Wednesday, June 20, 2007

BUSINESS START UP - WORKSHOP - STAFF & HR ISSUES

K. STAFF & HR ISSUES

The objective here is to ascertain if the HR issues within the company are compliant with legislation.

1. Have all the staff been issued with Letters of Appointment? This is a legal requirement and you could find yourself in hot water with the Department of Labour (which can also carry huge fines) if your staff (and therefore yourself) are not properly covered by means of a contract. Should you require a copy of a contact that you can use or adapt to your own needs and requirements, one can be supplied at a cost

2. It is also a legal requirement to issue your staff with a copy of their job descriptions, in writing. The easiest way to do this is to get the staff member to write down exactly what it is that they do on a daily basis. This should be done over a period of say 3 months. These notes can then be used to document what their requirements are. To take this one step further, these notes can then also be used to compile policies and procedures pertaining to the various tasks that are performed. A copy of the job description should be included in the staff file.

3. Staff increases should be based, without prejudice on the work performance. This work performance should be monitored and this can be done by means of a staff appraisal. If this procedure is performed on a regular basis, it is easy to define the problem areas that need attention and to address problems before they cause destruction. Should you require a copy of a performance appraisal form together with the scoring card, one can be supplied at a cost. It is a good idea for the appraisal to be done at least once a year, but I would suggest that once a quarter is more realistic and problems will be highlighted sooner rather than later.

4. It is a legal requirement to have a disciplinary procedure in place. There are certain criteria and procedures that need to be followed if you don’t want to get in trouble with the Department of Labour and end up wasting huge amounts of money and time at the CCMA. Should you require a disciplinary procedure that has been accepted by the Department of Labour, please contact me as one can be supplied at a cost. Please follow the procedure step by step and you will stay within the boundaries of the law

5. It is a legal requirement for staff to sign the attendance register on a daily basis. This also prevents disputes regarding attendance, sick leave etc. Hours must be worked out correctly and documented. An attendance register can either be purchased from your local stationary store or alternatively you can design your own.

6. If staff members are not at work for whatever reason, the necessary forms should be completed. These are Annual Leave, Sick Leave, Family Responsibility - Compassionate Leave and Unpaid Leave. It is a legal requirement for these forms to be completed, signed and maintained. Should you require copies of the abovementioned forms they can be supplied at a cost.

7. Obviously, it is in your own best interests to check on these on a regular basis. Always be aware of what is going on in your business – that way you can stay on top of things. Whenever you check things initial that you have checked it and date it. This will not only remind you when last you checked it, but also evidences to all and sundry that you are checking – this in itself, will act as a deterrent for anyone wanting to commit fraud. If you require copies of these schedule, they can be supplied at a cost.

8. PAYE, UIF and SDL needs to be paid over to SARS timeously – failure to do so will result in penalties, plus interest, plus SARS will flag you – anything to do with SARS means it is a good idea to keep a low profile! Pay it on time and avoid the hassle.

9. It is a legal requirement to have the Basic Conditions of Employment Act, prominently displayed so that your staff can see it. Make sure that they know where it is and make sure that they read it. Make sure that you read it to. That way hopefully, you will also understand what your workers rights are and prevent problems from occurring. Remember prevention is always better than cure.

10. Staff Resignations. There are often instances where staff resign, rather than facing a disciplinary hearing or the consequences thereof. In these instances beware! Many staff members resign and then when they find that they cannot find alternative employment (or worse still if they just want to get as much money out of you as they possibly can) they will then lodge a case against you at the CCMA, citing “Constructive Dismissal” as the reason. This can be an immensely costly exercise. To protect yourself, get the staff member to sign a “Memorandum of Agreement”. Make sure that you read the memorandum to the staff member, in the presence of a witness and get everyone to sign. I agree it is a pain in the butt, but it will save you huge amounts of money and even more wasted time. A copy of this can be made available at a cost.

No comments: