It is not uncommon to hear employer of record services equated with staffing services. Although the two are mutually beneficial, an employer of record is a separate entity from a staffing agency, each with distinct functions and responsibilities. Roles A collaborative relationship exists between an employer of record and its client, which can be a business or a staffing agency. While an employee works for the client, the employer of record assumes the role of the legal employer for tax purposes. The employer of record handles all administrative functions, such as payroll processing, federal & state tax withholding and filing, record-keeping, and all HR support functions. The EOR also conducts pre-employment screening such as background checks and drug testing, in addition to human resources functions such as administering benefits, termination of employees, and all other worker issues. On the other hand, a staffing agency recruits… [Read More]
Why Compliance Matters in 2017
With a new era of quickly changing regulations and market trends, compliance is now the top challenge and focus for employers in 2017. The year began with a change in administration, bringing along an overhaul of employment law. In addition, the increase in utilization of contingent labor has continued. Contingent and contract workers, freelancers and independent contractors are flooding the labor market in more numbers than ever before, a trend known as the “gig economy.” With this trend, the risks of non-compliance grow. The federal government is now eager to enact more stringent policies to ensure compliance with tax and regulatory standards. In particular, the United States Department of Labor is more focused on misclassification of workers and has heightened reactions to these cases. Businesses today cannot afford to overlook the importance of maintaining compliance in managing their contingent workforce. It is easy for an… [Read More]
3 Steps to Reaching Your Career Resolutions in 2017
The start of a new year is an ideal time to begin pursuing those career resolutions you made in 2016. Whether you’re revitalizing a job search or ready for a career change, there are proactive steps you can take to help you reach your goals this year. Revamp/update your resume. Your first order of business should be giving your resume a face-lift. With constantly changing hiring trends, you must take the time to make sure yours stands out. In today’s resume world, less is often more. Include links to your portfolio, blog or website which would make an employer sit up and take notice. Build Your Professional Network. You are your brand. Make your presence known in the industry you seek and maintain the connections you have already made. Online, professional portfolios such as LinkedIn help showcase who you are and what you can do…. [Read More]
How to Recruit The Right Talent and Avoid Hiring Catastrophes
Recruiting the right talent is essential to the success of a business, while bad hiring decisions are exceedingly expensive in terms of both time and money. Additionally, high employee turnover lowers morale and creates discouragement within a company. These hiring disasters could have been avoided and the lost resources could have been invested in the right candidate. To that end, companies like Google have adopted the “law of three” for interviewing candidates. This recruiting technique and ones like it are designed to avoid costly hiring mistakes. The “law of three” encompasses the following rules: (1) Always interview a minimum of three candidates. Managers are tempted to end their search early when a suitable candidate is found. Discipline yourself to continue interviewing. The more people you interview, the greater the pool you can select from and the greater your chances of finding the right person. (2)… [Read More]
Generations in the Workplace
A new multi-generational workforce poses both challenges and opportunities for today’s employer. An increase in average retirement age and life expectancy have created an unprecedented five generations coexisting in the modern workforce, also known as the “5G Workforce.” Each generation brings to the workplace a different set of character traits, behavioral patterns and value systems. These differing perceptions and values are a potential source of conflict, frustration and misunderstanding. Unresolved conflict among employees decreases productivity, morale and motivation. Employers must understand generational differences and use this understanding to manage generational diversity. Once properly managed, an employer can capitalize on the unique strengths of this diverse workforce. Successful management of the 5G workforce begins with an understanding of not only the differences among generations, but the environment that shaped those differences. The five generations of the modern workforce include: • Traditionalists: Employees born 1945 and before… [Read More]
The Rise of the Gig Economy
With the rise of what is now known as the “gig economy,” the job market is changing. The gig economy is an environment in which short-term, temporary work is preferred to traditional employment. This contingent workforce is utilized for single projects or tasks, employee absences, or field expertise. These workers are highly skilled, knowledgeable in their field, and ready to perform in a demanding environment. The benefits of this type of labor have been recognized by both employers and workers alike. The Gig Economy Offers Flexibility For the worker, the gig economy offers flexibility and diversity not found in the traditional job market. Many short-term engagements, such as consulting “gigs,” do not have a firm work schedule. Workers have newfound flexibility in completing these projects or tasks. This type of work also introduces the ability to diversify. A worker is no longer chained to one… [Read More]
Employer of Record Services
What is Employer of Record services? Assuming the role of Employer of Record gives rise to a complex set of rights and responsibilities. To protect the rights of employees, labor laws and regulations impose numerous duties on an employer. These same rules also impose costly penalties for employers who breach these obligations. For this reason, the role of Employer of Record carries an inherent risk of liability. To mitigate this risk and maintain positive employee relations, an employer must have a clear understanding of the legal obligations involved. According to Intuit 2020 report, 20-25% of the workforce is currently involved in some aspect of contingent work or alternative work arrangements. A number that is expected to rise to 40% by 2030. With the rise in the number of contingent workers, there’s a demand for services that help companies establish well-run programs that can utilize this… [Read More]
5 Simple Steps to Writing an Effective Job Description
A job description is an essential tool to attract quality talent. By carefully tailoring the fundamental elements of a job description, you can effectively target the candidate pool you are seeking. Job Title In creating a job description, your first step is to give the position a job title. Although a job title may only be a few words, it plays a crucial role in the purpose of a job description. The job title is the gateway to the talent pool you seek. An effective job title should: reflect the nature and duties of the job indicate skill level in relation to other jobs within the company be consistent with industry standards and other similar jobs so that it can be accessed by online job seekers An example of a good job title is “Senior Nurse Recruiter.” A candidate understands that this is a position… [Read More]
The importance of reference checks when hiring?
Do you know the importance of reference checks? Current statistics indicate that about 20% of employers do not check references for incoming employees. Of the 80% who do, the vast majority indicate that they have changed their mind on a potential employee from talking to their references? And an incredible 30% have caught fake references during this process. If you’re among the 20% of employers who don’t do references you may want to change your mind. 6 Ways to Get the Most Out of Your Reference Checks Ask the candidate for their help. It is in the candidate’s best interest to provide valid reference information during the interview process. Talk to them about their list. Ask how recently they’ve spoken to these individuals. Ask them if they have permission to contact them. If not, as the candidate to call them first and let them know… [Read More]
How to identifying your companies successor?
We work with a lot of start-ups here at NexusCW and one advice we would like to give is that when you’re planning the future of your company you need to ensure that you have the right leadership in place and a plan for succession. It is a rare company where top management doesn’t eventually need to retire or move on. Do you have something in place to prepare for this? How do you identify the top performers who will become great long-term leaders in your company? Is it possible to hire them at the ground level? 4 Ideas for Ensuring Long-Term Organizational Success Evaluate the current performance. The first step is to see who is performing at what level. Does anyone routinely go above and beyond the expectations of their job? Is anyone particularly good at training others even if training isn’t their job’s… [Read More]