Hiring & Retention SMB workplace resources - Page 1 - Workest https://www.zenefits.com/workest/hiring-retention/ Workest Thu, 23 Feb 2023 21:21:53 +0000 en-US hourly 1 https://wordpress.org/?v=6.2 https://www.zenefits.com/workest/wp-content/uploads/2021/01/cropped-android-chrome-512x512-1-32x32.png Hiring & Retention SMB workplace resources - Page 1 - Workest https://www.zenefits.com/workest/hiring-retention/ 32 32 Is a Credit Score Check During a Background Check Ethical? https://www.zenefits.com/workest/is-a-credit-score-check-during-a-background-check-ethical/ Mon, 13 Feb 2023 07:12:39 +0000 https://www.zenefits.com/workest/?p=20224 While almost every state considers pre-employment credit checks legal, there is some question about the ethics behind them. Find out more here.

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Legalities and ethics are not the same when it comes to hiring practices. Does a practice being legal make it ethical? That depends on the practice and the people involved.

When someone applies for a new job, it’s typical to have a potential employer run an employee background check. Some background checks are as simple as checking references and verifying skill sets. Others involve checks of criminal background. Increasingly, employers are adding credit checks to the mix.

The legalities of pulling credit reports for employment purposes

The Society for Human Resources Management conducted a survey that found that 60% of employers now run a credit check on applicants when they are in the hiring process.

Employers can see if potential employees are savvy with their money when running these checks. The question is whether those credit checks run in the course of running a background check are ethical.

Some states have made it illegal to pull credit reports on prospective employees. Hawaii and Washington, for example, have banned companies from performing credit checks on employees. In most states, though, it’s legal under federal law to perform credit checks on potential employees.

Section 604 of the Fair Credit Reporting Act is the legislation that makes using credit information for employment permissible. There is a caveat, though. Potential employees must give written permission for their credit report to be pulled.

What do credit reporting agencies provide employers?

Credit reporting agencies will not provide employers with the credit score of a prospective employee or new hire. Instead, the credit reporting agency will provide the employer with a credit report that is specifically designed for the employer.

An employer’s credit report gives information about payment habits, but it will not disclose a potential employee’s credit score.

Employers must disclose if they use information in a credit report to deny a candidate employment. The reality is that most employers find a different reason to deny a candidate employment, or they simply don’t provide a reason. Employers choose this route to avoid legal complications.

Legality versus ethics of using credit reports when hiring

With few exceptions, it’s legal for businesses to use a credit report as part of the hiring process, but the question of ethics remains. Some people fall behind on bills for a good reason.

Denying jobs based on a credit report may be unfair because it penalizes people who would otherwise be qualified to do the job based on unavoidable circumstances.

For example, an unexpected medical emergency or a layoff can cause people to land on unstable financial footing. Therefore, denying jobs based on a credit report may be unfair because it penalizes people who would otherwise be qualified to do the job based on unavoidable circumstances.

In addition to Washington and Hawaii, 16 other states are considering a ban on employer credit checks. These states consider credit checks a hurdle to climb for those who are desperate to find jobs. The states considering a ban include New York, Oregon, Ohio, and South Carolina.

The difference between a credit report versus credit score

A credit report details all of a person’s credit history which includes credit card accounts, account balances, available credit, and payment histories. A credit score is a 3-digit number that summarizes the information in a credit report as a rating.

Good scores mean a person is a reasonable credit risk and is more likely to pay back loans, but a low score means the person is a poor credit risk and is less likely to pay back a loan.

Why would potential employers check credit reports?

The number 1 reason employers cite for conducting background checks during the hiring process is to protect customers and employees. Some employers also run credit reports at that time to verify identity, background, and education.

The reports can be used to prevent theft or embezzlement or to see previous employment if a resume is incomplete. It allows employers to gauge how a candidate handles personal responsibility.

Typically, an employer runs a credit check after the decision has been made to hire a candidate. Credit is usually the last thing an employer checks.

Checking credit costs an employer time and money, so they don’t usually use credit checks to eliminate people from a large pool of potential employees. Instead, they only check the credit for those they intend to hire rather than check everyone’s credit.

Those who have applied for a financial position or one that requires dealing with money, like a cashier role, are the ones most likely to have their credit pulled.

Credit reports are also often considered when an executive position needs to be filled. Typically, criminal or identity history is more important than an applicant’s credit score.

Theories behind the use of credit scores during the hiring process

The theory behind the use of credit scores during the hiring process is good credit means the applicant will be more reliable and they will be less likely to commit theft against their employers.

The flip side of the theory is thinking that those with bad credit scores are less reliable. When considering the weight to place on credit scores, employers need to remember that things like bankruptcy, foreclosure, and divorce also make their way onto an applicant’s credit report.

However, employers don’t see an applicant’s credit score. Rather, they see information such as past job history, insurance, legal issues, open lines of credit, any late or missed payments, bankruptcies, or collections.

How does an employer credit check affect someone’s credit?

An employer credit check doesn’t affect someone’s credit score. Employer checks are like soft credit checks. Employers look at long-term credit history, typically 4 to 7 years’ worth. Even if an applicant’s recent credit history is clean, employers can ask about large discrepancies, in work history, for example.

The good news is that credit checks, as part of employment practices, have started to decline in popularity. Regulation and decreasing interest mean that fewer employers are choosing to request credit checks for potential employees.

Employees can eliminate any surprises during the hiring process by enrolling in credit monitoring programs. These help potential employees prepare for questions regarding what is reported on their credit reports.

A credit report for employment is technically a legal measure of someone’s ability to handle the pressure and responsibility of a job. While almost every state considers pre-employment credit checks legal, there is some question about the ethics behind them.

The reason for the question regarding the ethics of credit checks is that unexpected things happen to good people, and when those unexpected things happen, credit scores can be negatively impacted.

Employers must comply with regulations set forth by the FCRA. Whether credit checks are ethical or not, they are legal in the majority of the United States.

However, the applicant must give permission for the credit check, or the employer won’t be complying with FCRA rules. Also, employers must inform the applicant if their credit report is going to be used negatively in the hiring process, which means the applicant can dispute or explain anything on the credit report.

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How Soon Should Employers Interview After a 2-Week Notice Is Given? https://www.zenefits.com/workest/how-soon-should-employers-interview-after-a-2-week-notice-is-given/ Mon, 13 Feb 2023 05:06:02 +0000 https://www.zenefits.com/workest/?p=20223 Wondering about the best course of action when an employee resigns and you need to fill their position? Follow this guide as a starting point.

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Employers prefer employees provide a notice when they decide to leave a job. However, not all employees do that, and no state or federal law requires an official written notice before leaving a company.

Some states are “at-will” states, meaning employers can terminate someone’s employment without reason. Alternatively, employees in those states can terminate employment without giving a reason.

While no universal laws for resignation guidelines exist, there are some requirements that should be met. A company can’t terminate employment based on gender, age, race, or other personal factors.

The “at-will” doctrine makes it easier for employees or employers to end employment whenever they want. However, legally protected factors can’t be the only reason for the separation of employment.

Can employers let someone go after the employee gives notice?

Technically, an employer can decide whether an employee should work their entire 2-week notice or if they want them to leave immediately. Companies can legally ask someone to leave immediately, which could make the employee eligible for unemployment in virtually every state.

Companies who want to avoid conflicts with employees regarding separation should include clear guidelines regarding resignations in the company’s written policy.

Employees who have signed a binding contract may be required to complete the last week or 2 weeks after tendering a notice. If an employee only gives 1 week’s notice, it’s the same scenario. The employer can determine whether the employee should complete their final week or should leave immediately.

The next steps after an employee tenders their resignation

When a company is notified of an employee’s impending resignation, the 1st step many employers take is to make an official announcement that someone is resigning. This step encourages open communication with employees and helps to prevent rumors or conflict.

There are several ways companies can make the announcement. Some employers choose to hold an employee meeting; some send an email, and some have HR or management meet with each team member individually.

