Even big businesses are vulnerable
The newest ongoing headache for employers is the classification system regarding whether a worker is an employee or an independent contractor. The Department of Labor recently issued some assistance on the misclassification of workers under the Fair Labor Standards Act.
The funny thing about the classification system is: it’s subjective. While different government agencies use different tests to determine a worker’s status, the same worker can get different results from different testing officials regarding their worker status.
This may explain why the Department of Labor issued the clarification: employers face significant liabilities under tax provisions, employee benefit plans, workplace rules, overtime laws, and other employee-related laws if they misclassify an employee as an independent contractor, when in fact they are an employee.
Everyone needs to know the rules, even you
FedEx is the latest company to discover you better know the rules (even if they are a bit subjective), or you’ll be facing a lawsuit. FedEx will be paying $228 million for misclassifying workers. So, how do you know the difference? When is a worker an employee and when are they an independent contractor? According to the Department of Labor, employers must use the “economic realities” test to determine whether a worker is “economically dependent” on the company, or “in business for him or herself.”
What does “economically dependent” mean? This is where things get complicated. According to the new guidelines, almost every worker is an “employee.” Before we begin dissecting the details, you should contact an attorney before creating a hiring policy, as they will be able to guide you more effectively through the process. In the mean time, here’s what you need to know if you want to hire independent contractors:
Tip: if a contractor works FT for you, they’re not a contractor
Try not to use a single contractor too often, even if they’re the best at what they do. If someone works full-time hours, they’re probably not a contractor: they’re an employee. This means benefits, overtime, and everything else that comes with a full-time employee. Be cautious with who your use and how often.
Do your best to ensure your desired freelancer has other clients. This will ensure they are not “financially dependent” on you and you alone. Although, this can be difficult to ascertain, as some freelancers have signed non-disclosure agreements that prevent them from discussing anything else they may be working on and with whom.
The difference between a freelancer and employee
Use freelancers for non-essential jobs; you pay them to complete a project not tasks. Tasks are typically what you pay 9 to 5 employees for, not freelancers and you should pay by the project, not by the hour. This again helps to keep the distinction between independent contractor and employee. Again, this is a bit subjective, but the more defined you make it, the better off you are.
Why a well-crafted rejection email can save your brand, and your time
(BUSINESS NEWS) Job hunting is exhausting on both sides, and rejection sucks, but crafting a genuine, helpful rejection email can help ease the process for everyone.
Nobody likes to hear “no” for an answer when applying for jobs. But even fewer people like to be left in the dark, wondering what happened.
On the employer side, taking on a new hire is a time-consuming process. And like a box of chocolates, you never know what you’re going to get when you put out ads for a position. So once you find the right person for the role, it’s tempting to move along without further ado.
Benn Rosales, the CEO and co-founder of American Genius, offers an example of why that is a very bad call.
Imagine a hypothetical candidate for a job opening at Coca Cola – someone who’s particularly interested in the job, because they grew up as a big Coke fan. If they get no response to their application at all, despite being qualified and sending follow-up emails, their personal opinion of the brand is sure to sour.
“Do you know how much effort and dollars advertising and marketing spent to make [them] a fan over all of those years, and this is how it ends?” Rosales explains. This person has come away from their experience thinking “Bleep you, I’ll have tea.”
To avoid this issue, crafting a warm and helpful rejection email is the perfect place to start. If you need inspiration, the hiring consultants at Dover recently compiled a list of 36 top-quality rejection emails, taken from companies that know how to say “no” gracefully: Apple, Facebook, Google, NPR, and more.
Here’s a few takeaways from that list to keep in mind when constructing a rejection email of your own…
Include details about their resume to show they were duly considered. This shows candidates that their time, interests, and experience are all valued, particularly with candidates who came close to making the cut or have a lot of future promise.
Keep their information on file, and let them know this rejection only means “not right now.” That way, next time you need to make a hire, you will have a handy list of people to call who you know have an interest in working for you and relevant skills.
Provide some feedback, such as common reasons why applicants may not succeed in your particular application process.
And be nice! A lack of courtesy can ruin a person’s impression of your brand, whether they are a customer or not. Keep in mind, that impression can be blasted on social media as well. If your rejections are alienating, you’re sabotaging your business.
Any good business owner knows how much the details matter.
Incorporating an empathetic rejection process is an often-overlooked opportunity to humanize your business and build a positive relationship with your community, particularly when impersonal online applications have become the norm.
And if nothing else, this simple courtesy will prevent your inbox from filling up with circle-backs and follow-up emails once you’ve made your decision.
