For the New Year, Some New HR Approaches

The start of a new year provides a natural opportunity for businesses to implement changes to their human resources policies and procedures designed to reduces exposure to legal claims and make the business more competitive in this challenging economy. Changes introduced at the beginning of a new year seem less abrupt to employees and are therefore less disruptive to employee morale. Here are some changes to consider:

1. If you don't have an employee handbook, have one prepared and ready to distribute at the beginning of the New Year.
2. If the exempt status of some employees from overtime seems questionable, the first of the year is a good time to reclassify them as non-exempt.
3. Instead of granting automatic pay raises at the first of the year or on an employee's anniversary date, consider implementing a pay-for-performance plan.
4. Examine your method of evaluating employees.
5. You can save money by revising your vacation policy.
6. You can eliminate some paid holidays.
7. Take a look at your employee health plan.
   

This article appeared in the November 22, 2010 issue of Orange County Business Journal.