Welcome! The Art of Hiring Smart
Welcome!
The Art of Hiring Smart
PRESENTING:
AGENDA/TOPICS TO BE COVERED
THE GOOD
◦ Overview of
Having
Employees
◦ Hiring
◦ Retaining
◦ Training
THE BAD
◦ Discipline
◦ Violence
◦ Harassment
◦ Conflict
◦ Termination
THE UGLY
◦ Compliance
◦ Lawsuits
◦ Penalties for
Non-
compliance
THE GOOD
Why have employees
Why build a company with loyal employees
What would happen if you didn’t have employees
Hiring Smart
Retaining the “Stars”
Training for excellence
HIRING - What is
The New Art of Hiring Smart System?
1. Identify Hiring Needs and/or Problems
2. Quantify the Cost of Turnover
3. Understand What You Are Recruiting for
4. Use Innovative Prospecting
5. Prepare and Conduct a Winning Interview
6. Do Background Checks
7. Assess Applicants for Job Match
PREPARE FOR AND CONDUCT
A WINNING INTERVIEW
A. Review the Job Description
B. Review other Job Requirements
C. Develop Lead Questions
D. Build a File
1. Resume 3. Lead Questions
2. Application 4. Release Documents
DO BACKGROUND CHECKS
A. Reference Checks
B. Education Credentials
C. Credit Report
D. Criminal History
E. Past Employers
F. Driving Record Report
G. Social Security Verification
UTILIZE ALL OF YOUR
RESOURCES!
75%
66%
54%
38%
26%
14%
0% 10% 20% 30% 40% 50% 60% 70%
Job Matching
Interests Testing
Abilities Testing
Personality Testing
Reference Checking
Interview
INDEPENDENT CONTRACTORS
Independent Contractors are not covered under
Workers Comp.
Understand who is an employee and who is an
independent contractor to avoid liability under a
variety of laws:
IRS (Federal income tax withholding and SS)
State Unemployment compensation laws
State WC Laws
Federal and State wage and hour laws
Federal and State discrimination laws
INDEPENDENT -- CONTINUED
Improper categorizing of a worker can be
quite serious.
There are specific guidelines that help
employers define who or what is an
independent contractor.
In general, the main difference is the
amount of control the employer can
exercise over the details of the work.
HIRING SUMMARY…
Turnover is a major expense.
Traditional hiring methods are not
effective.
Government regulations are
demanding change.
Competition is forcing a closer
examination of those we employ.
People must match their jobs and
fit the company culture.
People are our number one
resource.
Timothy Butler & James Waldroop
“Job Sculpting” Harvard Business Review
September-October 1999
“In these days of Talent Wars, the best way to keep
your stars is to know them better than they know
themselves -and then use that information to
customize the
career of their dreams”
RETAINING – Keep your “Stars”
TRAINING
There are basically three places to “fix”
people problems:
◦ Selection Process
◦ Coaching & Training
Changing Behavior
◦ Replacing the Employee
TOOLS OF THE JOB
If you don’t care enough to train your employees,
they might not care enough to provide you with their
best efforts.
Share with your employees your goals and they will
respond better.
THE BAD
Employers don’t want to deal with difficult issues,
such as:
Discipline
Violence in the workplace
Harassment
Conflict
But, “the bad” comes with the
good and must be dealt with
swiftly and firmly in a consistent
manner.
DISCIPLINE
Employers need a consistent and understandable
means to communicate important information.
Policies – are broad guidelines developed to guide the
organization decisions
Procedures – provide further explanation and more
details on how the policy is to be applied
Work Rule – states what employees may or may not
do to follow the policies of the organization
DISCIPLINARY PROCEDURES
There are times when disagreements happen and
when the employer must take some form of
disciplinary action.
While organizations work at preventing the need
for disciplinary action, if needed, the employer
should follow their established policies and
procedures very carefully.
Providing proper feedback insures that the
employee is not surprised.
PERFORMANCE REVIEWS
Reviews offer the best method for consistently
providing feedback to the employee.
The frequency and timing of reviews can be
whatever the employer decides – it just needs to
happen consistently.
VIOLENCE
Workplace violence occurs when an employee
with poor behavior control becomes highly
stressed.
Stress may or may not be work related but is
usually set off by an incident at work.
Employers need to be aware of employees
exhibiting signs of possible violent behavior and
take steps to prevent its occurrence.
HARASSMENT
There are two forms of sexual harassment:
Quid pro quo is a legal term which means “this for
that”. Quid pro quo harassment, therefore occurs
when an individual asks for sexual favors in return
for a favorable employment action.
Hostile work environment is defined as one in which
an individual or individuals are subjected to
unwelcome verbal or physical conduct “when
submission to or rejection of this conduct explicitly or
implicitly affects an individual’s employment or work
performance.”
CONFLICT AND RESOLUTION
Conflict can happen whenever people work
together.
It can affect relationships between individuals or
groups and covers a wide range of intensity
levels.
Resolution is a process of developing strategies
for resolving issues and maintaining or
rebuilding effective working relationships.
DEFINING CONFLICT
Conflict in the workplace is a fact of life.
85% of employee’s terminate due to
conflict with their boss.
Managers spend about 1 month a year
dealing with personality conflicts.
People have different goals and needs and
believe they are “right”.
It is impossible to avoid conflict but it is
productive to handle conflict.
PREVENTING CONFLICT
“If you can’t go around it, over
it, or through it, you had
better negotiate with it.”
