Unlimited Vacation Policies Suck!

Well, it had to happen, unlimited vacation policies have jumped the shark!  Billionaire Richard Branson announced this week his company, Virgin Group, would begin offering unlimited vacation to all corporate employees. Here’s a statement from Richard:

“Take a holiday whenever you want. Take as much holiday as you want. We’re not going to keep a check on how much holiday you take,” he said in a CNN interview…”Treat people as human beings, give them that flexibility and I don’t think they’ll abuse it. And they’ll get the job done,”

Here’s what Richard knows, it’s been proven time and again, study after study, that companies that implement unlimited vacation policies actually show a decrease in vacation time used, not an increase!  He’s not making a decision based on people, he’s making a decision based on business.  That’s how you become a billionaire, and not a thousandaire!

One other issue I have with the announcement, is him saying ‘we’re not going to be checking”.  Really!?  You aren’t going to have anyone checking who and how much vacation is being used. What if you have some employees not using any vacation at all?  Isn’t that a problem?  Shouldn’t someone be ‘checking’ on this?

Let’s face it, unlimited vacation day policies were garbage the moment companies discovered that the psychology of these policies was causing their employees to actually take less time off, not more time.

We all write and design policies we think will have benefit to our employees and the organization.  It’s a balancing act.  As soon as you come out publicly with a policy and state it’s a ‘benefit’ to your employees, when you know it isn’t a ‘benefit’ to your employees, you lose credibility.

The design of unlimited vacation policies were broken to begin with, but we got sucked into the dream of taking every Friday off, and taking a 3 week holiday in the summer to some island.  Then reality kick us in the teeth and we realized what would actually happen if we tried doing something like that.  It’s hard enough to use the time you had given to you previously, and your leadership team made your employees feel like crap when they did have to use it.

Unlimited time off was designed to be trap.  Let’s see which poor sucker will actually try and use it, and then we know which person is least engaged and not fully on the bus!  No one will say this, because the companies using these policies think they’re saving the world one stupid app at a time.

The reality of most work environment is you are hired to do a specific job.  When you are not there that job doesn’t get done, or at the very least gets put on hold for the period of time you’re gone.  So, you, taking off all this wonderful vacation time, only means your job really doesn’t get done.  This becomes a performance issue, and/or a resource issue, since now we have to hire someone else to pick up your slack while you’re out on ‘holiday’.

How long do you think you’ll keep your wonderful job, with unlimited vacation, when your organization is having to bring in other people to do the job you are supposed to be doing?

Yep. Not long.

What’s a better alternative?

Design the amount of time off around business needs.  I’m in the Midwest, most companies are a ghost town between December 23 and January 2 or so, depending on the calendar. They are also empty Thanksgiving weekend.  Throw in a few days around July 4th, and a week for spring break, and you have almost 3 full weeks of vacation time.  Your employees now have sick time, doctors and dentists appointments, a day here or there for personal business (banking, family, etc.), there goes another week.  How about a real vacation?  You know the kind where you sit at home with a list of a thousand things to do, but spend four days watching Netflix!  Now, we’re at 5 weeks.

5 weeks of total time off, probably works for about 99% of people in the world.  Anymore and it’s hard to actually do your job.

HR’s Ebola Crisis Plan!

Wait for it…

Any minute now some executive is going to come into your office and ask ‘you’ what you’re doing about this Ebola outbreak!

I’m not trying to slight the importance and the tragedy that disease is currently on path to creating in West Africa, it’s horrific.  But our American media is bringing this to hysteria levels in the states!  As of my time writing this, there are 3 confirmed cases of Ebola in the U.S. and one death.

Yesterday in the U.S., approximately, this many people died from:

  • Heart Disease: 1,637
  • Cancer: 1,574
  • Stroke: 354
  • Accidents: 331
  • The Flu: 139

That’s each day people!

But, you my fellow HR Pro are going to have to answer this question very, very soon.  What is ‘your’ plan to address Ebola?

