Guide for Human Resources for Small Businesses
Ensuring that Human Resource Management is done properly is essential for any small business. However, HR can be difficult for many small businesses. This can lead to functions not being carried out properly, which can further lead to legal issues. There are a few key things every small business can do to ensure they are executing HR functions the way they should be. The first is staying up to date on all the current laws and regulations. HR is an evolving field and if managers don’t keep up with the changes in laws and regulations, they could find themselves in serious trouble. It’s important to regularly check local, state, and federal regulations to see if anything has changed to make sure all proper laws are being followed in instances such as hiring, healthcare and benefits, pay, and all other aspects of HR. Another is making sure a good plan is in place for hiring and retaining employees. The employees are the most essential part to any company, and being able to find and keep good employees is crucial for any small business. It’s expensive to train employees, and if a business doesn’t have a retention plan for keeping employees, it can be costly for a company to constantly have to train and hire new employees. It’s important to know what type of person you are looking to hire so you can find a great fit the first time. It’s also crucial to make sure your current employees are happy and satisfied with the culture so they will stay with the company. Having a vision for the company’s culture is also extremely important. It’s important in a company that everyone follows the same code of conduct and rules so they are all held to the same standards, ensuring a unified culture. Making an employee handbook is a good way to establish the company culture. It provides a clear description of what is expected from each employee so everyone is on the same page.
Another HR function that small businesses tend to neglect sometimes is conflict resolution. Conflict is something that will happen in business whether it’s between two co-workers or between a supervisor and an employee. Conflict is unavoidable, but how conflict is dealt with can impact a company significantly. Conflict resolution is key because if a business doesn’t establish a way to solve conflict in a productive and mature manner, it could lead to tension and arguments between employees. This could in turn negatively impact the culture of a company, or possibly lead to lawsuits by current or former employees if a situation gets out of hand. Companies should have a system for dealing with conflict, whether it’s dictating a supervisor to be the person who handles all conflicts, or if it’s mandating a certain procedure to follow. This will not only help your business avoid potential legal issues, but it will create a healthier culture overall. Finally, knowing about the cost of benefits is a valuable piece of information. Benefits is part of helping retain employees, as a good benefits package can entice employees to stay with a company. Because benefits can be expensive, it is important to know that there are some options that can help such small businesses get a discount on benefits. One program called Small Business Health Options Program (SHOP) allows businesses with 50 or fewer employees to see if they qualify to receive price breaks on health insurance. Knowing about deals like this is essential because it can save small businesses from spending more money than they need to. Overall, HR is extremely important for any business, and following these five guidelines can ensure a business’s HR sector is running properly.
5 Human Resource Challenges Facing Small Businesses Today (entrepreneur.com)
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If you need help with HR or any other areas within your business, don’t hesitate to reach out to Beacon Partners at (540) 348-4848. We would love to work with you!