Unemployment vs. Furlough: What’s the Better for My Business?

As the coronavirus pandemic continues, you’re likely hearing more reports of companies facing firings, furloughs, layoffs, and even complete closure. There are reports of these announcements being made a number of ways to employees, whether it’s over a video call, social media, email, or a quick phone call. It’s a time of uncertainty, with many wondering whether or not they will still be employed when this is all over.

From your current situation, maybe you’re weighing your options. You’re looking for the most win-win scenario possible and wondering which solution is right for you. Perhaps you keep coming back to the two options of unemployment vs. furlough, but you aren’t really sure of the difference or which is better for your business.

Explaining Layoffs

A layoff, or regular unemployment, is when you let go of employees too quickly reduce costs with the hope you can bring them back as soon as its feasible. It eliminates the financial burden for a company because then the employees who were let go are eligible to file for unemployment insurance, which will pay a percentage of their wages.

Explaining Furloughs

While an employee is officially let go from an organization with a layoff, they do not lose their job in a furlough. The ultimate goal is the same, to save a company money, but how it is achieved looks different. Staff is still retained, and they will be paid less than usual or not at all, depending on the severity of the situation.

Selecting the Best Option for Your Business

Now that you know the difference, it’s time to determine the right decision for your company. Unfortunately, there is no magic formula that gives you an answer at the end. You have to look at your current financial situation and determine how much longer you can keep going at full capacity and work back from that point.

As you begin to assess the state of things, you can see if you have the resources to keep your team on furlough and offer some salary if possible until the upswing occurs. This can help you save money while not potentially losing your people.

If it seems like you are going to hit rock bottom quickly, laying off your staff may be the hard but right course in this situation. By doing this, you remove the financial burden of their salaries and benefits but still give them the option to receive UI in the downtime. Unfortunately, since the job isn’t guaranteed and they have to be looking for work to qualify for unemployment benefits, you may not get them back when you begin hiring again.

Get the Support You Need with Unemployment Tracker

Right now, we are living in unprecedented times that are forcing you to make decisions you never thought you would have to do. If you’re in need of extra assistance with handling unemployment claims, contact Unemployment Tracker today. We can help you manage your claims and save you money with a solution that matches your budget.

7 Top Challenges HR is Facing This Year

Human resources face many challenges, and this year is no exception. Not only do they balance their current workload in managing an entire staff, but they also have to be aware of coming trends and adjustments that need to happen in the workplace. Here are seven of the top challenges HR will face in 2020.

1. Finding Talent

This one at the top is no surprise considering it’s been an ongoing trend. No longer is the market in favor of companies; now candidates have all the power. Finding the right talent is less about their need for a job and more about your role in convincing them to work for you. Considering this isn’t likely to change for a while, you have to keep refining your strategies to land and keep the talent you need.

2. Using Management to Help You Find and Retain Talent

You can’t design these plans for recruitment and retention alone, so it’s imperative to get our C-line staff on board with what you’re trying to do. Together you can create a plan for finding the talent you need.

3. Inclusion, Not Just Diversity

Essentially, inclusion is diversity with a plan. Hiring a diverse workforce is important, but if you don’t have a plan to make them feel included, they may leave quickly.

4. Transparency with Payroll

The demand isn’t to see everyone’s salaries, but your employees are interested in the gender pay gap and ethnicity pay gap, as well as CEO numbers. With more attention on these areas, it’s important for HR to have a plan for releasing them when requested. Even more, you could plan to make the numbers available without prompting.

5. Costs of Benefits

Across the board, things like medical insurance are going up, and HR needs to find a way to keep costs manageable for the company and employees alike. On top of that, they have to consider new benefits to attract new candidates.

6. HR Budget

HR needs a piece of the budget, but it can be challenging when the goals and ROI seem different than standard company requests. Continuing to work for this can boost programs and efforts across the board.

7. Individual Investment

Incentivizing a team is essential, but research shows employees respond better to personalized rewards that appeal to them instead of the whole. Because of this, HR needs to balance the needs of the many and find ways to invest with the individuals.

Remove One Challenge for HR and Partner with Unemployment Tracker

If your HR person is balancing all of these challenges (and more) while managing your UI claims, it might be time for outside help. Fortunately, Unemployment Tracker is a TPA equipped to meet your needs, whatever they are. Request a live demo to learn more about our services today!

Retaining Employees from Onboarding to Offboarding

One of your goals in your company is probably keeping employee turnover low. Not only is it costly in the moment because of the time and training necessary for a new hire, but you also know high turnover rates can mean increased unemployment insurance costs. You want to save money and have loyal, satisfied employees on your team. Try these four steps for retaining employees from onboarding to offboarding.

