Horizon Point Consulting

Category: Human Resources

We know HR. Read our Human Resources blog archives for stories and best practices from our work with real clients and personal experiences in the world of HR.

  • 3 Reasons to Give and Take Extended Leave

    3 Reasons to Give and Take Extended Leave

    Today I’ve been back at work for one week. Back at work after four weeks of extended personal leave. I could write a full-length novel about the why, how, who, and what of my semi-sabbatical experience. The short version is: every employer should give extended paid leave, and every employee should take it. I’ll give you three reasons.

    1. We are People First. 

    People First is the single most important Horizon Point mantra. We live it and breathe it every day. That’s how we got here – this place in time where each of our team members is taking 4+ weeks of extended leave for rest and renewal. Our Founder, Mary Ila, took one long look at us during a quarterly planning meeting and saw a team of women who had forgotten that we, ourselves, are People First. The buck stopped there. 

    Our boss got vulnerable with us about her physical, mental, and emotional health (all deteriorating), and we got vulnerable right back. All of us called to the foreground our very real symptoms of Too Much Syndrome. Too much COVID-19 uncertainty, too much schedule changing, too much brain fog, too much or not enough of everything else. In that quarterly planning meeting, we came back to ourselves, saw our very real burnout staring us in the face, and landed squarely on the realization that we are just people. 

    Workplaces are made of People who have basic needs and who will predictably burn out without periods of rest. 

    2. Extended leave clears the fog. 

    On my second day back at work, I attended a Mental Wellness workshop with a local entrepreneurial center that specializes in woman-owned small business creation and growth. This particular workshop focused on the brain science associated with stress and anxiety. Join me on the journey for a moment. How many of these physiological symptoms have you experienced in the last week? 

    • Taut muscles
    • Fatigue
    • Hasty decisions
    • Foggy thinking
    • Negativity 
    • Worrying
    • Irritability
    • Indifference
    • Apprehension
    • Depression
    • Insomnia
    • Restlessness

    As I sat in that room, I thought back to that quarterly planning meeting. I thought back to snapshots of my personal and professional life and saw every. single. one. of these symptoms. That good ole 20/20 hindsight sure did hit differently this time. 

    When I look at this list today, only 2 or 3 resonate. My four weeks of paid leave literally gave me new life. The sun came out, and the fog lifted. I’m a better version of myself, which benefits me personally of course, but also benefits my work team. Giving employees an extended moment to clear the fog breathes life into the organization. 

    3. It’s time for a paradigm shift. 

    Some of you are ready to give and/or take extended leave. You’re willing and able and ready. Here are 6 Steps for Planning and Implementing Effective Extended Leave. 

    Some of you are not. I know that paid extended leave is a luxury. I’ve heard time and time again how lucky I am, how lucky my team is, to work for a company and a leader with such a philosophy. 

    The thing is, we shouldn’t be so lucky. Our company shouldn’t be so different, so unique. This model of People First and the option of paid extended leave should be commonplace. As workplace and community leaders, we can and should shift the paradigm. It has to start somewhere, so why shouldn’t it start with me and you? 

    A month ago, when asked, “How are you?”, I would’ve (not so jokingly) said, “I’m surviving, but not thriving! Haha.” Ask me today, and I’ll tell you how much I’m thriving. How much my mind has healed. How much better I’m sleeping. How much of my personality came back. How much healthier I feel, physically, mentally, and emotionally. 

    Extended leave was a blessing for which I’m immeasurably grateful, and now I’m on fire about spreading the wealth to others. It takes a village. Will you join me? 

     

    If you are an employer, and you want to explore options for incorporating extended wellness leave into your workplace, let’s work together to shift the paradigm. 

     

  • Is it Time to Kill the 40-Hour Workweek?

    Is it Time to Kill the 40-Hour Workweek?

    Americans work an average of 41.5 hours per week, with 11.1% working over 50 hours per week. World Population Review

    Americans work 137 more hours per year than Japanese workers, 260 more hours per year than British workers, and 499 more hours per year than French workers. International Labour Organization

     

    Based on data from the US Bureau of Labor Statistics, productivity per American worker has increased 400% since 1950. Meaning Americans should be able to accomplish in 10 hours per week what it took 40 hours to accomplish in 1950. Yet, we are still working 40 hours per week. 

