If you're a small business owner, you understand there is never enough time to complete everything necessary to run your business. There is quite a bit on your plate from running sales, day-to-day operations, and dealing with issues that arise. On top of that, there is a slew of HR-related duties that need to be performed. Let's look at the overwhelming number of tasks that HR must deal with and the time it takes to complete each one.
Payroll
It is estimated that small businesses spend five hours per pay period processing their payroll. Eighty percent of small businesses process payroll weekly or biweekly. Not only does processing payroll take a great deal of time, but nearly half of those who calculated payroll found it confusing and frustrating.
Compliance
Compliance is another time-consuming task for small business owners. A report shows that 14% of small businesses spend more than 20 hours working through federal regulations each month, while 25% of owners lose more than 10 hours of productivity to regulatory compliance. As laws and regulations are constantly changing, it's vital to stay on top of them, ensure you are compliant, and avoid fines. Additionally, diverse labor laws across cities and states can complicate the process further.
Benefits
On average, 1.6 hours are spent each week on employee benefits. An average of eight hours is spent on benefits during the open enrollment period. Thirty-seven percent of businesses say there is a moderate to heavy amount of paperwork involved while managing employee benefits. Benefits should not be overlooked, given that it’s an important tool to retain workers.
Hiring And Recruiting
As if all the above wasn’t hard enough, it takes a business a significant amount of time and energy to hire and recruit employees. The time it takes a business to find and hire an employee is the biggest time strain. This process could take up to 30 hours to hire one new employee.
The most time-consuming hiring tasks include:
- Interviewing candidates - seven hours
- Searching for candidates - six hours
- Reaching out to candidates - six hours
- Vetting candidates - six hours
- Researching best practices - five hours
This is very time-consuming for a small business to take on this task on its own. In addition, if you hire the wrong candidate and they either leave or are fired, it costs six to nine months of that person’s salary.
GMS Is Here To Take On These Time-Consuming Tasks
Group Management Services specializes in payroll, HR, benefits, and risk management. Not only will GMS save your business time and money, but we will take on the additional stress and frustration of completing these tasks. This allows you to focus on growing your business while maintaining compliance. Contact GMS today.