It’s no secret that small business owners have to wear a lot of “hats” in their firms. They have to be managers, mentors, analysts and more. They are also actively involved in the recruitment process and with Human Resources. The thing about HR is that it can cause a lot of headaches for a lot of people!

Human Resources is a department that controls a lot of processes within a business. When a company is running well, it’s all too easy for small business owners to ignore the HR side of things. As a result, the things they didn’t take care of can come back to haunt them!


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In today’s blog post, I want to share with you five of the biggest HR headaches you need to avoid in your business. They are as follows:


1. Not putting much thought into the hiring process

Recruitment is, without a doubt, one of the biggest functions of any HR department. All growing businesses need the right people to work for them. Otherwise, companies end up wasting time and money. Plus, their reputation could become threatened.

The hiring process is something you need to ensure is well thought-out. From locating talent to interviewing people, there is plenty to consider.


2. Not keeping employee details organized

So you’ve got a few people working for you. If you needed to locate tax information for them, how easy could you do that? If you “need some time” then it’s likely your HR department isn’t that organized!

Growing businesses use human resources management software for a reason. They do so because it offers a central repository of employee information. From personal details to salary information, and, of course, tax details. HR officers and managers can get the answers they need in seconds. Not hours – or even days!


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3. Not keeping the employee handbook updated

It’s all well and good having a glossy employee handbook you give to new starters. But, it’s useless if no-one bothers to keep it updated! It’s likely that you’ll need to update your employee handbook at least once a year.

Make sure all employees have access to the latest revisions. Even better, create a digital version on your Intranet (your internal website).


4. Not providing staff the training that you promised

When you run a busy company, training can sometimes fall by the wayside. As a result, your staff will get frustrated because they can’t build their skills set. Plus, it means they can’t perform their job as efficiently as they should.

Be sure to have a training policy in place and review people’s skills on a regular basis. That way, you won’t suffer from drops in productivity due to a skills shortage. Especially when your firm embraces new technology!


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5. Staff complaints and grievances aren’t handled properly

One of the biggest threats to a business is getting sued by their own employees! The sad truth is that discrimination is still an issue in the modern workplace. Companies that fail to tackle such issues can open themselves up to all kinds of HR and legal nightmares.