    So where did the 40-hour workweek start? With Henry Ford. He implemented it in his Detroit factory it was an innovation in favor of employees. Most workers were putting in six days per week and Ford created the concept of work-life balance. He reduced the workweek to five days in order to allow his employees ample time to rest and be with their families. 

    Over a century later we still talk about a work-life balance, but we’ve lost the purpose that drove Ford to implement that 40-hour week. We’ve gradually climbed that hill back up towards longer hours and less work-life balance. We shun those who work only 40-hours per week and praise those who work 60-80 hours per week. We have become a society that brags about how many hours we put in at work each week. 

    I’ll never forget my first job out of college, I received my offer letter and it said that I was required to work a minimum of 45 hours per week. And rarely in the three years, I worked there did I put in less than at least 50, sometimes as much as 80. 

    We want to claim that certain industries just require at least 40-hours per week, such as healthcare, retail, or manufacturing, but do they really or are we just stuck in that “we’ve always done it this way” rut? Autonomy, an independent research group in Iceland, conducted a four-year study from 2015 to 2019 in which they reduced the workweek of over 2,500 employees from 40 hours down to 35-36 hours. The results were overwhelming. 

    • Employees were happier and healthier
    • It improved work-life balance
    • Productivity remained the same or increased

    The results were so positive that by the time the study was published earlier this year, 86% of Iceland’s population had either moved to a reduced workweek or added into their collective bargaining agreements to do so in the future. 

    The study by Autonomy is not the only study that has been conducted in recent years and as with the Autonomy study, results show that decreasing the workweek has a positive impact on employee health and wellbeing, work-life balance, and productivity. 

    So why do we continue to hold so tight to the 40-hour workweek?

  • Your Local Wage Survey is a Gold Mine

    Your Local Wage Survey is a Gold Mine

    Does your area have a local wage and/or benefit survey? Do you participate? You should! Here’s why and how. 

    National wage reports are helpful to study the big picture of economic growth, but these reports might not (probably don’t) reflect the small picture of your business in your community. Further, a 2021 study found that U.S. workers may get 19% less than federal estimates:

    Some tools, like CompAnalyst and SHRM, offer comprehensive data (for a hefty fee) that can be helpful in determining pay ranges and comparing company wage data to industry benchmarks. We use resources like these for some larger compensation analysis projects. Even still, we use data from the local wage survey to further validate and strengthen our recommendations. 

    Community-based benchmarks are critical for organizations to attract and retain talent. Our area is heavy in aerospace and defense contractors, and the competition for talent is fierce. Many of these organizations rely almost entirely on the local wage and benefits survey to drive compensation decisions year-to-year. This year especially, organizations are looking for real-time information about how the wage and benefits landscape has changed in the last 6-12 months. 

    Now, I’ll drop a note here to acknowledge that companies with multiple locations throughout the U.S. and/or multinational operations might have more limited local decision-making power. We work with many multinational organizations in our community, and the local wage and benefits survey is the most impactful resource for local leaders to demonstrate the need for changes to their top leadership. It might take longer to move the needle, but starting with meaningful, local data goes a long way. 

    In support of my argument that local wage and benefit data is invaluable, we regularly receive questions from businesses, chambers of commerce, economic development agencies, local governments, etc., about wage trends in our area. This data is not just for wage decisions in individual companies; this data is used in city and county economic and workforce development decisions. 

    Below is a snapshot from a report we recently provided for the local chamber. They wanted to know if there had been an increase in median hourly wages, particularly in manufacturing.

    The wage and benefits survey we administer annually collects aggregate data for Production, Maintenance, and Warehouse positions. Comparing the local wage data as of 01/01/2020 with local wage data as of 01/01/2021, we were able to discern if and how much hourly wages grew for these job categories. This information helps business and community leaders make informed decisions to attract and retain people and their families. 