Companies should assign other employees to take over assignments until a replacement is found for the person who is resigning. If an employee gives notice and intends to work the entire notice, they can ideally train their replacement. That means the company needs to start searching for a replacement immediately.

Companies can use the knowledge and training of a valued employee by asking them to assist with training a new hire. Exit interviews are crucial for providing valuable information to employers about why an employee has chosen to leave. These exit interviews help employers learn what they can do to improve the work environment for other employees.

Considerations to keep in mind for a resignation policy

When businesses make their expectations clear regarding employees leaving, the transition for everyone involved will be easier. Businesses aren’t required to have specific employee resignation policies; however, it’s wise for companies to create guidelines and include them in a company manual.

Here are some things that could be added to the resignation policy.

  • Encourage employees to submit their resignation in writing and to give at least 2 weeks’ notice of their intent to resign. This recommendation ensures that employers receive adequate time to plan for someone leaving. The 2-week notice allows time to train a new hire or transfer or reassign tasks to other employees.
  • Companies should ensure that employees have signed a list of company-owned equipment they received when they were hired. Employees should understand that they are responsible for returning the equipment before the end of their final day at work.
  • Businesses should check state labor laws or consult a labor attorney to determine if they are required to pay remaining benefits or allotted vacation time. Ensuring this information is included in the company manual makes the policy clear to everyone on staff.
  • Some businesses include a clause that refuses to allow employees to rescind their resignation. For example, if an employee turns in a resignation but changes their mind before their notice period ends, the company can refuse to allow them to continue working beyond the 2-week notice period.
  • Having a clear set of guidelines lets an HR department know exactly what to do when someone resigns. The guidelines for the HR department should have information regarding the right paperwork to complete, how to conduct exit interviews, or anything else related to employees leaving by resignation or firing.

What happens if an employee gives little or no notice?

When an employee leaves without notice, it can cause management and other team members to be stressed. What should companies do if someone decides to quit unexpectedly?

Here are a few ideas for dealing with employees leaving with little or no notice:

  • The 1st thing a company should do when an employee leaves without notice is consider making a counteroffer that complies with company policy. Doing this can lead to employee retention because sometimes employees leave to find more money or a more challenging position.
  • Companies should make an announcement of the resignation as soon as possible, so other employees don’t start to worry about the safety of their position with the company.
  • Businesses should attempt to find out why the employee has chosen to leave. Some employees leave simply because they received a better job offer, or they leave because they have decided to relocate. However, some employees leave due to issues within a company. HR should reach out to them to see if they are willing to give a reason for leaving so the company has an opportunity to correct any potential issues.
  • HR departments must complete paperwork and follow exit procedures anytime someone quits. The employee’s duties must also be reassigned until someone else is hired to fill the position.

The business, especially management and HR, should take steps to avoid having employees leave without notice in the future. Learning how to avoid these kinds of exits can help a company improve its turnover rates.

When an employee leaves without notice, a company should take the opportunity to examine things such as pay scale, policies, and culture to determine if changes should be made.

When an employee leaves without notice, a company should take the opportunity to examine things such as pay scale, policies, and culture to determine if changes should be made. Losing an employee suddenly to resignation should be a catalyst for making improvements. That way, a company can reduce the chances of future sudden resignations.

Admin tasks to include in the resignation policy

Businesses should include admin tasks in the company employee resignation policy. HR should know what paperwork to complete and what documents to keep with employee files.

Certain administrative tasks should be assigned to different departments. For example, the IT department can handle changing employee passwords and saving files and documents correctly.

Company-owned equipment should be returned before an employee leaves. There should be a comprehensive list of the company-owned equipment an employee has in their possession filed in their employee HR file.

The equipment employees could have in their possession includes anything from laptops to uniforms and smartphones to access cards. HR should ensure that every item is returned before the employee leaves.

HR departments and management have an important task

When an employee tenders their notice or resigns, employers, specifically HR departments, are left to fill the void in their workforce. The HR department or management should begin the recruiting and hiring process as soon as possible to ensure that their workforce remains productive.

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How to Create a Work Environment That Encourages Career Advancement https://www.zenefits.com/workest/how-to-create-a-work-environment-that-encourages-career-advancement/ Sun, 12 Feb 2023 07:25:10 +0000 https://www.zenefits.com/workest/?p=20218 Supporting and facilitating professional development allows team members to work at their maximum potential. Here are ways to support employee growth.

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Top performers don’t just magically appear. They learn and grow as part of their career commitment. Every new experience, skill, success, and failure is a teaching moment that allows workers to overcome challenges, create, innovate, and make lasting impacts on their team and organization.

Companies should encourage career advancement. Supporting and facilitating professional development allows team members to work at their maximum potential. Management can create a stronger team by empowering employees through career development.

Why is employee professional development significant?

An investment in employee development is an investment in growth and advancement. As team members grow in their careers, they significantly impact the company they work for.

How can supporting career growth benefit a business?

Let’s look at exactly how offering career development and supporting employees’ growth can benefit your business.

Increased employee engagement

Employees who remember speaking to their manager about career goals within the last 6 months are more likely to be engaged than those who haven’t had the same type of conversation.

Improved employee retention

Career progression is the number 1 reason for job hunting during the Great Resignation. Of employees who receive promotions, approximately 75% of workers stay with the same company for at least 3 years. About 94% of workers said they would remain with a company if their employer invested in their careers.

Attracting top performers

Currently, there are 2 job openings for every unemployed worker, so there is tremendous competition for top-performing talent. Most who are seeking employment are motivated by the potential for career progression.

Prepare teams for the future job climate

In 1940, most of today’s jobs didn’t exist. Many of the jobs that will be available in 10 years haven’t been invented yet. Companies that support career development and advancement help their teams prepare to maintain or obtain jobs as the job-seeking market changes.

Provide a better employee experience

Companies that invest in their employees’ growth potential help them feel supported and valued, thereby improving satisfaction ratings and the overall employee experience.

Improved diversity, equality, inclusivity, and belonging

Companies that support employee career growth can develop talent from underrepresented groups within their organization, building diversity within their skilled internal talent pool.

6 ways to support employee career growth

Some employees take responsibility for their own professional growth. They read blog posts, enroll in classes, watch webinars, or even hire career coaches.

Other employees may need help embracing career development. They may need assistance finding the time, covering costs, or trusting their own career ambitions.

Here are 6 ways management can support professional development and career paths for their teams.

1. Create a learning culture

Management can better support employee professional growth when all team members know that learning and development (L&D) is celebrated, encouraged, and prioritized. That’s why facilitating a learning culture is essential.

Companies should incorporate learning and growth into their core values. Those values should shine in business decisions and people strategies. Managers should discuss career growth options with employees, during recruitment and employee onboarding and through to one-on-ones and performance reviews.

Reinforce company values regarding learning and growth through rewards, recognition, promotions, and role-based compensation.

Organizations should encourage their teams to use time during the workday for learning activities and then share what they’ve learned with other team members. Reinforce company values regarding learning and growth through rewards, recognition, promotions, and role-based compensation.

Encouraging a learning culture allows employees to grow in their current positions and achieve upward mobility within the company.

2. Build employee career paths

Helping employees build their career paths allows them to visualize their future within an organization and see the actions they should take to reach their goals. HR can use onboarding to learn about an employee’s career goals.

In response to the stated objectives, the HR professional can assist in developing a career path. HR can use the employee’s skills, education, experience, and other qualifications needed to reach each goal and develop a plan for achieving the employee’s ultimate goals.

Building a career path works best in tandem with succession planning. Succession planning is when the company identifies the most crucial positions, both now and in the future, for which high-performing employees could successfully acquire the skills.

When companies combine succession planning and professional development, it helps team members set goals to advance their careers within their current organization.

3. Deliver continuous performance management

Performance management is not simply a once-a-year progress report filed in a personnel file. Instead, it should be a continuous process. Managers and employees should discuss progress toward goals during regular one-on-one meetings. During the meetings, the career path should be reviewed to ensure the employee stays on track.