Not, hey how about we actually fund our Wellness program properly and maybe we can really save some of our employees from what’s going to kill them!  Eating crappy food, smoking, drinking themselves to death, texting while driving, NOT getting the freaking Flu shot we pay for!  I could go on…

But, here’s your plan for Ebola, it will keep your executive off your back, so you can get back to real work:

Step 1 – We are going to insist all of our employees get Flu Shots this season. Why? Because Ebola symptoms mirror Flu symptoms, so it’s just a matter of time until Tammy, our inhouse hypochondriac, comes to me telling me she has Ebola and the entire staff freaks out!

Step 2 – We are going to communicate with our employees about the realities of how one catches Ebola.  The CDC has many of these documents and videos.

Step 3– We are going to tell our employees if they have a fever, to stay home until it’s gone.  Also, let them know that fevers actually can happen on any day, not just Mondays and Fridays.

Step 4 – We are going to give some statistics about the risks of one of our employees catching Ebola in cute little pictures.  Like one that shows a person getting struck by lightening and eaten by a shark at the same time. You have more of a chance of this happening than contracting Ebola in the U.S.

Step 5 –  You will keep asking the executive who asked you about your Ebola Crisis Plan if they are feeling well, because they don’t look well?!?!

Seriously, though, get your employees to get a Flu shot this season!  It might be the one thing that will help them out. Not against Ebola, but with actually keeping themselves healthy.  They don’t need help from Ebola, yet.

ACA Complaince – HR, You’re In Trouble!

I wanted to title this – “The most boring post ever!” But you guys know I couldn’t write a boring post!

Going through my debrief of HR Tech and I had a meeting with ADP regarding health care reform compliance.  Yes. It was as boring as it sounds!  But there’s a catch, this is stuff that the real HR folks are really concerned about, especially small and medium sized HR shops (50 – 999 employees).  Let’s face it, we don’t have the staff or budget to really feel 100% confident we know what we really need to be doing!  It’s something that can make us look like fools to our executives.  So, I wanted to pass along some stuff I think might help.

ADP has data coming out of their ears! They surveyed our executives in the SMB space and here’s what they are saying:

  1. 69% are concerned with the cost of health coverage and other benefits
  2. 54% are concerned with health care reform legislation

I’ll bet you that 54% is really 100%, but the other 46% believe you (HR Pro) have it under control, and most of us probably don’t!

ACA is confusing, and it seems like a moving target.  Most vendors will tell you they can help, but when you really look into the folks who are giving them the information to give you, they’re really no different than you or I.  What I really liked about my meeting with ADP is they have the resources to throw some really, really smart people at this, and they have the size and influence to probably get insight directly from those writing the legislation.  With great size, comes great access!

ADP has launched a new solution called ADP Health Compliance.  ADP Health Compliance combines Software as a Service (SaaS) with rigorous managed services staffed by ACA experts who can help to enable compliance while managing all of the complex regulatory requirements: Eligibility, Affordability and Regulatory Management.  And you don’t even need to be an ADP client to sign up to use this solution!

“The ACA has transformed the practice of workforce management into a fluctuating system of checks and balances, and one missed step can be the difference between compliance and significant financial penalties,” said Saliterman.  “ADP Health Compliance’s managed service feature is truly unique and can provide large employers with the expertise that only a leader in tax and compliance can deliver.”

“In our restaurants, the vast majority of our employees are variable hour workers whose time will change shift to shift, week to week.  We need to constantly monitor employees hours—12 months a year—to determine who is required to be offered  health coverage benefits and whether or not that coverage is affordable, which can be a heavy lift,” said Bruce Clark, Chief Financial Officer of Hooters Management Corporation, an early adopter of ADP Health Compliance.  “Restaurant operators are good at running restaurants, but that doesn’t mean that they’re good at complicated compliance tasks.  Our plan is to keep doing what we do and do that great, and we’ll leave ACA administration to our expert partner…“

Yeah, ACA isn’t sexy.  It’s not employee engagement platforms, and digital interviewing and big data.  ACA compliance is where HR Pros earn their chops, it’s real-life HR, and it’s something we can’t afford to get wrong.  ADP isn’t paying me.  I think they have a product a lot of you could actually use, and it protects your organization.  Check it out. It’s probably worth your time to take a look and see where you might be at risk!

