hiring & firing - top tips for startups - february 2016
TRANSCRIPT
Presentation title
Top Tips for Startups
Allyssa Gregory HR Director
16th February 2016Hiring & Firing
is it time to hire? WHAT SHOULD I DO???
Hiring is a huge challenge for entrepreneurs
Getting your hiring right as a startup is critical to your success!
Lets have a look at some of the key considerations
Select with care!
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Setting out!When to hire? Are you missing out on opportunities?
What skills do you need? And for how long?!
Do you need a contractor, or an employee?
Are you in a financially robust enough position to employ new people permanently?
Are you set up to employ people?
Get the contract ready
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Spot the Difference! Independent Contractors
No employment status ; no entitlement to benefits More risk oriented Usually dictate from where and when they workMay work for more than one organisationTypically bring their own equipmentWill submit invoices for work performedYou wont be responsible for their tax/ NI.
Be careful not to treat them as employees IR35!Ensure your contract protects your IPHave a solid Statement of Works
Employees
A more dependent relationship Employees have certain entitlements e.g. minimum wage, paid holiday, notice period, employment rightsFull-time, part-time, permanent or fixed term Employer provides the equipmentEmployer must ensure tax and NI deductions are correctly calculated
Ensure you have an employment contract in placeDefine work policies and procedures Have a clear job description and set objectives
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What to Pay Where to Look?
What can you afford? but dont be cheap!
Take a look at job boards for market salary levels
Free to access salary surveys on recruitment company websites (e.g. Hudson); Glass Door
Go social
Ask for referrals
Attend careers fairs like Silicon Milk Roundabout
Go to networking events
Use job boards but be ready to do some filtering work
If you are going to use recruiters, negotiate HARD!
73% of 18-34 year olds found their last job through a social network. (Source: Aberdeen Group)
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Interviewing Making the Right ChoicePlan your interview processWho is conducting the interviewConsider setting a task/ assignment
Define wants vs needs Skills KnowledgeCompetencies
Sellbut be TRANSPARENTDont over-promiseWhat it is vs what it isnt
Listen, listen, listenLet the candidate do the talkingAsk open questions; ask for examples Be cautious of erratic moves or unexplained gapsDoes a startup thrill them or terrify them?
Chemistry Matters!!Meet more than once meet socially
Take References
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What does a great startup hire look like?
Resilience Results Oriented PassionCuriosityFlexibilityAgility
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Youve Hired! Now what?
Get all the admin out of the way payroll, benefits and expense processes, IT systems, building access and orientation, proceduresIntroduce them to the team and key contacts
Be clear in setting expectations e.g. Probationary Goals, Statement of Works, Targets what does good look like?
Engage, embed, lead, develop! provide support, offer advice, give feedback, listen, recognise, praise a thank you goes a long way!
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I have some bad news
WHAT SHOULD I DO???
DismissingRedundancyConscious Uncoupling?!
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but keeping the wrong people around can negatively impact:
Your other team membersThe potential of the jobYour business
Letting people go is stressful
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Before you take action! Personal SituationAlternative roleTraining NeedClarity of GoalsMotivation Whats not working? ???
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Terminating Independent Contractors Reasons End of a project, no further requirement for skills/ experience
Dissatisfaction with performance
Breach of contract
no reason at allProcess Check contractual terms
Be open and clear about reasons
Keep the door open!
StepsMeet and explain the situation
Write a letter to terminate the contract
Observe the notice period
Make final payments
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Its OK shes only been here for 18 monthsUnder 2 Years Service
You can often terminate an employment contract with no reprisals
There is no requirement to follow a formal process redundancy, disciplinary etc.
The employee has no access to an unfair dismissal claim during this timeBUT WAIT!
Discrimination protection from day 1 (age, gender, disability, pregnancy, maternity, sexual orientation, gender reassignment, marriage/ civil partnership, race, religion, belief)
Reasons relating to: Family related leave or pregnancyActing as an employee or trade representative or a pension scheme trusteeWhistle blowingPart-time, fixed term, pay and working hours
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Disciplinary Related DismissalReasons Poor performance
Time-keeping and attendance
Inability to get along with colleagues
Capability or illness (Be careful: Disability protection!)
Gross Misconduct violence, theft, bribery, alcohol / substance abuse, damage to company
Process Ensure you have a Disciplinary Policy in place and follow it!
Get your facts straight
Try to resolve informally
Invite employee to attend meetings in writing and with notice
Outline the issue at hand
Detail the time and place of the meeting and who will attend
Provide the right to be accompanied to meetings
Right of Appeal
Document everything!
Steps Dependent on your policy:
Verbal WarningFirst Written WarningFinal Written Warning Dismissal
Summary Dismissal
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Redundancy Fair reasons The role no longer exists because:
New technology makes a job unnecessary
You need to cut costs and reduce the number of employees
You need to close the business
Process Outline the business case - clearly explain the reason for possible redundancy and selection methods applied
Invite employee to attend meetings in writing and with reasonable notice
Detail the time and place of the meeting and who will attend
Provide the right to be accompanied to meetings
Seek to avoid redundancy where possible
Provide right of appealSteps Consultation periods:Individual / less than 20 - No set consultation time period20 to 99 redundancies - the consultation must start at least 30 days before any dismissals take effect100 or more redundancies - the consultation must start at least 45 days before any dismissals take effect
Severance terms/ payments notice, holiday pay, redundancy pay
Support
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However you do itBe clear explain the reasons for dismissalBe respectful this is all about your employer brand!
Be fair e.g. calculate final payments carefully
Keep notes document everything
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Handy (free) HR Resources
www.acas.org.uk
www.gov.uk/browse/employing-people
www.cipd.co.uk
startups.co.uk/taking-on-staff/
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THANK YOU!https://uk.linkedin.com/in/allyssa-gregory@AllyssaGregory@digicatapult
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