As management reviews career goals with employees, they should also discuss how those goals align with potential advancement within the company. These meetings are the time to adjust plans to address new priorities or any challenges the employee faces.

4. Offer multiple career development opportunities

Everyone has their own learning style. One person may want to complete an entire workshop, while another may prefer shadowing a more experienced team member to learn their job.

Live speakers and conferences may be ideal for 1 team member. At the same time, others may prefer a recorded webinar that they can pause and rewind to allow for more comprehensive note-taking.

Most learners need various learning opportunities because they may learn differently in different situations. Management should offer multiple career growth opportunities that make sense for both the employee and the company.

5. Provide rewards and recognition

Career advancement doesn’t happen overnight. When a team seems to be stalled, they can often be encouraged and motivated to continue by managers recognizing their progress and rewarding them.

Recognition can occur during one-on-one sessions and all-hands meetings where management or supervisors can highlight learning and development achievements. HR should create a compensation strategy and budget that allows a financial reward for employees as they increase their work-related skill set and education.

Recognition and rewards emphasize the company’s value on career growth. They also show the support management can be expected to provide for achieving career development goals.

6. Offer career advancement

If an employee puts in the work toward professional development, the company should reward them. Over time, that reward is career advancement. Working toward career advancement within the company helps team members maintain their commitment to reaching their goals. Sometimes advancement comes in the form of promotion.

Other times, it comes in the form of moving laterally within the company to place the employee in a position that they think will bring them more job satisfaction.

Creating an open environment for learning benefits everyone

Management can facilitate employee growth and development by creating an open environment for learning. They can further encourage learning, development, and growth by providing recognition and rewards for progress. Continuously moving toward professional goals includes adjusting the path or updating the plan to ensure their place is secured within the organization’s development.

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Is Your HR Platform Missing the Mark in Helping Recruit Top Talent? https://www.zenefits.com/workest/is-your-hr-platform-missing-the-mark-in-helping-recruit-top-talent/ Thu, 09 Feb 2023 04:15:30 +0000 https://www.zenefits.com/workest/?p=20170 What are the pros and cons of using HR software for recruiting, and why is the human touch still necessary for the recruitment process? Find out here.

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The hiring process can be a costly, time-consuming endeavor. Recruiters report that the cost of onboarding a new recruit from the recruitment process to placement is at an all-time high. Completing the search for new talent can take just over 2 months, depending on the level of the job.

New recruiting software has become available to help save time and money during the talent acquisition process. However, the software may not be all it has been promised to be. It doesn’t fully automate the process, which may lead to new issues for recruiters.

Before investing in recruiting software, companies should consider the pros and cons of using an HR platform for recruiting. It’s also critical to remember why the human touch is still necessary for a successful recruitment process.

What are the benefits of recruitment software?

Recruiting software that performs well helps HR teams stay organized, especially within a high-volume hiring process. The software is also designed to keep track of candidates during the entire hiring process, allowing HR professionals to maintain communication with potential employees throughout the process.

Using software to manage basic recruiting tasks has been a proven strategy. Software is evolving to handle more back-end tasks in addition to front-end recruiting. These aspects make recruiting platforms a core component of the search for new talent.

HR recruiting software is most beneficial when it’s integrated with existing, standalone recruiting platforms or applicant tracking systems. That’s according to Bruce Martin, the global talent acquisition director at Emburse (an expense management company with 1,000 employees).

Some staffing and recruiting firms have turned to artificial intelligence assistants to help review, score, and identify which candidates are best for specific positions. These AI programs allow HR pros to customize their search based on multiple criteria.

The HR associate enters parameters such as skills, experience, and employment type, and the software uses metrics such as job title similarity, skill strength, and profile matching to rank candidates based on compatibility.

The resume aggregator incorporated in the AI software makes posting requisitions a simple process, while technical assessment tools integrate with all assessment platforms.

Recruiting software with end-to-end solutions saves time

An additional benefit to selecting recruiting software that provides end-to-end solutions to recruiting issues is it saves time. Most recruiters, especially tech company recruiters, must review hundreds of resumes daily.

Weeding through all those resumes can take away hours of the recruiter’s day. That time could be better spent on other tasks, which is why AI software matching is a beneficial aspect of HR recruitment software.

Good recruiting software also handles communication with potential candidates. The software can schedule interviews and keep both recruiters and candidates apprised of progress. The use of AI software can help businesses avoid hidden costs of the hiring process by identifying top-tier candidates from within any talent pool.

What are the drawbacks of recruitment software?

The biggest challenge of automated recruitment software is its integration with other systems. Sometimes the recruitment software won’t integrate with a company’s own human resource information system (HRIS).

The lack of integration can cause headaches with employee onboarding and other processes. However, it means that the automated recruiting software can’t be relied on for the entire hiring process.

Recruiting and onboarding new talent has always been a human-centered process. If a company attempts to automate too much of the hiring process, it can make the company seem cold or aloof.

A company that seems too cold can be a turn-off for top talent. Technology has helped to streamline the hiring process. However, there is still a need for the human part of human resources.

Technology has helped to streamline the hiring process. However, there is still a need for the human part of human resources.

The software doesn’t take away the need for the interview process. It also doesn’t eliminate the need for HR to vet their candidates against company culture or needed skills. A candidate may seem perfect from an AI software standpoint but actually not fit into the company at all.

While automated recruiting software is amazing HR technology, it can still make mistakes. For example, the software bases a portion of the selection process on keyword usage.

The software will choose candidates based on those keywords, which means candidates that are familiar with the technology can optimize their resumes around the keywords. The keyword bias can make recruiting a diverse workforce difficult, if not impossible.

The human element of the hiring process is still vital

Automated recruiting software helps to save time and money in the recruitment process, but it still isn’t entirely efficient. Since efficiency can be lacking, it’s crucial for HR professionals to remain in charge of the hiring process.

People need connection and contact. Automated processes can’t replace that element of the hiring process. Candidates feel better and more included when the human element of the hiring process is honored.

In the process of meeting and interviewing candidates, HR professionals get to know the candidates that are interested in the available positions. As they get to know their potential employees, HR pros often learn interesting facts about the candidates.

For example, one of them may play guitar in a punk band, and another may come from a large family who goes canoeing together every summer. This kind of information won’t be found on a traditional resume. That means the automated software won’t learn the information either.

Of course, the software can be programmed to measure for certain customized parameters, but the program still won’t understand the importance of the skills those hobbies have taught the candidate. That’s why there must be a human element in each interview process.

What are steps to improve the recruiting process?

To improve the recruiting process, HR professionals should remove all references to personal details. They should do this before sharing the resumes with hiring managers.

For example, names, and any other identifiers, will be eliminated from the resumes that are shared with hiring managers. Removing these details helps to ensure that recruiters focus on the details that pertain to the job and company culture.

When choosing recruiting software, recruiters should find programs that override filters and allow them to write and manage the advertisements for available jobs.

While it requires additional time and effort, HR personnel should put eyes on every candidate’s resume. That will help them to determine which ones merit further consideration and which ones are not going to fit with the company. This allows hiring personnel to ensure that no one was overlooked because they didn’t use the keywords that the software recognized.

Recruiting software assists HR with the hiring process

Automated recruiting software has its place. However, there are still some issues that need to be addressed before HR departments should fully rely on an automated recruiting process.

The software can help narrow the candidate pool based on keywords that are programmed into the software. Candidates who are familiar with the technology and the keywords that it looks for will have an advantage over those who don’t use optimized keywords on their resumes.

The human element is irreplaceable in the hiring process. People notice things that automated software can miss.

For example, unless specifically programmed to do so, the software won’t catch information regarding hobbies or other extracurriculars that humans will find interesting. Instead, the software will key in on elements that are specific to job skills or technical aspects rather than picking up on things that make a person fit into a diverse company culture.

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Is Your Employee Retention Program Working? https://www.zenefits.com/workest/is-your-employee-retention-program-working/ Sun, 05 Feb 2023 08:39:35 +0000 https://www.zenefits.com/workest/?p=19815 Organizations can significantly improve the chances of retaining employees by implementing these strategies to boost job satisfaction.

