Welcome!

The Art of Hiring Smart

PRESENTING:

AGENDA/TOPICS TO BE COVERED

THE GOOD

◦ Overview of

Having

Employees

◦ Hiring

◦ Retaining

◦ Training

THE BAD

◦ Discipline

◦ Violence

◦ Harassment

◦ Conflict

◦ Termination

THE UGLY

◦ Compliance

◦ Lawsuits

◦ Penalties for

Non-

compliance

THE GOOD

Why have employees

Why build a company with loyal employees

What would happen if you didn’t have employees

Hiring Smart

Retaining the “Stars”

Training for excellence

HIRING - What is

The New Art of Hiring Smart System?

1. Identify Hiring Needs and/or Problems

2. Quantify the Cost of Turnover

3. Understand What You Are Recruiting for

4. Use Innovative Prospecting

5. Prepare and Conduct a Winning Interview

6. Do Background Checks

7. Assess Applicants for Job Match

PREPARE FOR AND CONDUCT

A WINNING INTERVIEW

A. Review the Job Description

B. Review other Job Requirements

C. Develop Lead Questions

D. Build a File

1. Resume 3. Lead Questions

2. Application 4. Release Documents

DO BACKGROUND CHECKS

A. Reference Checks

B. Education Credentials

C. Credit Report

D. Criminal History

E. Past Employers

F. Driving Record Report

G. Social Security Verification

UTILIZE ALL OF YOUR

RESOURCES!

75%

66%

54%

38%

26%

14%

0% 10% 20% 30% 40% 50% 60% 70%

Job Matching

Interests Testing

Abilities Testing

Personality Testing

Reference Checking

Interview

INDEPENDENT CONTRACTORS

Independent Contractors are not covered under

Workers Comp.

Understand who is an employee and who is an

independent contractor to avoid liability under a

variety of laws:

IRS (Federal income tax withholding and SS)

State Unemployment compensation laws

State WC Laws

Federal and State wage and hour laws

Federal and State discrimination laws

INDEPENDENT -- CONTINUED

Improper categorizing of a worker can be

quite serious.

There are specific guidelines that help

employers define who or what is an

independent contractor.

In general, the main difference is the

amount of control the employer can

exercise over the details of the work.

HIRING SUMMARY…

Turnover is a major expense.

Traditional hiring methods are not

effective.

Government regulations are

demanding change.

Competition is forcing a closer

examination of those we employ.

People must match their jobs and

fit the company culture.

People are our number one

resource.

Timothy Butler & James Waldroop

“Job Sculpting” Harvard Business Review

September-October 1999

“In these days of Talent Wars, the best way to keep

your stars is to know them better than they know

themselves -and then use that information to

customize the

career of their dreams”

RETAINING – Keep your “Stars”

TRAINING

There are basically three places to “fix”

people problems:

◦ Selection Process

◦ Coaching & Training

Changing Behavior

◦ Replacing the Employee

TOOLS OF THE JOB

If you don’t care enough to train your employees,

they might not care enough to provide you with their

best efforts.

Share with your employees your goals and they will

respond better.

THE BAD

Employers don’t want to deal with difficult issues,

such as:

Discipline

Violence in the workplace

Harassment

Conflict

But, “the bad” comes with the

good and must be dealt with

swiftly and firmly in a consistent

manner.

DISCIPLINE

Employers need a consistent and understandable

means to communicate important information.

Policies – are broad guidelines developed to guide the

organization decisions

Procedures – provide further explanation and more

details on how the policy is to be applied

Work Rule – states what employees may or may not

do to follow the policies of the organization

DISCIPLINARY PROCEDURES

There are times when disagreements happen and

when the employer must take some form of

disciplinary action.

While organizations work at preventing the need

for disciplinary action, if needed, the employer

should follow their established policies and

procedures very carefully.

Providing proper feedback insures that the

employee is not surprised.

PERFORMANCE REVIEWS

Reviews offer the best method for consistently

providing feedback to the employee.

The frequency and timing of reviews can be

whatever the employer decides – it just needs to

happen consistently.

VIOLENCE

Workplace violence occurs when an employee

with poor behavior control becomes highly

stressed.

Stress may or may not be work related but is

usually set off by an incident at work.

Employers need to be aware of employees

exhibiting signs of possible violent behavior and

take steps to prevent its occurrence.

HARASSMENT

There are two forms of sexual harassment:

Quid pro quo is a legal term which means “this for

that”. Quid pro quo harassment, therefore occurs

when an individual asks for sexual favors in return

for a favorable employment action.

Hostile work environment is defined as one in which

an individual or individuals are subjected to

unwelcome verbal or physical conduct “when

submission to or rejection of this conduct explicitly or

implicitly affects an individual’s employment or work

performance.”

CONFLICT AND RESOLUTION

Conflict can happen whenever people work

together.

It can affect relationships between individuals or

groups and covers a wide range of intensity

levels.

Resolution is a process of developing strategies

for resolving issues and maintaining or

rebuilding effective working relationships.

DEFINING CONFLICT

Conflict in the workplace is a fact of life.

85% of employee’s terminate due to

conflict with their boss.

Managers spend about 1 month a year

dealing with personality conflicts.

People have different goals and needs and

believe they are “right”.

It is impossible to avoid conflict but it is

productive to handle conflict.

PREVENTING CONFLICT

“If you can’t go around it, over

it, or through it, you had

better negotiate with it.”

