that do have a formal recruitment budget, the media budget allotment was only $8,500 a year.

Maybe that explains why so many organizations rely on informal recruitment networks. But with only $8,500 to spare at most, where do organizations turn when they need to fill a position they can’t locally source from their pre-established informal recruitment networks? Even more difficulty emerges when the position a nonprofit is looking to hire for is highly specialized or needs a very select set of background and educational or certification experiences to support it.

A quick Google search of the term “specialty job listing site” returns more than 2.4 million results. For organizations looking to hire someone with highly technical training, there is the job site “37signals.” For those looking to hire someone with an accounting or other financial background, there is the site “Financial Job Bank.” And for nonprofits looking to hire skill sets most often found within the nonprofit sector, there are ASAE: CareerHQ and Opportunity Knocks.*

Other well-recognized specialized job boards include:
 
  • Bridgespan Group
  • State Associations, such as many of our recognized Affinity Partners (view the full list here)
  • Industry & Skill Specific Associations, such as Public Relations Society of America (PRSA) and the American Marketing Association (AMA)
  • MediaBistro
  • HealthJobs USA
  • College Recruiter
Another good way to look for potential applicants with specialized skills or certifications is by sourcing from your volunteer bank. (Hey, sometimes it’s best to rely on word of mouth!) If you are looking for someone knowledgeable in an area that you already have one or more volunteers in, consider asking them directly if they would be interested in submitting an application.

Similarly, your organization shouldn’t only be positing these specialized positions on specialized job boards. Consider posting on some of these sites as well. Even if you don’t directly reach the perfect candidate through general boards such as Craigslist or Indeed, many active job seekers know passive jobs seekers who they are willing to forward relevant positions to.

*Opportunity Knocks is a national online job board, HR resource, and career development destination managed by the Georgia Center for Nonprofits, one of UST’s 80+ Affinity Partners.
March 27, 2014

Recruiting the Right Employee: Part 2- Posting and Screening for General Positions

For employers trying to find candidates to fill general skills positions the battle to wade through the tide of resumes is daunting. Sometimes it feels as if there are 500 “good” candidates for every one open position.

This is where the importance of having a well-written and well-defined job description (and by extension, job posting) comes in handy.* Including required experience, education, and other basic skill requirements allows potential candidates to self-screen before putting together a cover letter and resume package for your organization. In fact, even the simple act of requiring a cover letter (and throwing out all resumes submitted without one) can help your organization pre-screen employees based on their communication skills.

The same with including a salary range—a lot of companies don’t do this for a multitude of reasons, but applicants know what they need their base rate of pay to be. You don’t want to find the perfect candidate to only learn that you can’t afford to hire them after going through the entire recruitment process, do you?

After you’ve put together the full job description and have ensured that it will help potential candidates and the hiring committee quickly screen for the least likely candidates, it’s time to post. But where do you post the job description?

The easiest place to start is general job search sites, a short list of which you’ll see below.
 
  • Idealist
  • Monster
  • ASAE:CareerHQ
  • Craigslist
  • Indeed
  • CareerBuilder
  • LinkedIn’s Nonprofit Job Board


Other places you should consider posting the job would be with your local community centers, churches, community colleges and universities, and libraries.

Have more suggestions? Share on our social media channels!

The next segment of this series will discuss finding candidates with refined or specific qualifications. Since many nonprofits often rely heavily on informal networks for hiring & finding new talent, these are sometimes the most difficult jobs to fill.
 
*UST’s offering ThinkHR can help UST members build strong well-written job descriptions and evaluate pre-existing job descriptions against similar, if not exact, jobs. Learn more here.
March 26, 2014

Recruiting the Right Employee by Posting Jobs in the Right Place: Intro

It sounds easy when you first start looking for a new employee: Post job “A” and after a careful selection process, hire the best person for the position.

But what if the best person doesn’t submit an application? How can you reach the right job seekers with the right job postings? Well, there’s a song about how the best place to start is at the very beginning, so it’s important that you make sure you are posting job descriptions on the most appropriate sites.

There are so many different job boards though!

It’s a mixed blessing that you’re right. Even as the economy has improved and the unemployment rate has fallen (with the exception of February 2014), the area of source identification has remained murky when it comes time to recruit new candidates. For some positions, industry specific job boards provide the most active access to the ‘right’ candidates on a national, or even international, scale. But for highly localized job postings, where do you turn?

And where should your organization seek general skill jobs such as Admin Assistants or Receptionists?

Our newest series focuses on finding the best ways to identify candidate pools that are a good fit for your general positions, and finding candidates with more refined, specific qualifications.
January 08, 2014

Unemployment Services Trust Helps Nonprofits Access Expert HR Hotline and Resources

Unemployment Services Trust (UST) is pleased to announce the addition of ThinkHR Live to its roster of fully integrated services for UST members. This new member benefit is a value-added service that will help UST’s not-for-profit members obtain quick answers and expert second opinions on a wide range of human resource issues.

Founded by nonprofits, for nonprofits, UST is the largest unemployment trust in the nation, providing nonprofit organizations with 10 or more employees a safe, cost-effective alternative to paying state unemployment taxes. Since 501(c)(3) organizations are federally allowed to opt out of paying into the state unemployment tax pool and can instead reimburse the state only as they incur unemployment claims, UST member organizations can take advantage of this savings benefit while also being protected through their UST account reserve and expert claims management. And now through ThinkHR, they will also benefit from live HR advice when they need it.

ThinkHR Live now provides UST members with access to a live phone HR hotline with written follow-up on complex issues or researched matters, usually within 24 hours. All hotline representatives are certified professionals in human resources, and help employers to stay in compliance – an important part of any organization’s human resources practices.

In addition, ThinkHR offers downloadable HR templates with forms, documents, tools and checklists for every HR department; a job description builder and salary benchmarking tools; 200+ online employee training and compliance courses for both management and employees; and bi-weekly legislative and HR e-newsletters.

Over the first 8 weeks of membership, UST members will also receive a weekly email from ThinkHR with account tips and features to help them get the most out of their account.

Every year UST provides its members with new educational content and support. Often focusing on unemployment costs, unemployment claim management methods, HR-related procedures and case studies, UST’s informative materials and dedicated partner services like ThinkHR are designed to help nonprofits save money and build greater resiliency. Visit www.ChooseUST.org/ThinkHR to learn more.
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