Top HR Products for 2014!

I like new technology, which is why I’m headed out to the HR Technology Conference this week.  HR tech has continues to transform how we deliver HR and Talent solutions to our organizations.  I’m always amazed at the new stuff that comes out each year.  Human Resource Executive named their 2014 award winners for Top HR Products last week, and the awards are given out at the HR Technology Conference.  I’ll be checking all of these out for sure, but here is a preview of the award winners:

Appcast.io – www.appcast.io

A recruiting marketing platform that helps organizations fill their hard-to-fill requisitions by marketing it to 6,000 career and consumer sites on a pay-per-applicant basis.

Entelo Diversity – www.entelo.com

Entelo claims to have a program that will help you hire black people! Or women, veterans, Hispanics, etc. Basically, you can stop trying to search job boards using words like “Black” and “Spanish”.

Halogen 1:1 Exchange – www.halogensoftware.com

Halogen takes performance management to the next level with Halogen 1:1 Exchange.  This is a one-on-one meeting-management tool that works with other Halogen TalentSpace modules and is designed to spur greater communication, collaboration and coaching. The module tracks the frequency of these one-on-one meetings to provide employers with evidence these discussions are occurring. It also correlates the impact they are having on performance ratings, engagement scores and turnover.

Health E(fx) – www.healthefx.us

Health E(fx) is a stand-alone solution designed to help employers avoid penalties while optimizing their benefits strategies, decisions and costs within the Affordable Care Act environment.

HireVue Insights – www.hirevue.com

I’ve seen this one live and it’s awesome, can’t say enough about it! Basically, it analyzes your digital interviews to automatically give you the best candidates based on 15,000+ attributes. All your candidates.  Have 1000 apply, and you know you’ll only really look at the first 25 you applied, even though number 999 might be your best? Insights solves this! Plus, tells you which hiring managers are your best at selection!

IBM Social Learning – www.ibm.com

IBM Social Learning, powered by IBM Kenexa learning solutions and IBM social-collaboration and analytics tools, is designed to help people engage with one another, contribute expertise and learn from others using interactive media in near real-time.

Match-Click – www.match-click.com

Match-Click is a video-driven recruiting platform designed to let employers give job candidates a preview of their new corporate environment and potential supervisor and co-workers, through short, 20-second video clips featuring hiring managers and would-be colleagues describing the position and the organization.

QUEsocial – www.quesocial.com

Another one I’m really interested in seeing live! QUEsocial blends employer branding and social recruiting into a social talent-acquisition Software-as-a-Service technology platform. The idea is to enable recruiters and — by extension, employers — to “amplify and extend” the employer brand through individual recruiter and sourcing networks.

RecruitiFi – www.recruitifi.com

RecruitiFi is intended to offer organizations a new way to source talent by letting them select and post jobs to 250 expert recruiters from its membership pool of approximately 2,000.

Skillrater.com – www.skillrater.com

Skillrater.com is a cloud-based performance-feedback tool that incorporates social networking and collaboration.

There will be hundreds of other companies as well. I’ll make sure to give you a run down on some companies and technology that you haven’t ever heard of, yet, when I return.  The coolest part of HR Tech is finding a company that is nothing today, but will be industry leading in 3 to 5 years.  Last year I saw Blackbook HR and their Sense product and they are blowing up – such a great piece of technology to help us with one of HR’s biggest issues – Turnover!

Who will it be this year? I can’t wait to find out.