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The Great Resignation has had employees leaving their jobs in droves. Researchers indicate that workers like their chances in the current job market, meaning employers must remain vigilant with their retention efforts for top performers.

It’s time for companies to confirm they are making the correct efforts to retain their current workforce. Organizations must ensure they are making every effort to drive employee job satisfaction.

Statistically, employees who report being satisfied in their work life are more likely to stay with the company. For companies to ensure their employee retention programs are working, they must first understand why employees may be choosing to leave.

Why are employees leaving their companies?

When employees choose to leave, the HR department’s greatest tool is the exit interview. An exit interview can provide insight into why an employee has decided to leave.

These interviews also give the employee’s perspective of the organization’s inner workings and can help determine if employee retention strategies need to be adjusted.

Some of the reasons given for leaving the job include:

  • They need more money.
  • They want better or different benefits.
  • Employees feel they are overworked or are doing jobs that aren’t theirs.
  • They find virtually no room for advancement in their chosen career with their current company.
  • Workers feel they are spending all their time at work and none of their time living.
  • They don’t feel their achievements are recognized or their work is appreciated.
  • Employees need a change, or they’re bored with the current trajectory of their career.
  • They feel like the company is floundering rather than flourishing and are unwilling to go down with the ship.
  • The company culture isn’t a good fit for their personality.
  • They’ve found better, more attractive opportunities elsewhere.

What are top strategies for keeping employees satisfied?

Employees with highly sought-after skills will find new opportunities quickly if they leave their current company, even in areas where employers are valued more highly than employees.

Even during the worst of the pandemic, many companies continued to recruit top talent, so businesses must work quickly to ensure their retention strategies are working appropriately. Here are several areas where employers can boost job satisfaction and employee retention.

Start at the beginning with onboarding and orientation

When new hires enter the company doors for the first time, they will understandably be nervous, so HR and management should take that critical moment to create a successful relationship with them.

The employee onboarding process should teach new employees about the company culture and the job.

The employee onboarding process should teach new employees about the company culture and the job. New hires should be taught how they can contribute to and thrive within the culture.

Introduce them to other members of the team. Teach them policies and show them where everything is. Remember that the first few days within the company’s walls will set the tone — pleasant or unpleasant — for their entire time with the firm, so provide superior training and support during the onboarding and orientation phase of the hiring process.

Make mentorship programs a priority within the hierarchy

Many organizations have adopted the attitude of “We’re better together” with mentorship programs. That’s because they see the benefits of pairing or grouping employees for various tasks during the workday. Pairing a new employee with a mentor benefits both the new employee and the existing staff member.

For the new employee, someone is there to provide guidance on company policy or other day-to-day workings within the company. The mentor gets a fresh perspective from the new hire, and they can discuss ideas for new projects or work together whenever appropriate.

Not to mention, trusting an existing employee to be a mentor helps to let them know that management is confident in their abilities.

Employee satisfaction is often tied to their compensation

Most of the time, employees don’t report leaving a job to take one that pays less. Rather, they move to a position that pays more, so employers must keep salaries competitive in their industry if they want to retain top talent.

Offering better healthcare, retirement plans, or other benefits packages might help keep employees more satisfied if a company can’t compete monetarily with their nearest competition.

In some regions, sign-on, yearly, and holiday bonuses are ways to retain employees if their salaries aren’t quite as large as the competition across the street.

Bring in employees and keep them by offering perks

One of the best ways to stand out above the crowd of opportunities is to offer perks. Perks are different from benefits because they aren’t legally required offerings. They’re extras — an onsite gym, for example. If the company already offers parental leave, perhaps it’s time to consider offering it to adoptive or foster parents as well as natural parents.

A good way to determine which perks would benefit the employees is to have HR conduct a survey. Employees might appreciate different things depending on the area and the company’s makeup. Why not ask employees what they want if the goal is to increase employee satisfaction?

Offer wellness programs that honor the whole person

Mental, physical, and financial wellness are essential to keeping employees satisfied, and offering programs to help ensure employee wellness is a sound business practice.

During the pandemic, many employers began to recognize the importance of maintaining overall wellness for employees. Companies can offer classes or reimbursement for programs that help support all aspects of an individual’s health, from mental health to fitness level to financial independence planning.

Make communication within the company easy

It’s the management’s responsibility to develop a system to keep lines of communication open and flowing. With the current shift to flexible work schedules, clear communication among teams has become more crucial. Team members should feel comfortable speaking with each other and management about ideas or issues.

Provide performance feedback more than once a year

Gone are the days of the annual performance review. Now, employers are encouraging more frequent performance feedback. In these meetings, they discuss goals, struggles, and plans.

Now, employers are encouraging more frequent performance feedback.

Some employers utilize a self-evaluation technique to learn what the employee thinks of their performance before their individual meeting. This gives them insight into the employee’s concerns about their performance and allows the manager to provide feedback addressing the areas where the employee feels deficient. It also allows the manager to learn what areas require more training.

Implement exceptional training and development programs

For employees to compete in the ever-changing world of technology, employers must commit to providing training and development programs to keep them at the top of their fields. New software solutions or updates to current programs are constantly being issued.

To stay on top of technological changes, employees need access to the appropriate training, whether that consists of workshops or individualized training sessions.

Regardless of how the company does it, professional development should be a priority if they want to retain their employees. A bonus is that this helps with succession planning.

Create a system for internal recognition and rewards

One of the biggest complaints of employees is feeling unappreciated for what they do at work. With the current flexibility of work-from-home employment, it can be even harder to let employees know they are appreciated.

However, one way to improve employee satisfaction and increase retention is to create an incentive and rewards system. Perhaps consider holding a company picnic in the spring or summer and combining that with an awards day.

Honor employees who have been with the company for varying lengths of time with special gifts. Recognize achievement by treating everyone to a catered lunch on the company. The rewards don’t have to be expensive, either — just something that shows management noticed the hard work the employees have put into the job.

Help employees create a satisfactory work-life balance

Since the pandemic, employees are more aware of how much time they spend away from their families and friends and at their jobs. People are no longer satisfied being married to their jobs. They want a life away from work and for their managers to know and understand they need that.

With flexible work from home arrangements, it’s an even more precarious balance between work and home life. The tendency is to check emails or log in to check “just one thing” at any given time.

That blurs the lines between work life and home life even further. Management and employees must work together to create boundaries that facilitate a better work-life balance.

Allow flexible work arrangements whenever possible

Many employees found during the pandemic that they enjoyed working from home and were also as productive, if not more productive, at home. If companies are truly interested in employee satisfaction, they should consider what they can offer in remote work.

If companies are truly interested in employee satisfaction, they should consider what they can offer in remote work.

Even if employees can’t go to permanent remote status, flex time or hybrid options could be enough to keep employees with them rather than looking elsewhere.

Manage any changes effectively and efficiently

One thing everyone learned during the pandemic is that we all must be ready to adapt at a moment’s notice. Sometimes those changes are good, and sometimes those changes are irrevocably damaging.

If management doesn’t handle change efficiently and confidently, employees won’t have confidence in their leadership. Employees who lose faith in leadership won’t remain loyal to the company.

Perhaps the best way to maintain employee confidence in the company when it’s going through changes is to maintain effective lines of communication. When management keeps the team informed and is willing to answer questions honestly, employees feel less anxious and more willing to wait out the storms.

There is no “I” in team

Many a high school or college coach has said, “Remember, there is no I in team.” While that may sound like an oversimplification of the point, it’s valid to emphasize that employees should be treated like a team rather than individual stars.

The simplest way to promote teamwork is to provide opportunities for people to collaborate on projects. When the company has sales meetings or progress reports, for example, allow time for ideas or issues to be discussed among team members.

Milestones should be celebrated

Has Jack been working with the company longer than anyone else? That’s a significant milestone and should be celebrated. Did June pass 25 years in the art department? Consider catering lunch to celebrate her achievement.

Did the team finish a huge presentation a full month before the client wanted it? Everyone gets Friday off with pay to celebrate. The point is large or small milestones should be acknowledged.

