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Posts from the ‘Morale’ Category

The Influence of Payroll Errors on Retention

No one wants to be paid less than they deserve, but just how impactful are payroll errors to employee morale and retention?  A recent study done by the Workforce Institute at Kronos on American workers reveals how just one payroll error can change an employees perception of their workplace.

According to the research, “nearly half of American workers (49 percent) will seek new employment after just two payroll mistakes, such as being paid late or incorrectly.”  A staggering 24% will look for new employment after the first offense and another 25% said they will do this after the second mistake.  This demonstrates just how seriously employees take their paycheck.  It doesn’t matter if you are struggling to make ends meet or saving money for retirement, your paycheck is a reward for your hard work.

Another interesting fact divulged by the study is “Baby Boomers are most forgiving of payroll errors.”  We know there are differences among the generations when it comes to compensation, see Compensation Among the Generations, but there is also a variation in tolerance for a blunder of their pay.  “Nearly half (44 percent) of American employees aged 55 and older say they would stay at their job as long as they are eventually paid correctly. That’s in stark contrast to their colleagues aged 18-29 (13 percent,) 30-39 (17 percent,) and 40-54 (27 percent,) who are much less willing to stay even if they’re eventually paid correctly.”

As states and localities continue to refine their recruitment and retention strategies, these are important facts to consider.  It might not be how much you get paid, but rather how accurately you get paid.  For more stats, read Payroll Problems May Undermine Employee Experience, Finds Workforce Institute at Kronos Survey.

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In Search of the Perfect Paycheck

The same scenario plays out every week.  Employees do their job and employers pay them for that job.  Sounds simple, right?  Well, sometimes processes break-down and that paycheck is impacted.  Have you ever had a paycheck that was inaccurate, late, or worse didn’t come at all?  Suddenly, the employee and employer have an issue at hand that has more than just monetary implications.

According to a new survey from The Workforce Institute at Kronos Incorporated an estimated 82 million1 Americans – more than half of the U.S. workforce – have experienced a problem with their paycheck during their career.  The results of the survey go on to say that more than a quarter (26 percent) of hourly workers have been paid too little, while 15 percent say they’ve been paid late. For the salaried worker, 15 percent say they’ve been shortchanged in their check and 16 percent report being paid late.

On the flip side of things, there’s also the issue of paying employees too much.  Calculations errors aren’t uncommon when time & attendance is tracked on paper.  The survey found, on average, American workers say they must likely be overpaid a staggering $463 before alerting their employer to the mistake.

Public sector employers have an additional risk to adverse side effects from an incorrect paycheck.  Regardless of underpayment or overpayment, the threat of the media putting a spotlight on perceived wasteful spending is real.  It signifies a weakness that the organization isn’t in complete control over their payroll processes.

The truth is, Payroll employees are often over-burdened by illegible hand-writing, late or incomplete time sheets, and the sheer volume of paper that comes in.  With this environment comes the potential for errors. Looking for areas of efficiency can lead to better accuracy and even cost savings.

Footnote 1: Calculation based on the U.S. Bureau of Labor Statistics report from January 2017 that estimates there are 152.08 million employed people in the U.S.: 152.08M x 54% = 82.12 million.

Workplace Culture: Embrace Your Family

Regardless of what industry you are in, employees want to work for an organization that truly cares about them.  I’m fortunate to work in that kind of environment.  Check out this YouTube Video for a sneak peek into my world.

Your Employees are about to #StartTheConvo: Are you ready?

Today’s guest blogger, Morgan Gregory, Public Sector Field Marketing Manager at Kronos, focuses on employees and their treatment in the workplace. 

As I was scrolling through my twitter feed, I noticed that some social media manager was definitely doing their job today because it was impossible to miss what’s happening in Washington this week.

The US Department of Labor has started a social media campaign to encourage employees to engage in conversation with each other about how they are treated in the workplace in preparation for the White House Summit on Worker Voice this Wednesday, October 7.

Twitter has been flooded with stories of workers who chose to start the “convo” in their workplace, resulting in wins for their workforce. While higher pay and paid leave are great wins for the employee, the implications of these initiatives on the employers have been absent from the conversation.

Even though federal government is focusing on the employee conversation, the changes that they’re encouraging will have a huge impact on the employer, and it’s important for you, as an employer, to know what to keep an eye on as their employees #StartTheConvo.

Below are some questions to consider as you follow #WorkerVoice

  • What rights do my employees currently have?
  • What am I doing to keep record of their sick time?
  • Am I in compliance with current labor laws?
  • What changes in tracking would have to be made if these become national requirements?
  • What is the cost of absence?
  • Do my employees feel safe at work?

From a state as covered in collective bargaining agreements as California to the union-limited state of Wisconsin, when these issues come from a national level, it will almost always require some change to come of the employer, whether that be what they’re offering or how they’re keeping record.

Most importantly, as an employer, it will be most important to be a part of the conversation. By managing proactively, you will you create a more collaborative, inviting, and fair work environment.

You can follow along with the summit starting at 10:30 am ET.

Are safety and morale linked to better workforce management processes?

Last week I had the fortune of being in Tampa for the American Corrections Association 2014 Winter Conference. Yes, I’ll admit, I’m from New England so Tampa in February is not a hardship. Still, regardless of the location, it’s a great conference. We (Kronos) participated in a workshop session on workforce management in this particular industry. What struck me the most was how often safety and morale are impacted when labor tracking and schedules are mismanaged. Sometimes it goes unnoticed until an issue arises, or sometimes it’s in plain view, but no one wants to address it. This can be a ticking time bomb and one that several other correctional facilities have faced. Here are some of the stories heard at the workshop…
Several years ago, the Douglas County Dept of Corrections had an interesting way of issuing overtime. Each week a sheet was tacked on the wall giving the employees an opportunity to request overtime shifts. Sounds simple, right? Wrong. What about the employees who weren’t around when the sheet went up? What happens when the sheet disappears (this was often the case)? How does the Sergeant in charge of schedules really know who is most senior (seniority is how they issued overtime)? Will all posts be covered? This is where issues of morale and safety come in. Now, fast-forward to today and they have a much simpler and effective approach. Employees log-in to a system, find out what overtime is available, and request what they want. They can even do it from home. And the system automatically schedules based on seniority. Employees are happier and posts get filled with the right level of staff.
The Omaha Correctional Center – OCC (part of the Nebraska Dept of Correctional Services – NDCS) is a medium/minimum security facility with over 100 employees. As with many facilities, not all posts are created equal. Some require specific certifications. For example, prisoner transport officers require additional skills that not all Correctional Officers have. A few years back, the supervisors had little visibility into who was certified for what. This created all kinds of issues and they were uncertain, particularly when they had a call-out or no-show, if everyone was qualified for their posts. Since then, things have improved. The supervisors have a system that tracks all certifications and can quickly identify only those who have the right qualifications to cover a shift. It’s as simple as clicking a button and for added comfort alarms are set in place to avoid mistakes.
Safety will always remain as a #1 priority in correctional facilities. Employees who are treated fairly will have a lot more respect for this priority and initiative. So, will more facilities begin to realize now rather than later the correlation between good human capital management and supporting goals like safety and morale? Only time will tell.