HR Tips for New Businesses

Managing your employees and all the laws and requirements that go along with having employees can be a difficult proposition for a new business. With these tips, you can avoid some of the pitfalls in your business’ HR department.

One of the keys to keeping your HR department in good standing is knowing, understanding and following human relation regulations and laws. Not knowing and following laws and regulations for payroll, employee discrimination, harassment and termination of employment can lead to not only fines from the government but potentially lawsuits.

It is also very important to keep HR files organized and confidential. A confidential file should be kept for each employee that has any relevant medical records, payroll items and reference checks. It is also in your best interests to keep a separate personnel file that contains the original job application, resume, job evaluation forms and any disciplinary record.

Creating an employee manual can be a big help in the event of an issue with job performance or bad conduct on the part of an employee. Having a clear set of policies and procedures for your company sets a clear idea of what is expected from an employee. This can also help you in the event of a dispute.

Many new businesses also have an issue when it comes to hiring employees. They rush the process of hiring. This leads to the “warm body” situation, just hiring a person they can to fill a position. To avoid this, you should start with a clear job description that will attract quality talent. Make sure to include a must have list of qualifications and any qualifications that would be a bonus, what the job duties are and some information about the company. You should also have a set interview process. A consistent interview process will allow you to directly compare potential new hires.

Another good idea is to do regular employee evaluations. This give you a chance for both you and the employee to know how well the employee is performing their duties. You should also consider giving feedback outside of these scheduled evaluations. If you notice an employee doing a good job, letting them know can keep the employee happy. We all know that happy employees are more productive. Setting performance goals with small rewards can also drive a higher performance and keep your employees working hard.

It may also be a good idea to move to a technology based time recording system. Moving away from a paper based system can allow business owners to spend more time growing their core business and focusing on customers.