-- Ashleigh Brilliant
PEOPLE DON’T LEAVE COMPANIES.
THEY LEAVE PEOPLE.
THE EVIDENCE IS EVERYWHERE
Poor productivity
Low levels of engagement
Poor morale
Turnover
Are largely attributed to conflicts in the
supervisor/employee relationship.
THE EVIDENCE IS EVERYWHERE
Research indicates that 85% of employees
terminate due to conflicts in the boss/employee
relationship.
Executives were found to spend a minimum of
one month per year dealing with personality
conflicts.
Source: Robert Half International
THE EVIDENCE IS EVERYWHERE
50% of an employee’s work satisfaction depends
on the relationship the employee has with his/her
supervisor
Source: The Saratoga Institute
The length of an employee’s stay on the job is
largely determined by his/her relationship with
their manager.
Source: The Gallup Organization
NO ONE BLINKS
A typical American holds more than eight
different jobs between 18 and 32 alone.
85% of American workers expect to be employed
by a new company within 12 months.
Ten years ago, recruiters and employers would
have balked at a candidate with three jobs in the
last five years.
Source: Forbes magazine, April 2007
COST OF TERMINATION
Termination is expensive.
It is estimated that turnover and termination can
cost an organization 3 times the annual salary of
the individual being replaced.
THE UGLY
Compliance Issues
Laws and Regulations
Lawsuits
COMPLIANCE ISSUES – WHAT TO DO
Know the laws of the land and their importance
in running your business.
Develop policies & procedures to minimize the
opportunity for litigation.
Be fair with your employees.
Document, document, document
OVERVIEW – SHRM LIST OF POSSIBLE
NEW BILLS
Fair Pay Act of 2009
Title VII Fairness Act
Labor Relations First Contract
Negotiation Act of 2009
Public Safety Employer/Employee
Cooperation Act
Worker Protection Against
Combustible Dust Explosions
Family-Friendly Workplace Act
(comp time)
Employee Free Choice Act of 2009
Secret Ballot Protection Act
WARN Modifications
Healthy Americans Act
Healthy Workforce Act
Emergency Retiree Health Benefits
Protection Act
Executive Compensation
Additional Tax on Bonuses from TARP
Family Fairness Act
FMLA Changes (25 employees)
Society for Human Resource Management HR Congressional Monitor of various Bills
WHERE HAVE WE BEEN?By 1900 By 1940 By 1980 By 2000
Case Law
Common Law
NLRA
FLSA
FICA
RLA
IRC
Davis-Bacon
Local Law
State Law
Case Law
Common Law
ADEA
OSHA
ERISA
VEVRAA
MOSCA
COBRA
PDA
FMSHA
FUTA
CCPA
ERA
JSIA
TSCA
NLRA
FLSA
FICA
RLA
FWPCA
CWHSSA
SWDA
CERCLA
EPA
SOWA
LMRA
CAA
ADA (AGE)
LMRDA
CRA
REHAB ACT
IRC
Davis-Bacon
Local Law
State Law
Case Law
Common Law
IRCA
TMRA
FMLA
DFWA
WARN
MSPA
CRA
ADEA
OSHA
ERISA
VEVRAA
MSPA
PDA
FMSHA
FUTA
CCPA
LMRDA
ERA
MDSCA
COBRA
TEFRA
TSCA
NLRM
FLSA
FICA
RLA
REHAB ACT
IRC
PCA
VAWA
USERRA
ADA
EPPA
TEFRA
JSIA
FWPCA
CWHSSA
SWDA
CERCLA
SDWA
LMRA
CAA
ADA (AGE)
EPA
MHPA
FCRA
HIPAA
Miller Act
NMHPA
ECPA
OWBPA
CCRA
HMOA
PRWORA
INRA
IMMACT
Davis-Bacon
Local Law
State Law
Case Law
Common Law
IMPORTANT LAWS TO KNOW ABOUT
Title VII of the Civil Rights Act (Title VII)
Age Discrimination in Employment Act (ADEA)
Americans with Disabilities Act (ADA)
Immigration Reform and Control Act (IRCA)
Fair Labor Standards Act (FLSA)
Equal Pay Act (EPA)
Occupational Safety and Health Act (OSHA)
LAWS - CONTINUED
Family and Medical Leave Act (FMLA)
Consolidated Omnibus Budget Reconciliation Act
of 1985 (COBRA)
Health Insurance Portability and Accountability
Act 1997 (HIPAA)
Drug Free Workplace Act
Patient Protection and Affordable Care Act
(PPACA)
LAWSUITS
Employment lawsuits are among the most common
lawsuits in which companies will find themselves
involved. It's a factor of business itself and one that
must be reckoned with.
The costs to employers for lawsuits can be substantial
and can include:
◦ Penalties
◦ Back pay
◦ Attorney costs
◦ Time
◦ Lost productivity
◦ Bad press
PENALTIES
Non-compliance with Healthcare Reform laws
Responsibilities of employers
COBRA
FMLA
SUMMARY
So, the question is, “Where do we go from here?”
Good Employees – Bad Employees
Good Benefits – Bad Benefits
Understand the Good, The Bad, and The Ugly.
Lola Kakes
Founder, EffortlessHR, Inc.
Author, “If You Don’t Own a Circus … You
Shouldn’t Be Hiring Clowns!”
www.effortlesshr.com
520.546.3947