It is easy to make mistakes when processing payroll. In fact, many businesses do it every week. But some mistakes can be costly – literally costing businesses money. Here are the seven deadly sins of payroll processing…
Failing to offer health insurance
Offering health insurance is one of the most important things a company can do to keep its employees healthy and productive. According to a study by the Commonwealth Fund, companies that offered health insurance had lower rates of employee absenteeism and turnover. In addition, those companies saw their healthcare costs go down.
There are many different types of health insurance plans available, so it’s important to find one that fits your company’s needs. You may want to consider offering multiple plans so that employees can choose the one that best suits their needs.
Health insurance is a vital part of any company’s benefits package. Make sure you are offering your employees the best possible coverage
Not paying overtime wages
In many industries, it’s understandable that some employees may have worked more than their regular hours due to the nature of the work they do and the deadlines at hand. However, if you fail to compensate them for these extra hours or provide proper overtime rates as required by law, then this can be a deadly mistake on your part.
It is important not only because you are breaking labor laws but also because it reflects poorly on your company culture and overall management standards—employees might feel disheartened that such practices go unnoticed even in one of the most critical aspects of business: payroll management. Your workers deserve fair compensation regardless of how long they stay with you; otherwise, there will always be dire consequences down the line when projects run late or they leave for greener pastures.
Make sure to always stay on top of your payroll management duties, and be mindful of the consequences that can come from not following through with overtime payments. It may take a bit more effort in the short term, but it will be worth it in the long run!
If you’re looking for help managing your company’s payroll, get in touch with us today.
Treating employees as replaceable assets rather than valuable contributors
Most businesses these days are looking to save money any way they can. One of the most common ways this is done is by treating employees as replaceable assets instead of valuable contributors. This can be a costly mistake, however, as it can lead to decreased morale and productivity, and increased staff turnover.
There are a number of things businesses can do to treat their employees more like valued contributors rather than disposable assets. One important step is to ensure that employees feel appreciated for their work. This can be done through regular recognition and appreciation programs, or simply by thanking employees for their contributions.
Another key step is to provide employees with opportunities for growth and development. who feel like they are stagnating in their current position are much more likely to look for a new job.
Another important step is to ensure that employees have the necessary resources and work environment to complete their tasks. If employees are not able to perform up to the level expected of them, it is likely that they will be dissatisfied with their work.
Focusing on short-term gains over long-term success
Focusing on short-term gains over long-term success and forgetting your employees’ needs to make them happy.
Finding the right balance between long-term and short-term success can be difficult, but it is important to make sure you don’t neglect your employees in order to focus on the bottom line. A recent study found that businesses that prioritize employee happiness see a 34% increase in productivity. So how do you find this balance?
The first step is to remember that your employees are the lifeblood of your company. Without them, you cannot achieve long-term success. You need to create an environment where they feel appreciated and have a voice. This means offering training and development opportunities, as well as regular feedback.
It is also important to ensure that your employees have what they need to do their jobs effectively. This includes adequate compensation and benefits, as well as a safe working environment.
Finally, ensure that your employees feel valued by paying attention to their feedback. This includes soliciting ideas from them on how the company can improve its processes. In addition, consider implementing any recommendations they have made if possible. For example, one hotel chain implemented an improvement suggested by its housekeepers which resulted in a 14% decrease in missed workdays for these workers due to illness!
Conclusion
These are just a few of the many ways in which employers hurt their organizations with poor management. It is shocking to think that so much human capital could be wasted, but it happens every day. And when you have employees who are not valued for their contributions and treated as replaceable assets rather than valuable contributors, your organization will suffer tremendously over time. What can you do if this is happening at your company? You need professional help from an expert HR team or consultant to stop these damaging practices before they take hold! Let us know how we can help you make sure your business stays competitive by following best practices in hiring, training, motivating, and retaining talent.
