Reading time 5 Mins
Published on Jan 30
“This is how we’ve always done it.” You’ve probably heard that in response to an inquiry about why your company does things the way they do. Hanging on to outdated business practices just because that’s the way you’ve always done them is not only silly, it can also waste time and impact the reputation of your business. This is especially true of HR practices. As part of the outward facing side of your business, your human resources department should be on the cutting edge of trends in hiring and management, not using antiquated practices. Here are four HR practices that your company should stop using today.
Nix salary history requirements
Stop asking for salary history. Not only does this practice make it seem like you may be looking for the candidate you can pay the least, but it may also violate the law. Many states and cities have begun banning the collection of salary history as part of job applications because the practice perpetuates the wage gap between men and women, but also negatively impacts the wage prospects of minorities.
Instead of using salary history as a basis for determining whether an applicant is up to par with your position, salary offerings should be based on experience, education, and the person’s ability to do the job. As an HR professional, you should be able to determine the value of the work that your candidate will provide. Don’t rely on what someone else paid your candidate to dictate what you should.
Taking too long to hire
Submit application. Finally get an email or phone call about an interview. Go to the interview. Wait for call or email. Wait for call or email. Wait… There are few things more frustrating for job applicants than waiting for the determination of an employer after the interview. When you’ve allocated time and resources for interviews and an applicant has taken the time to come in to speak with you about a position, the least that your HR department should be expected to do is get back with them in a timely manner about their hiring decision.
You should begin your interview process as soon as possible after your application period closes. Let candidates know at the end of the interview when you’ll be making a decision and stick to that timetable. Top talent won’t last long in a competitive job market. If you take weeks to make a hiring decision, you risk losing out on the best of your applicants. And disgruntled interviewees who never got a call back will tell their network – damaging your company’s valuable reputation.
Internal transfer woes
When your employees ask for a transfer to another department in your company, how do you handle their request? If you allow their existing department manager to approve or deny their request, you may be doing your company a serious disservice. When employees request a transfer because they feel their career goals aren’t being met or because they feel they’ve gone as far as they can in their current role, their department managers may feel threatened or take out their frustrations on the employee. The career goals of your employees may be restricted, leading you to lose them to competitors.
Internal transfer requests should be handled more discreetly. Invite the employee to have a conversation about their desire to transfer to another department and what their ultimate career goals are. Talk one-on-one with the employee’s current manager, their manager, and the manager of the department that the employee has requested to move to. Discuss the reason the employee has requested the move and consider the opinions of each person involved in the process – not the sole discretion of the current manager. This group decision-making style helps avoid individual resentments and helps the whole team understand how the move may impact the company as a whole.
Going it alone
Your mid-size business is growing, but the stresses of managing the human resources process is becoming more and more of a distraction. Small businesses that use HR outsourcing services grow 7 to 9 percent faster, have 10 to 14 percent lower employee turnover, and, most importantly, are 50 percent less likely to go out of business than those who do not utilize these services. Working with a PEO or HR Outsourcing service is an investment in your business’ future, ensuring that you are able to provide your employees with the benefits they deserve while providing valuable you with time-saving and liability-reducing services.
Helping you improve your HR practices
Sheakley’s PEO and HR Outsourcing Solutions deliver top-notch human resources services without the necessity of an HR manager on your team. The technology tools offered by Sheakley allow for easier management of your employees PTO, vacation, check stubs and W-2s. The training and on-going education opportunities Sheakley offers to your supervisory staff will ensure that the day-to-day management of your business remains compliant. The PEO and HR team can help you avoid common HR mistakes that could prove costly to your business.
Get your free consultation with a Sheakley HR representative today to evaluate your HR practices. Stay up-to-date on all things Sheakley by subscribing to our blog and following us on social media. Join in the discussion by commenting below.