RKL’s Workforce Strategies team is here to help you navigate the complexities of today's HR environment with the updates, reminders and insights you need to maximize your most important asset — your people. We value your feedback, so let us know what you think of this newsletter!
Here are the trends and hot topics we’re tracking this month.
Can AI help improve your decision making?
The average person makes 35,000 decisions daily — a staggering number for anyone in any profession. HR leaders require a strategic approach, whether it's identifying a competitive benefits package, making critical hiring decisions, or selecting the right retention strategies. Employing an AI-powered HRIS solution can bolster your recommendations and decisions with data, making it easier to deliver the transparency and credibility expected in today’s complex workforce environment.
Last month, we asked if your organization eliminated degree requirements for open positions. 57% responded that you haven't, while 43% responded that you have.
Traditionally, education has been viewed as a strong success indicator of potential job candidates. The U.S. Bureau of Labor Statistics reports a positive relationship between increasing educational attainment, increasing pay and decreasing unemployment rates. Higher education is credited for supplying future job candidates with soft skills such as communication, problem-solving and time management.
From our experience as employers, we know that educational qualifications may not always seamlessly translate into real-world capabilities, and a candidate's previous job experience may speak greater volumes about their suitability for a position. To avoid biases and widen your talent pool during recruitment, employers should consider whether the role requires a degree upon starting or as needed for growth opportunities.
...salary does not mean exempt from overtime?
Contrary to common belief, whether an employee receives a salary instead of hourly pay does not automatically exempt them from overtime compensation. The determination hinges on the individual's earnings, level of responsibility, autonomy in managing their work and the discretionary decisions involved in their role. The overtime duties test serves as a safeguard against employers who meet the minimum pay threshold only to demand unreasonable workloads.
...how to develop effective short-term incentive plans?
Crafting impactful short-term incentive plans presents an ongoing challenge, particularly amidst the current economic landscape of persistent inflation, fluctuating interest rates, and geopolitical uncertainties. WorldatWork suggests incorporating both financial and non-financial performance metrics, typically including two of each. This approach aligns executive incentives with success in volatile environments. Additionally, it's crucial to establish appropriate thresholds and maximum levels for financial and non-financial metrics.
New Independent Contractor Rule
This new rule reverses the 2021 two-factor test and reinstates the "totality-of-the-circumstances analysis" using the six-factor test. Here are two tips to protect your business:
Review your independent contractor agreements. Identify if they can be strengthened. SHRM recommends that independent contractor agreements include class action waivers.
Take stock of current independent contractor classifications across your organization. Evaluate the nature of the relationship to determine if potential compliance risk exists.
I have been working in the payroll industry for 11 years. My focus areas include payroll auditing, customer support, payroll compliance, resolving discrepancies, new hires, employee maintenance, payroll implementation, payroll tax compliance, payments and reporting. Each day is different in payroll! I also have three years of experience in accounts payable and three years of experience as a staff accountant.
What do you enjoy most about your job?
I am so happy to be a part of the RKL Virtual Management team! I learn things from our team as each team member brings their knowledge and talent of their skills. The leaders are pretty amazing, too; they are upbeat and motivating. I enjoy working with the team and being appreciated.
What would people be surprised to know about you?
I used to ride dirt bikes with my sons. We would all go riding as a family and enjoy the time together. Unfortunately, I do not ride anymore due to back surgery.
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