-- Ashleigh Brilliant

PEOPLE DON’T LEAVE COMPANIES.

THEY LEAVE PEOPLE.

THE EVIDENCE IS EVERYWHERE

Poor productivity

Low levels of engagement

Poor morale

Turnover

Are largely attributed to conflicts in the

supervisor/employee relationship.

THE EVIDENCE IS EVERYWHERE

Research indicates that 85% of employees

terminate due to conflicts in the boss/employee

relationship.

Executives were found to spend a minimum of

one month per year dealing with personality

conflicts.

Source: Robert Half International

THE EVIDENCE IS EVERYWHERE

50% of an employee’s work satisfaction depends

on the relationship the employee has with his/her

supervisor

Source: The Saratoga Institute

The length of an employee’s stay on the job is

largely determined by his/her relationship with

their manager.

Source: The Gallup Organization

NO ONE BLINKS

A typical American holds more than eight

different jobs between 18 and 32 alone.

85% of American workers expect to be employed

by a new company within 12 months.

Ten years ago, recruiters and employers would

have balked at a candidate with three jobs in the

last five years.

Source: Forbes magazine, April 2007

COST OF TERMINATION

Termination is expensive.

It is estimated that turnover and termination can

cost an organization 3 times the annual salary of

the individual being replaced.

THE UGLY

Compliance Issues

Laws and Regulations

Lawsuits

COMPLIANCE ISSUES – WHAT TO DO

Know the laws of the land and their importance

in running your business.

Develop policies & procedures to minimize the

opportunity for litigation.

Be fair with your employees.

Document, document, document

OVERVIEW – SHRM LIST OF POSSIBLE

NEW BILLS

Fair Pay Act of 2009

Title VII Fairness Act

Labor Relations First Contract

Negotiation Act of 2009

Public Safety Employer/Employee

Cooperation Act

Worker Protection Against

Combustible Dust Explosions

Family-Friendly Workplace Act

(comp time)

Employee Free Choice Act of 2009

Secret Ballot Protection Act

WARN Modifications

Healthy Americans Act

Healthy Workforce Act

Emergency Retiree Health Benefits

Protection Act

Executive Compensation

Additional Tax on Bonuses from TARP

Family Fairness Act

FMLA Changes (25 employees)

Society for Human Resource Management HR Congressional Monitor of various Bills

WHERE HAVE WE BEEN?By 1900 By 1940 By 1980 By 2000

Case Law

Common Law

NLRA

FLSA

FICA

RLA

IRC

Davis-Bacon

Local Law

State Law

Case Law

Common Law

ADEA

OSHA

ERISA

VEVRAA

MOSCA

COBRA

PDA

FMSHA

FUTA

CCPA

ERA

JSIA

TSCA

NLRA

FLSA

FICA

RLA

FWPCA

CWHSSA

SWDA

CERCLA

EPA

SOWA

LMRA

CAA

ADA (AGE)

LMRDA

CRA

REHAB ACT

IRC

Davis-Bacon

Local Law

State Law

Case Law

Common Law

IRCA

TMRA

FMLA

DFWA

WARN

MSPA

CRA

ADEA

OSHA

ERISA

VEVRAA

MSPA

PDA

FMSHA

FUTA

CCPA

LMRDA

ERA

MDSCA

COBRA

TEFRA

TSCA

NLRM

FLSA

FICA

RLA

REHAB ACT

IRC

PCA

VAWA

USERRA

ADA

EPPA

TEFRA

JSIA

FWPCA

CWHSSA

SWDA

CERCLA

SDWA

LMRA

CAA

ADA (AGE)

EPA

MHPA

FCRA

HIPAA

Miller Act

NMHPA

ECPA

OWBPA

CCRA

HMOA

PRWORA

INRA

IMMACT

Davis-Bacon

Local Law

State Law

Case Law

Common Law

IMPORTANT LAWS TO KNOW ABOUT

Title VII of the Civil Rights Act (Title VII)

Age Discrimination in Employment Act (ADEA)

Americans with Disabilities Act (ADA)

Immigration Reform and Control Act (IRCA)

Fair Labor Standards Act (FLSA)

Equal Pay Act (EPA)

Occupational Safety and Health Act (OSHA)

LAWS - CONTINUED

Family and Medical Leave Act (FMLA)

Consolidated Omnibus Budget Reconciliation Act

of 1985 (COBRA)

Health Insurance Portability and Accountability

Act 1997 (HIPAA)

Drug Free Workplace Act

Patient Protection and Affordable Care Act

(PPACA)

LAWSUITS

Employment lawsuits are among the most common

lawsuits in which companies will find themselves

involved. It's a factor of business itself and one that

must be reckoned with.

The costs to employers for lawsuits can be substantial

and can include:

◦ Penalties

◦ Back pay

◦ Attorney costs

◦ Time

◦ Lost productivity

◦ Bad press

PENALTIES

Non-compliance with Healthcare Reform laws

Responsibilities of employers

COBRA

FMLA

SUMMARY

So, the question is, “Where do we go from here?”

Good Employees – Bad Employees

Good Benefits – Bad Benefits

Understand the Good, The Bad, and The Ugly.

Lola Kakes

Founder, EffortlessHR, Inc.

Author, “If You Don’t Own a Circus … You

Shouldn’t Be Hiring Clowns!”

www.effortlesshr.com

520.546.3947