Improving employee satisfaction and retention is vital

These tips are just a few ideas for improving employee satisfaction and retention. While no action guarantees that employees will stay, companies can significantly improve the chances of retaining employees if they acknowledge the need for action to help ensure job satisfaction.

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Are Internal Hires a Company’s Best Move for Open Positions? https://www.zenefits.com/workest/are-internal-hires-a-companys-best-move-for-open-positions/ Thu, 02 Feb 2023 20:11:24 +0000 https://www.zenefits.com/workest/?p=20086 Before deciding whether to promote someone internally or hire someone new from an externally qualified candidate pool, Human Resources personnel should understand the pros and cons of internal and external hiring processes.

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The efficiency of the hiring process can determine whether a company is well-staffed with quality employees. Companies use two hiring methods when selecting new candidates for open positions:

  • Promoting from within
  • Recruiting new, external talent

Before deciding whether to promote someone internally or hire someone new from an externally qualified candidate pool, Human Resources personnel should understand the pros and cons of internal and external hiring processes.

Internal hiring defined

Internal hiring is a process by which a company chooses to transfer or promote someone who works for the company into a new role. When a company hires someone internally, it typically involves transferring a person to a new department or promoting them to a more senior position within the same department. The professional may show interest in filling the new job, or management may determine that the person is a good fit for an open position.

Sometimes HR professionals share open positions internally before advertising them publicly. This process allows people already employed with the company the opportunity to apply and be considered before anyone else.

External hiring defined

In contrast to internal hiring, external hiring recruits professionals from outside the company for open positions. This method allows companies to seek growth by providing career opportunities to new players in the workforce. The external process requires posting notifications to job search websites and other advertising media before interviewing potential candidates.

External hiring allows companies to seek growth by providing career opportunities to new players in the workforce

The pros of internal hiring

Both hiring processes have pros and cons, and we’ll go through them in this article. Let’s start with some of the pros involved with internal hiring.

Reduced hiring costs

Choosing to hire internally allows companies to allocate the funds they would have used for hiring an external candidate to a different budget item, such as employee development. There is no need to use external sources for advertising open positions, so the cost of hiring a candidate can be reduced.

Although there are exceptions, internal candidates typically won’t need extra money for relocation or pre-employment checks.

Shortened hiring process

Typically, when a company hires internally, the process is less involved than when they must recruit and hire from outside the company. Those internal interviews are often more concise and less time-consuming than those for external candidates. Therefore, HR professionals can streamline their interviewing process and usually conduct fewer interviews.

Also, the human resources team probably already knows the potential internal applicant, so they can adjust their interview techniques accordingly.

Shorter adjustment periods due to familiarity

Companies that hire internally choose to allow someone already familiar with policies and culture to transition into a new role. Typically, that means there will be a shorter adjustment period for the person transitioning and for other team members.

Hiring people from within allows people already familiar with policies and culture to transition into a new role and require a shorter adjustment period.

Internal hires can reach productivity goals quicker, which also benefits the company.

Performance history is clear

When a company hires internally, they are already familiar with the candidate’s skills and performance history. Human resource professionals take less risk when they hire internally because they already know the candidate’s achievements and level of productivity.

Additionally, hiring an internal candidate can be a reward for an employee’s performance within the company.

Career development opportunities for company professionals

Hiring from within provides built-in career development opportunities for someone who already works within the company. Providing career development opportunities can increase employee satisfaction and retention. Many professionals are happier at a company that offers growth opportunities.

When a company establishes an internal hiring practice, it can encourage employees to remain with the company and work toward promotion opportunities.

Cons of internal hiring

As with anything, there are disadvantages as well as advantages to internal hiring. Here are some of the drawbacks to internal hiring.

Creates another empty role

When a company promotes or transfers an existing employee, it creates a vacancy in their previous role. That leaves HR looking for someone to hire for that position, whether that results in moving someone else or hiring someone new.

The upside to having the transferred individual’s role available is that it typically leaves a lower-level position open, making it easier to recruit appropriate talent.

Employee morale can be affected

Hiring internally has the slight potential to be somewhat detrimental to employee morale. This is especially true if more than one current employee wants the open position. That can cause competition or jealousy, which can cause issues in the overall work environment.

Sometimes, an employee who doesn’t receive a promotion in favor of a coworker will become disgruntled and leave the company. Even so, sometimes, that works to the company’s benefit.

Pros of external hiring

Just as internal hiring has advantages, so does external hiring. Here are some of them.

Staff diversity

Hiring external recruits brings fresh insight and ideas into a company. Bringing new insight and ideas into the company can also enrich the company culture. This is particularly impactful if the company needs a change of direction, even a slight one.

Add new skills to the company profile

When a company hires externally, they add new people with new skill sets. Qualifications the new hire has may differ from anyone already employed by the company. Internal employees may need additional training to fit the new role. In contrast, external hires might already have the exact qualifications the job needs. Also, external hires might recognize issues within the company faster than internal hires.

If the company is experiencing change, hiring an external candidate could be especially valuable.

If the company is experiencing change, hiring an external candidate could be especially valuable. For example, if the company has implemented a new computer system, and the external candidate is already proficient, it would be beneficial to consider that person over an internal transfer who needs to learn the system.

Allows company growth

Hiring externally provides opportunities for company expansion and career opportunities for other professionals. Hiring in this manner can allow HR managers to locate multiple qualified people for the positions they need to fill. Often professionals will apply for one job and be offered a different position than the one for which they applied. Placing more than one candidate in an open role can increase productivity and efficiency.

Management of employee workload

Hiring an external candidate helps to manage the workload of current employees. A company’s employees won’t need to accept more responsibilities at work because the external candidate takes on some of the duties. Additionally, external hires bring different skills to the job than internal candidates, which means that an external candidate may more easily complete some tasks.

A more extensive selection of talent

An external hiring process brings a larger talent pool to a company. Companies are more likely to receive more external applicants than internal ones. The larger talent pool can allow a company to find the perfect candidate without sacrificing the qualifications they’re looking for.

Cons of external hiring

External hiring has its drawbacks, just as internal hiring does. Here are some of the possible disadvantages of hiring externally.

Increased hiring costs

External hiring requires more time, effort, and money than internal hiring. More orientation and training are needed to position someone appropriately within the company. Interviews also take more time and effort when a company hires externally.

External hiring requires:

  • Advertisement
  • Job posting
  • Other external expenses

Determining the hiring costs will help the HR department select an appropriate hiring budget.

Longer training periods required

Typically, an external hire needs longer to train and become familiar with the company culture and policies. A company must ensure its training programs are effective and efficient so that new hires can acclimate as quickly as possible.

Exceptional training programs lead to confident employees who work more efficiently toward productivity goals more quickly.

Final thoughts

Internal and external hiring practices each have advantages and disadvantages. The company’s goals, values, culture, policies, and hiring budget should determine whether HR recruits internally or externally.

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How to Measure a Manager’s Success https://www.zenefits.com/workest/how-to-measure-a-managers-success/ Thu, 02 Feb 2023 06:56:37 +0000 https://www.zenefits.com/workest/?p=20076 Excellent leadership helps to make a successful company. Here are strategies for measuring a manager’s effectiveness.

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Good management makes a job tolerable. Excellent management makes a job enjoyable. The measure of a successful business often lies with the managers. Managers make a measurable difference in a team’s effectiveness and the business’s performance overall.

Businesses and other organizations strive to develop strong leadership. The issue is knowing what a great leader is. The company’s goals determine how effective its management team is. Here are tips for measuring a manager’s effectiveness.

How does the manager’s team perform?

Regardless of the industry, results drive business metrics. Performance is significant in measuring a manager’s effectiveness. It isn’t the only metric that should determine a manager’s effectiveness, but it is important.

Marketing managers are measured by the amount and quality of the leads a team generates. The sales team’s success is measured by the team’s overall contribution to the company. Manufacturing teams measure success by cycle times or reject ratios.