The Crappy Job Badge of Honor

As some of you may have realized from recent posts (Wanted: People Who Aren’t Stupid), I’ve been interviewing candidates recently for the position of Technical Recruiter working for my company HRU. I love interviewing because each time I interview I think I’ve discovered a better way to do it, or something new I should be looking for, and this most recent round of interviews is no different.  Like most HR/Talent Pros I’m always interested in quality work/co-op/internship experience – let’s face it, it’s been drilled into us – past performance/actions will predict future performance/actions.  So, we tend to get excited over seeing a candidate that has experience from a great company or competitor – we’re intrigued to know how the other side lives and our inquisitive nature begs us to dig in.

What I’ve found over the past 20 years of interviewing is that while I love talking to people that worked at really great companies – I hire more people that have worked at really bad companies.  You see, while you learn some really good stuff working for great companies – I think people actually learn more working for really crappy companies!  Working at a really great companies gives you an opportunity to work in “Utopia” – you get to see how things are suppose to work, how people are suppose to work together, how it a perfect world it all fits together.  The reality is – we don’t work Utopia (at least the majority of us) we work in organizations that are less than perfect, and some of us actually work in down right horrible companies. Those who work in horrible companies and survive – tend to better hires – they have battle scars and street smarts.

So, why everyone wants to get out of really bad companies (and I don’t blame them) there is actually a few things you learn from those experiences:

1. Leadership isn’t a necessity to run a profitable company. I’ve seen some very profitable companies that had really bad leadership – people always think they’ll leave those companies and they’ll fail – they don’t.  Conversely, I’ve worked for some companies that had great people leaders and failed.

2. Great people sometimes work a really crappy companies.  Don’t equate crappy company with crappy talent.  Sometimes you can find some real gems in the dump.

3. Hard work is relative.  I find people who work at really bad companies, tend to appreciate hard work better than those who work a really great companies with great balance.  If all you’ve every known is long hours and management that doesn’t care you have a family – seeing the other side gives you an appreciation that is immeasurable.

4. Not having the resources to do the job, doesn’t mean you can’t do the job. Working for a crappy company in a crappy job tends to make you more creative – because you probably won’t have what you need to do the job properly, so you find ways.

5. Long lasting peer relationships come through adversity.  You can make life-long work friends at a crappy job – who you’ll keep in contact and be able to leverage as you move on in your careers.  And here’s what each of you will think about the other: “That person can work in the shit!”  “That person is tough and get’s things done” “That person is someone I want on my team, when I get to build a team”

We all know the bad companies in our industries and markets.  Don’t discount candidates who have spent time with those companies – we were all at some point needing a job – a first experience, a shot at a promotion or more money, etc. and took a shot at a company we thought we could change or make a difference.  I love people who worked for bad companies, in bad jobs with bad management – because they wear it like a badge of honor!

The New Hire Genius

No matter what the organization, or what the industry this holds true.

You will never be ‘considered’ smarter by your boss, then you are on the first day you’re hired.

Take advantage and change as much as you can, as fast as you can.

It only lasts as long as the next hire into your department.

Then you’re back to being the idiot.

What Kind of Mentor Are You?

I got asked to be a mentor for someone recently.  It’s not the first time I’ve been asked, but I found myself wondering what ‘Tim Sackett’ as a mentor should look like.  Maybe it’s where I’m at in my career, but I found myself wondering what is it that I could really give someone coming up in our industry.

I would assume anyone asking for a mentor doesn’t really want me to show them how to recruit.  They’ve probably got that down pretty well, at least the basics.  The advanced stuff is probably best taught by some folks much better than me (Glen Cathey, Jim Stroud, Amybeth Quinn,  Paul DeBettignies, etc.).

Maybe I could offer up some help on the employment branding/marketing side on HR and Talent Acquisition.  I’ve had to do that for the last 20 years, I probably know just enough to better than most, but not as good as folks like Laurie Ruettimann, William Tincup, Maren Hogan, Lance Haun and Matt Charney.