Are Gen Z more fickle in their shopping, or do brands just need to keep up?
(BUSINESS NEWS) As the world keep changing, brands and businesses have to change along with it. Some say Gen Z is fickle, but others say it is the nature of change.
We all know that if you stop adapting to the world around you, you’re going to be left behind. A recently published article decided to point out that the “fickle” Gen Z generation are liable to leave a poor digitally run site and never return. Now of course we’ve got some statistics here… They did do some kind of due diligence.
This generation, whose life has been online from almost day one, puts high stakes on their experiences online. It is how they interact with the world. It’s keyed into their self-worth and their livelihoods, for some. You want to sell online, get your shit together.
They have little to no tolerance for anything untoward. 80% of Gen Zers reported that they are willing to try new brands since the pandemic. Brand loyalty, based on in-person interaction, is almost a thing of the past. When brands are moved from around the world at the touch of your fingertips there’s nothing to stop you. If a company screws up an order, or doesn’t get back to you? Why should you stick with them? When it comes to these issues, 38% of Gen Zers say they only give a brand 1 second chance to fix things. Three-quarters of the surveyed responded saying that they’ll gladly find another retailer if the store is just out of stock.
This study goes even further though and discusses not just those interactions but also the platforms themselves. If a website isn’t easy to navigate, why should I use it? Why should I spend my time when I can flit to another and get exactly what I need instead of getting frustrated? There isn’t a single company in the world that shouldn’t take their webpage development seriously. It’s the new face of their company and brand. How they show that face is what will determine if they are a Rembrandt or a toddlers noodle art.
The new age of online shopping has been blasted into the atmosphere by the pandemic. Online shopping has boosted far and above expected numbers for obvious reasons. When the majority of your populace is told to stay home. What else are they going to do? Brands that have been around for decades have gone out of business because they didn’t change to an online format either. Keep moving forward.
Now as a side note here, as someone who falls only just outside the Gen Z zone the articles description of fickle is pompous. The stories I’ve heard of baby boomers getting waiters fired, or boycotting stores because of a certain shopkeeper are just as fickle and pointed. Nothing has changed in the people, just how they interact with the world. Trying to single out a single generation based on how the world has changed is a shallow view of the world.
Chasing Clubhouse success? How the audio chat room trend affects products
(BUSINESS NEWS) It is inevitable that when a new successful trend comes along, other companies will try to make lightning strike twice. Will the audio chat room catch on?
Businesses are always about the hot new thing. People are the always looking for the easiest dollar with the least amount of effort these days. It tends to lead to products that are shoddy and horribly maintained with the least amount of flexibility in pleasing their customers. However, you also have to look at the customer base for this as well. You follow where the money is because that’s where its being spent. It’s like a merry-go-round, constantly chasing the next thing. And the latest of these is the audio chat room.
During the pandemic the entire world saw an eruption of social audio investments. Silicon Valley has gone crazy with this new endeavor. On the 18th of April this year, Clubhouse said it closed on some new funding, which was valued at $4 billion for a live audio app. This thing is still in beta without a single penny of revenue!
The list of other companies who have pursued new audio suites (either through purchase or creation) include:
This whole new audio fad is still in its infancy. These social media and tech giants are all jumping headlong into it with who knows how much forethought. A number of them have their own issues to deal with, but they’ve put things aside to try and grab these audio chat room coattails that are running by. It’s a mix of feelings about the situation honestly. They are trying to survive and keep their customers.
If a competitor creates this new capability and they stay stagnant then they lose customers. If they do this however without dealing with their current issues then they could also lose people. It’s an interesting catch 22 for people out there. Which group do you fall in? Are you antsy for a new toy or are you waiting for one of these lovely sites to fix a problem? It’s another day in capitalism.
Business Entrepreneur2 days ago
How to effectively share negative thoughts with your business partner
Business Entrepreneur5 days ago
Why receiving big funding doesn’t guarantee startup success
Business Entrepreneur1 week ago
‘Small’ business was once a stigma, but is now a growing point of pride
Opinion Editorials3 days ago
Basic tips on how to handle common (and ridiculous) interview questions
Opinion Editorials5 days ago
Be yourself, or be Batman? A simple trick to boost your self-confidence
Social Media3 days ago
Twitter branches out into voice chat – what could go wrong?
Business Entrepreneur1 week ago
3 types of clients you should fire as a freelancer (without feeling guilty)
Business Entrepreneur2 weeks ago
Tesla: One company, or a collection of innovative startups?