Most companies already measure the manager’s success. These metrics show how employee engagement and morale can influence the bottom line.

Leadership programs aim to improve overall performance through improved leadership. Tying improved performance solely to learning is difficult, if not impossible.

However, if managers who participate in the leadership program consistently outperform those who don’t participate, those numbers are worth sharing.

Looking strictly at performance would be a mistake. Focusing only on performance can lead to a burnout culture where short-term wins outweigh long-term success.

Conduct anonymous employee surveys

Organizations should routinely get anonymous feedback from their employees. These surveys should be the employee’s honest assessment of the company.

Companies who don’t do this are making a mistake. It’s like allowing problems to continue while they pretend nothing is amiss.

Employee engagement surveys help to indicate how effective a management team is. The surveys allow businesses to see whether managers have implemented company-provided management training.

If a company values transparency, these surveys can indicate how transparent the manager is with their employees. The surveys also indicate how managers are improving over time in specified areas.

What is their team’s turnover rate?

Turnover rate metrics are reactive. A great manager builds a team of engaged employees who don’t want to leave the company. Waiting for a turnover rate to increase may be waiting too long to act.

HR should keep track of each team’s turnover rates. If turnover rates spike, the company should address that immediately. There could be factors at play that a manager can’t control, but high turnover rates on 1 team raise a red flag.

The correct way for companies to view high turnover rates on a team is as an organizational failure rather than the manager’s failure. It isn’t just the manager’s fault if people eagerly leave a specific team. The manager’s supervisors are also at fault for not intervening and correcting issues.

Conduct job candidate surveys

An important skill for managers to have is the ability to recruit job candidates effectively. A manager should exhibit respect for potential candidates. Their interview style should be that of an honest conversation rather than a 1-way interrogation.

Interviews with the manager are often the moment that makes or breaks the opinion of a job candidate regarding a company. If a prospective employee respects the manager, they will likely accept an offer of employment from the company.

If they don’t respect the manager, or if they don’t feel respected, they will be more likely to continue looking for work elsewhere.

Organizations must have managers who effectively recruit and interview job candidates for the organization to continue bringing in strong talent. Organizations should conduct surveys of potential job candidates; those not offered positions can help HR improve future recruitment efforts.

Do the manager’s employees advance within the company?

Tracking whether a manager’s employees get promoted within the company is another way to measure how well that manager is doing their job. Good managers train people to be leaders themselves.

Businesses need to balance the desire for employee retention with the passion for excellent leaders. Managers who effectively train their people to be leaders may have a higher turnover rate than other managers.

This is because as employees grow and prepare to take on leadership roles, they may find nowhere within the company to advance their careers. That leads them to seek leadership roles elsewhere.

Good managers train people to be leaders themselves.

When employees move to another company to seek leadership roles, companies shouldn’t fault managers for that turnover. There are a couple of reasons why the manager isn’t at fault. First, the ideal promotion is within the company.

However, if there is nowhere to go up the corporate ladder in that business, it means that the company already has a strong leadership hierarchy.

Former employees will have positive feelings toward the company

Second, someone who learned and grew within a company will advocate for that company even after moving to another. They won’t forget where they were allowed to grow and learn.

Former employees will refer to the previous company in a positive manner. They will recommend the company and sing the praises of its management.

One instance the praises of a former employee are beneficial to a company is when they need to hire someone new to work for the business.

The former employee will tell potential employees what the company climate was like and about how they grew within the company. Potential employees could come to apply for a job with a company simply on the word of that former employee.

Word of mouth is one of the best ways for companies to build a positive reputation. A great manager facilitates growth and advancement in the people below them in the hierarchy. Ideally, the company will provide opportunities for advancement within the organization.

However, that isn’t always possible, so businesses may have to be satisfied with a worker who has changed companies and sent new recruits to their previous employer.

How can managers measure their own success?

There are 2 ways to broadly measure success. One is a qualitative measurement, and the other is a quantitative measurement.

Qualitative measures are difficult to measure precisely using numbers. Quantitative measurements, on the other hand, use precise metrics and data points to indicate how well the manager is meeting predefined goals.

5 qualitative (more subjective) ways to measure business success

Here are 5 ways to measure how successful a manager is on a qualitative level — look at these things:

  • How creative the company is: Companies often have goals for creativity and innovation. A manager who facilitates that creativity is deemed successful.
  • Customer satisfaction ratings: A company with returning customers likely has management that ensures customer satisfaction.
  • Team efficiency ratings: A team that quickly completes daily and weekly goals makes a manager feel successful.
  • Employee satisfaction data: When managers perceive their employees enjoy their jobs and are eager to complete tasks, they view it as a personal success.
  • Personal satisfaction information: When a manager measures their own success, they often consider how they feel about their own performance within the company. If a manager feels personally successful, they will also see their team as a success.

5 quantitative (more concrete) ways to measure business success

More concrete measurements of success are quantitative. Here are 5 ways to quantitatively measure success —review these things:

  • Customer retention metrics: Managers can use sales data to verify how many customers have been retained over a set period to measure the success of that period.
  • Key performance indicators (KPIs): Managers can create a key performance indicator for the desired outcome of their choosing, such as how long it takes a specific employee to perform a particular task.
  • Market share data: Using market share data allows management to see what percentage of the market the business is controlling. The management team can then devise a plan to increase such aspects as productivity to improve their market share.
  • Profitability data: The standby benchmark of whether a business is a success is whether it’s being profitable. Profitability is determined by the amount of revenue being brought in versus the amount of money being spent on costs. Knowing profitability information helps the management team and investors know what changes they should make for the next fiscal cycle.
  • Data regarding the turnover rate: A direct correlation to management success is how many people remain in their jobs. The turnover rate is measured by how many people have left the company or been hired within a specified time frame.

Employee satisfaction is a key indicator of manager success

People can measure management success either qualitatively or quantitatively. Primary metrics that should be considered when measuring management success are those that apply most directly to the satisfaction of other people.

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Personal vs. Professional References for New Hires https://www.zenefits.com/workest/personal-vs-professional-references-for-new-hires/ Wed, 01 Feb 2023 03:11:26 +0000 https://www.zenefits.com/workest/?p=20025 What is the difference between a personal and a professional reference, and which is more beneficial for those seeking employment? Find out here.

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When people complete a job application, they are asked to provide references. Many people are unsure whom they should use as a reference. Should the emphasis be placed on personal or professional references?

Many think professional references are more critical when searching for a job. However, that isn’t necessarily the case. Personal references have their place as well.

What is the difference between a personal and a professional reference, and which is more beneficial for those seeking employment?

Personal reference and professional reference defined

Reference checks give potential employers information regarding applicants that allows the employer to know more about the applicant.

There are 2 kinds of references that are typically provided to the employer. One is a professional reference. Professional references are typically managers, team leaders, or coworkers that know the potential employee through a working relationship.

A personal reference is someone who knows the applicant outside of work. These people can share insights into a potential employee’s life away from the job.

Sometimes a personal reference and a professional reference are the same people. However, if the reference is simply a personal reference, it shouldn’t be discounted as unreliable or unworthy.

Personal references can give employers valuable insight into how candidates handle situations outside the work zone. They provide information about a person’s character and life skills. Sometimes, they also have insight into a person’s work ethic, punctuality, and other valuable work skills.

A personal reference is a witness to a candidate’s daily ability to plan activities, follow through, and manage their time. The reference will usually know interests, hobbies, and lifestyle information that makes a candidate a well-rounded choice for the position.

The answers to questions you can ask a candidate’s reference can tell you about the candidate’s ability to work with others, and their values, work ethic, skill sets outside of work, and personality traits from personal references.

While professional references give insight into a person’s ability to handle job-related tasks, a personal reference gives expanded insight into soft skills.

While professional references give insight into a person’s ability to handle job-related tasks, a personal reference gives expanded insight into soft skills and power skills.

Employers often ask about conflict resolution, active listening, decision-making, or relationship-building skills when talking to a personal reference.

Personal references can help an employment candidate prove they have the right personality traits to fit into a particular work environment.