    So here’s my point: local wage surveys benefit you personally

    …as an employee who wants to be paid fairly 

    …as an employer who wants to attract and retain talent 

    …as a citizen who wants to live in a thriving community 

    If you hold a role at your organization with influence over internal compensation decisions, or even if you don’t, I encourage you to participate in local wage surveys on behalf of your organization. When more businesses participate, the data is more robust and meaningful for individuals, organizations, and communities. 

    If you aren’t sure if your local community offers a wage/benefit survey, a good place to start is your local economic development agency (EDA) or chamber of commerce. For our readers in North Alabama, you can learn about our work with local wage and benefit surveys here.

     

  • Inflation and Competitive Wages – What do these mean to You?

    Inflation and Competitive Wages – What do these mean to You?

    Are your company’s wages in line with the market? Inflation is often the topic of conversation in the news and in everyday conversation. I recently read an article about Social Security increases, the largest in more than a decade, is on the horizon; you can check the article out here: Social Security Cost-of-Living Adjustment Could be the Highest in 13 Years.

    What does that mean for individuals? It means you should know your worth, or rather, know what the going rate is for your role. I’m currently working on a wage compensation study and researched the Consumer Price Index to ensure rates were on track. It is currently 5.4%; that’s considerable. Here are a few free sources you can use to dig into wage data:

    O*Net – (enter job title, scroll down to Wage & Employment Trends, enter zip code)

    Salary.com – (look for “Individuals” What am I worth? Enter job title & location)

    What does this information mean for companies? Just this week, I’ve received more than one request for a proposal from companies wanting a compensation study. I’ve also had more than one conversation about how hard it is for companies to find employees. One way to combat that issue is to ensure you are paying at least the going rate for the positions you are seeking to fill. If you’d like to learn more about how Horizon Point can help with this, let us know! In the meantime, check out this case study from our website: Regional Wage Survey Case Study.

  • The Cost of Sexual Harassment

    The Cost of Sexual Harassment

    EEOC reported sexual harassment claims have ebbed and flowed for years now. Some years it’s up and some it’s down. The “MeToo” movement gained momentum in 2017 and for the two years following we saw a rise in EEOC sexual harassment claims. Now the numbers are starting on the down curve again; I’m sure in part due to the pandemic and move to remote workforces. But being remote doesn’t protect any organization from the threat of sexual harassment situations. 

    A 2019 study conducted by Deloitte aimed to estimate the cost impact of sexual harassment on organizations. By creating a model algorithm to determine the average cost based on total cases, Deloitte estimated that in 2018 workplace sexual harassment cost organizations $2.6 billion in lost productivity and $0.9 billion in other costs, or an average of $1,428 per victim. 

    Sexual harassment in the workplace can have a huge impact on the organization, including increased absenteeism, decreased employee morale, higher turnover, and management time to investigate claims. Sexual harassment can have a major psychological impact on victims, causing such symptoms as anxiety, depression, insomnia, or headaches. All of these symptoms can in turn have a major impact on an employee’s ability to perform the duties of their position. They can also have a major impact on the employer’s insurance costs, as employees who suffer such symptoms often need to seek medical assistance to alleviate them. 

    In addition to the costs mentioned above, employers who have to fight claims of sexual harassment through the EEOC or the courts will spend a great deal of time collecting evidence, consulting legal counsel, and fighting the claim in EEOC mediation and/or court. Punitive and compensatory damages could cost an organization between $50,000 and $300,000, depending on company size. 

    There are multiple options available to employers to help them ensure their employees, and their leadership is trained on sexual harassment including online training that can be purchased on a per person license, LMS training modules that can be purchased for a flat fee, or outsourced training. 

    Currently, 18 states have some form of regulation on sexual harassment training for employers. Many employers opt-out of training because it’s not required in their state. Others put off training thinking “It would never happen here” or “I can’t afford training”, but it can happen in any organization and the cost of providing training annually is much less than the potential cost of not providing training. 

    To find out more about Horizon Point’s sexual harassment training, view our course outline.