1. Create an Onboarding Team

Onboarding a new employee is not limited to the department where they will be working, so developing a strategy that isn’t cross-departmental is unwise. Pull together a team from across your organization, including IT and HR, to make the decisions. This way, when it’s time to develop a process, you have all the right people in the room.

2. Establish a Process

Now that you have your cross-departmental team, it’s time to decide what your onboarding process looks like. This can contain any number of steps, including IT needs such as keys, phones, and computers, to first-day orientation meetings with staff.

Developing the process now means you have the checklist to go through when a new hire accepts an offer. Instead of scrambling to make sure all the things you need are ready, you have the plan you need to not only keep yourself organized but give the employee an amazing first day.

3. Continue Engagement

The onboarding process is critical, but if you put all the effort into the beginning and never follow up again. Your employees’ first days should set the standard for the type of employer you are, meaning you stay involved and check-in to see how they are doing. This does not, however, mean you micromanage. The goal is to keep up with them and establish a relationship. Through building trust, your employees will be more loyal.

4. Don’t Neglect Offboarding

Even though offboarding means an employee is leaving doesn’t mean you don’t have the ability to promote retention with your other team members. How you handle someone leaving speaks volumes to your staff.

Begin with a proper goodbye, at least via email. Staff will hear rumors, and it’s better to get ahead of the gossip no matter the situation. Treat them kindly throughout their final days and follow a similar checklist to make sure all the right offboarding steps are taken, like changing access information, collecting equipment, and conducting an exit interview.

Get the Help You Need When Turnover Occurs

When an employee either leaves or is let go, they may file for unemployment benefits. Fortunately, Unemployment Tracker is here with a full range of solutions to help maximize your business and bottom. Request a live demo to see more today!

 

How to Prepare for Disciplinary Action or Termination

It doesn’t matter how long you’ve been in business – disciplining or firing an employee presents its challenges. You might get more comfortable with it in general, but it doesn’t eliminate the stress that can come with knowing you have to deliver bad news. Plus, there’s the added level of pressure on the situation related to potential lawsuits from the employee. Because of this, it’s important to go into that meeting prepared. Here’s what you need to do. Read more

“Progressive Discipline Policies and UI protests – they can make or break your success.”

Being an effective manager is one of the hardest jobs in the world because now you have to pay attention to individual performance and take action when necessary. However, there is a right way and a wrong way when launching disciplinary action against an individual. As a manager, one needs to be cognizant that proper procedures are in place when “writing someone up” so that it minimizes the risk of the employee coming back and protesting.

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“Why PEOs Work with Clients to Ensure That They Have the Right Practices and Policies in Place”

There is a lot going on within the inner workings of a company from managing its inventory to finances, operations and so much more. One of the major segments in managing a business is undoubtedly its employee relations. While a company usually has a robust human resources department, it can be a lot of work staying up on all of the latest employee trends and labor regulations.

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“Managing Unemployment Claims for Holiday Seasonal Workers”

The holiday season is almost here: Retailers and other holiday related industries will be ramping up and adding seasonal workers to supplement the extra workload.

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“Unemployment Do’s and Don’ts for Staffing Companies”

These days staffing needs are so prominent that there’s an entire industry built around it. As a professional in the staffing industry, it is your job to assist in placing qualified and skilled candidates into positions that benefit both the company and the employee.

The candidates you find are ready to work and willing to accept jobs offered to them, but recruiters must also realize that there are some that are collecting unemployment benefits that are not following Unemployment Insurance (UI) requirements. Not being aware of this can hurt your staffing agency’s bottom line, so it’s important to understand the do’s and don’ts for your staffing company regarding unemployment. These staffing company tips for unemployment can help you reduce your costs and possibly lead to increased revenues for everyone. Read more

“3 Key Items in Your Absenteeism Policy Help You Win Unemployment Insurance Protest Cases”

As an employer, your attendance policy protects you against absenteeism issues. A clearly written policy helps employees understand what is expected of them, whether they are running late, catch a cold or simply want to take a vacation.

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“Hiring practices that reduce turnover”

It is important to control employee turnover in your business. High turnover rates can lead to increased training costs, inconsistent productivity, and poor morale. Because turnover usually increases Unemployment Insurance costs due to an increased number of claims from past employees, it also leads to reduced or limited profit overall. Are you wondering how to reduce employee turnover in your business? There are many things you can do, but most of all, you want to ensure that you are hiring the right people. There are a few ways to implement hiring practices that reduce employee turnover.

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