When should a candidate use a personal reference?

Employers often ask for a personal reference as part of the application process. However, candidates should include at least 1 personal reference, even if they aren’t asked directly to provide one.

Essentially, personal references are suitable to fill in the gaps when a candidate doesn’t have enough professional experience to share.

For example, if an employer asks for 3 references, and a candidate only has enough work experience to provide 2 professional references, the 3rd reference could be a personal reference with knowledge of the applicant’s skills that would benefit them on the job.

Those seeking entry-level positions with very little work experience may provide personal references they believe know qualities that make them prime candidates for the job they seek.

Strong personal references can sometimes switch the focus from lack of work experience to strength of character or soft skills that make the candidate ideal for a job. These personal references are people who have worked alongside a candidate on a project at school, in the community, or through a hobby.

If a candidate has made a life decision to change careers, they may only have personal references to highlight the particular skills they need for their new career choice.

For example, a candidate who applies for a job with special needs individuals may use a reference who has firsthand knowledge of their patience and ability to remain calm.

The difference between personal and professional references

Personal references are those people an applicant knows outside of work. They met these people in social situations or community organizations.

A personal reference should provide firsthand knowledge regarding how a candidate behaves even if they’ve never seen them in a work setting. Examples of personal references include:

  • College professors
  • Coaches or other extracurricular instructors
  • Members of networking or professional membership groups
  • Leaders of a club, hobby group, or community service organization
  • Mentors
  • Faith leaders who have personal knowledge of job-related skills
  • Friends who have worked with the candidate on a project

A professional reference, on the other hand, has to be someone who actively worked with the applicant. It’s someone who knows the candidate’s job skills well.

This can be a manager, supervisor, peer, colleague, or another individual the candidate regularly worked alongside on the job. Someone seeking leadership roles can list people who directly reported to them.

The key to choosing a professional reference is finding someone whom the candidate worked with to accomplish a common goal in the work environment.

Those who can serve as professional references include:

  • Supervisors, direct managers, and bosses
  • Other managers at the same company
  • Coworkers from the same team
  • Colleagues from other departments at work
  • Direct reports
  • Clients
  • Managers or leaders from volunteer organizations
  • College professors
  • Business partners
  • Academic advisors

Can there be overlap between personal and professional references?

There is some overlap between professional and personal references. For example, college professors make both lists. That’s because the interaction between professors and students varies.

Some people have a close relationship with a professor and think of them as mentors, while others work with professors outside class as teaching assistants or office help.

The caveat to choosing a college professor as a reference of either type is that they should be someone the candidate has a relationship with outside of class.

If the applicant only knew the professor because they were a student in their statistics class, the professor may not remember the person well enough to speak to their work ethic if they were just a face in the crowd and didn’t have personal interaction outside of class.

What about family members as references?

Family members should only be used as references in certain circumstances. For example, if a candidate founded a local charity with his brother, the brother could be a good reference. However, it’s usually a good idea to avoid using family members as references of either type unless there are no other choices.

Sometimes a family member may seem like a good choice for either a personal or professional reference. However, wise candidates will leave family members on the personal reference list if they use them because many employers doubt the objectivity of someone who is within the candidate’s family.

How to ask someone to be a reference

Many people take for granted that their references will have no problem acting as a reference. However, some people would rather not have their information shared with people they don’t know.

A candidate should ask a reference ahead of time if they are willing to be a reference. Confirming someone’s willingness to act as a reference indicates respect for that individual.

Asking someone to be a reference before using their name and personal information also gives a candidate a chance to tell them about the position they seek. When a person gives their reference this kind of information, it allows them time to consider which traits a candidate has that they should highlight.

If a candidate needs to exhibit patience, and all the reference speaks about is money management, for example, the reference may not have the desired effect.

References should know a candidate well enough

References should be people who know a candidate well enough to speak to their ability to perform the job they seek. While many people think professional references are the only kind of references they should include with a resume, the truth is choosing an appropriate personal reference could help them show that they are well-rounded and a good fit for the position they seek.

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Experts Discuss the Importance of Purpose-Driven Work for Millennials https://www.zenefits.com/workest/experts-discuss-the-importance-of-purpose-driven-work-for-millennials/ Tue, 31 Jan 2023 01:21:18 +0000 https://www.zenefits.com/workest/?p=20036 Companies filled with purpose are beginning to appeal more to job seekers. See how top business experts weigh in on Millennials’ thoughts about purpose-driven work.

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Millennials make up the majority of the US workforce. They surpassed Generation X as the largest in the labor force by a million in 2016. Coupled with their advanced technological understanding, they are far from the lazy stereotype. It’s challenging to talk about millennials in the workplace without spotlighting their focus on social integrity.

According to PwC, 88% of millennials want to work for a company whose values reflect their own. Millennials’ reputation of job-hopping may come from their search for a business with a similar substance.

This group of people is more in tune with their contribution to society. Moreover, they respect their personal drive and expect a company to align with it effortlessly. Businesses must adopt this mindset to attract and retain the millennial audience.

The power of purpose

The definition of purpose in the workplace is doing something meaningful that motivates people to achieve their goals. This goes hand in hand with a person loving what they do — regardless of how much they get paid for it.

When it comes to human beings, purpose helps drive quality of life. Medical scientists studied how having a purpose in life facilitates health and longevity. They found that having a purpose in life may be the key to motivating resilience.

The definition of purpose in the workplace is doing something meaningful that motivates people to achieve their goals.

Essentially, purpose makes room for human psychological well-being. This conclusion can directly correlate with trauma recovery and stress regulation.

There are benefits of having a purpose extend to businesses as well. Having socially impactful events and features can increase employee engagement. People are actively concerned about their motivations, whether they know it or not.

Northwestern University discovered that companies were more successful when they developed a greater purpose. As a bonus, their employees reported their jobs had more meaning and were unlikely to leave.

The appeal for those born between 1982 – 2000

This is a generation notorious for financial anxiety and high stress. Still, Millennials are less concerned about compensation. According to Deloitte, this group overlooks financial integrity during their job search. They are “looking for work that elicits passion and helps them pursue: professional, personal, and social goals….”

This purpose-over-pay approach to job searches changes the dynamic for businesses. Millennials prefer a business that allows them to be meaningful. They want to connect with a business. Since they’re demanding more than just financial security, companies need to take another look at their practices. For a typical Millennial to take notice on a less-superficial level, wins need to be experienced by:

  • The community
  • The business
  • Individuals

As a generation of late 20-early 40-somethings, it’s fair to connect them with the future of the workforce with Generation Z workers. Companies could persuade them with high compensation and excellent benefits, just as anyone else. The difference is that without a clear purpose, Millennials will pass on an opportunity that doesn’t align with their values and find something more suited to them.

What it takes to create a purposeful environment

To create a positive and meaningful work environment, businesses should look at how their employees prosper. They should evaluate the work culture and see if staff feel they have a solid foundation of purpose. McKinsey & Company is a global consulting firm that discovered 62% of employees are still looking for more meaning in their work.

A purpose statement should be available to everyone to instill a driven purpose in employees. This can help motivate employees’ passions and let them articulate the value they want to create for people. This statement should avoid vague statements that make broad, unrealistic promises.

Instead, company leadership needs to rethink why their company exists. They should reflect deeper on what they’re providing the public and how they differ from companies offering the same things. Overall, a meaningful purpose statement should clearly define business goals in a way that inspires the workplace to deliver.

A purpose statement should be available to everyone to instill a driven purpose in employees.

A motivated and determined employee directly affects business profits and growth. The number of engaged and satisfied employees reflects a company’s loyalty level and retention. Therefore, their presence in the workplace is consistent, and their productivity excels.

Delivering on the business’ purpose

Even a well-written purpose statement is worth nothing if it’s not achievable. A company needs to be able to deliver on its purpose. Employees and customers notice when a company doesn’t follow through on its promises. Without proof of effort toward a cause, a business can seem untrustworthy. This can create a workplace that is:

  • Hostile
  • Toxic
  • Cynical

Regardless of the industry a company is a part of, it needs to adapt to a better system to achieve its purpose.

The first step is to focus on appealing to the right talent. Every business wants the cream of the crop candidates and top performers. Being mindful of the Millennial humanitarian mindset matters. Companies should appeal to their needs without compromising other generations’ talent.

Next, company leadership should build effective teams. Each department should have a hand in achieving a like-minded goal. Furthermore, they all need a high-level knowledge of what the groups are doing. Each employee knows what is going on through automated technology and collaborative efforts. This can facilitate more productivity toward goal achievement as team members clearly see where their hard work is going. Investments toward creative collaboration and objective planning help everyone’s workflow.

Leadership must live each day with a passion for the relevancy of their purpose.

Finally, leadership needs to exemplify this purpose. They must live each day with a passion for the relevancy of their purpose. This way, a company can be effective from the top down, with everyone having a mindset driven toward its goals. Open communication can help build this purpose-driven environment. Relaying concerns without fear can help build relationships with the right audience of customers and talent.

Conclusion

Based on these findings, it’s clear that the millennial workforce has certain expectations for their careers. Social equity is this group of workers’ concern — they prefer work that answers whether a business can give back and invest in the right causes.

So, companies should assess whether they are making a difference on a social level. Furthermore, they should foster an environment where their personal values and the company’s are aligned.

This can happen with an awareness of company culture and a passion for a purpose. As leadership sets the example of what their values should look and feel like, employees will follow. The business will begin to thrive at this point with a like-minded goal filled with promise and purpose.

Any company worth its salt values talent retention and employee engagement. As a result, companies are recognizing the value of implementing purpose-driven work into the core of what they do.

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10 Ways to Combat Ageism in Recruitment in 2023 https://www.zenefits.com/workest/10-ways-to-combat-ageism-in-recruitment-in-2023/ Mon, 30 Jan 2023 02:52:39 +0000 https://www.zenefits.com/workest/?p=20021 Here are ways to help ensure inclusive recruiting and hiring processes to avoid age discrimination of candidates.

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The Age Discrimination in Employment Act (ADEA) was passed in 1967 to prevent ageism in the workplace. Still, job seekers age 40 and over experience the implications of bias. Treating a person less favorably because of their age can have very costly consequences for businesses.

Despite the law in place, businesses still lost $850 billion in 2018 for discriminating against older workers. This could have looked like forced retirement or missed opportunities for raises. Some employees reported longer unemployment or lower earnings compared to their younger counterparts.

Businesses need to reevaluate how they treat older employees during every phase of employment. It all starts with the hiring process and finding solutions with a complete overhaul.

1. Evaluate the current work environment for ageism

Leadership should start with an assessment of their company culture as it stands now. Businesses can release an anonymous survey detailing how employees feel at work.

This should encompass everything from hiring to raises and resignations. With this, business leaders can begin to be honest about the areas that need improvement.

Workplace assessments like these should provide insights into processes that aren’t working. From here, companies can get details straight from the source about any potential age bias. Better business decisions can come to mind, which prevents these instances in the recruitment process.

2. Assess the inclusivity of the workplace for all ages

It counts to be as mindful of other people as possible. Individuals of all age groups have their own requirements for optimized quality of life. Therefore, the addition of more inclusive resources may help combat ageism.

Businesses should be more accommodating of age-related limitations. Age-awareness training may help them brainstorm the best ways to achieve diversity in the workplace.

Providing equipment for those with hearing or visual impairments can be a great place to start catering to inclusivity. Other employers might add more flexible work arrangements by request.

3. Look at the perks available to employees

Extensive benefits packages instill a better work culture and increase employee productivity. For recruitment, the right benefits attract top talent, regardless of their age. The benefits offered by a company reflect where they place its values.

Having perks that relate to all employees in some way can help eliminate ageism in recruitment. Comprehensive healthcare is a great example, as it can cover 2nd-generation dependents. Plus, all ages have access to healthcare coverage for medical care or prescription premiums.

Adoption assistance may be another benefit to add for employees. The average age for an adoptive family is 44 years old, with more individuals 50+ looking to adopt. They should receive the same attention and support as traditional parents.

4. Optimize the company’s brand

A company’s brand directly involves how the public perceives them. The right brand image can make a company’s products appear more capable and reliable. As a result, more accomplished job seekers will swarm to a job posting.

Online presence is the first place to look. In fact, 61% of job seekers visit the company’s site before applying. This gives them a better understanding of where they could potentially be working.

Candidates want to know who these companies are, what they stand for, and what they do. Visiting a site with lots of exclusive language and photos of younger people can impact their decision.

This aversion to the company makes them feel like they don’t belong, which reflects negatively on a business’s brand. Assessments and changes should apply to social media and websites that could adversely affect older talent.

5. Check for inclusive language on job postings

The right words reflect how job seekers perceive a company in every aspect of a business. A well-written, inclusive job posting can make or break public perception. They are likely the first place a person hears or sees about a company, so the 1st impression is everything.

It makes sense for a job posting to have minimum qualifications as it pertains to years of experience. The potential for age bias comes in here by stipulations that don’t apply to everyone. This can look like “at least 3, but no more than 10 years of experience with CRM.”

To appeal to a wider range of qualified candidates, job postings should be as non-biased and inclusive as possible.

To appeal to a wider range of qualified candidates, job postings should be as non-biased and inclusive as possible. This means getting rid of language that describes a certain type of person instead of an eligible candidate.

6. Provide better resources for older employees

The resources provided to workers should be available for them to use as needed. Their entire goal is to foster a diverse and more inclusive workplace.

These groups aim at creating a safe space for those in certain diverse groups. The presence of age-related employee resource groups is on the rise, and employers should be ready to advocate.

Providing resources for age-related programs is an inexpensive addition to a workplace. They can help with issues related to retirement, finances, health, eldercare, and more. The Back to Work 50+ program offered by the AARP is a great example.

7. Hold events that appeal to all ages

Catering to the community of a workplace helps foster a more inclusive work culture. Festivities, events, and workshops are great examples of community activities that can help with this.

The problem is these events should attract people of all ages. Prime-time events could prevent families and older individuals from attending.

Inclusive events increase employee satisfaction and attract better candidates to a business. Festivities that suit those with physical limitations make them feel better about participating. It may help to conduct another type of survey to create the most engaging event possible.

8. Structure the interview process to decrease bias

Structured interviews help decrease the possibility of bias. These interviews ask each candidate the same questions across the board. This helps compare working ability solely by the person’s experience and skills.

Assigning a panel of hiring officials may help as well. Businesses should enlist 3 professionals of varying cultural, ethnic, and age groups. Together, they can help facilitate fairness. They will present uniform questions and use cases to each candidate, depending on the position.

Recruiting becomes quicker and more cost-effective this way. Without veering off-topic, recruiters can stick to the hiring process and get the most done. They do so without discriminating against a person and simply focusing on their qualifications.

9. Talk to recruiters about ageism

At this point, optimization of the workplace and the interview processes has begun. The business is aware of any ageist connotations.

So, now is a great time to have an honest conversation with interviewers about their best practices. Recruiters shouldn’t have any biases against certain groups of people. In this case, they shouldn’t consider anyone over another candidate based on their age.

Training can be available to help them understand what these biases may look like. They can get assistance with verbiage and other assets that may deliver age-related stereotypes. This useful type of training helps decrease other possible stereotypes in the recruitment process as well.

10. Communicate with other leaders about ageism

Training and guidance are necessary for a recruiter, and leadership roles benefit just as much. Those in higher-up positions set the foundations for the company’s views and values. The better they embody these outlooks, the more trustworthy the business seems.

All management should enroll in various bias training. These should express the many forms of discrimination that can be unconsciously communicated. Furthermore, training should address all forms of discrimination. This could include age, gender, ethnicity, religion, and more.

Ageism is still is a problematic issue in the workplace

Ageism is still a big issue in the workplace. The effects of age discrimination have recruiting, financial, and legal repercussions for businesses. To counter this, companies must aim to attract all generations of job seekers.

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