I’m just dangerous enough with HR Tech that I could probably help out in that area for sure.  I’ve bought and implemented systems and tools at every stop in my career.  I know the game, but I certainly don’t know it as well at Steve Boese, William Tincup (again), John Sumser, etc.

It could be my mentee could use me for just straight HR generalist knowledge base.  If I know anything, I know a little about almost anything in HR from my stops in my career.  While I love talent acquisition, I really consider myself more of an HR pro.  Probably not as good as Kris Dunn Dawn Burke, Robin Schooling, Jessica Miller-Merrell, etc.

Compensation and Benefits, maybe that’s should be my ticket?  Um, no, probably not.  I probably know the least about this area as a whole and Ann Bares is my go to person for all things compensation.

There’s got to be something I’m the best at, worthy of being a mentor.  What about employee engagement?  From small companies to organizations with tens of thousands I’ve had employee engagement as a major measurable, I could do some damage here.   But, again, not as well as someone like Paul Hebert.

Talent acquisition as a function might be something I’m most comfortable with.  In my career, I’ve been constantly pulled into TA no matter what organization I’ve been in.  It’s been the one constant in my career, start in HR, and end up in Talent Acquisition.   Moving an organization from old school, post and pray, to one that hunts for talent is right up my alley. I don’t really know anyone I would recommend over myself on this.

As a mentor I think the most valuable thing I can give someone is the network I’ve built over the years.  It’s something I discovered a long time ago. I’m probably not going to be the best at any one thing, but I can know people who are.  Having the ability to know you need to surround yourself with people who are better than you, especially in areas you’re weak, is the key to having success in any stop you have in your career.

As a mentor I’m probably going to find out what you’re bad at, then introduce you to people who are really good at those things.  You don’t need to the best at everything when you surround yourself with the people who are the best at everything!

Why I can Recruit and You can’t

TaxFoundation.org recently released a map that shows how much $100 is worth for each state.  The concept being where you live has a huge impact to what you can afford to buy with that same $100 bill. Here’s the map:

It begs the question, why would anyone live in D.C.? Or New York? Or California? Or New Jersey?

I’m not a coast guy.  I live in 4 bedroom, 3 bath house in Michigan that costs under $350K.  It’s new. It’s in a great neighborhood. I don’t have a highway running through my backyard. I’m close to a university, shopping, good restaurants, etc.  I’m getting the most out of my $100!

Don’t get me wrong. I love to visit big cities. Chicago and Detroit are both close, so those are easy. New York  and D.C. are great. California and Texas are lovely. I’m always thankful to come home.  No traffic. Little crime. Kids still seem to be kids.  Basically, I’m Ward Cleaver.

Michigan, and the Auto Industry, is going through a big growth bubble right now.  It’s a combination of the Auto industry coming back. No one bought cars during the recession, so pent up demand.  Aging auto workforce that stayed on through the recession and now wants out.  There are thousands of jobs in Detroit for technical workers.

Recently, I had a company contact us about helping them find automotive engineering talent to go to California for a start up.  They want to build an entire car start up in Silicon Valley.  My first question was, why?  They don’t really have a good answer to the why.  Besides the fact, well, this is where we are now.  Okay. I can recruit auto engineers for you, from Detroit to Silicon Valley. But understand, Detroit talent is going to have sticker shock!  Major sticker shock!

They are use to getting more that $100, for their $100, and now I’m going to tell them I’ll give you $85 for your $100.  This is really like a decrease of 25% to go and do the same job.  Well, they said, we’ll pay more.  25% more?  Even so, my $350K house is $1.3M in Silicon Valley for less house.  But you’re close to the beach!  For $1.3 I better be on the beach! Is the mindset of an engineer from Michigan!

Recruiting is a mindset.  You can see why I can recruit folks to the Midwest!  I know the hot buttons to push.  Everyone has a certain value they want for their $100.  For some the ocean and the beach and sunny weather is price they will pay for.  For others, they want less traffic, quiet, clean air.  It’s your job as a recruiter to be able to find that value, and not let your own perceptions of that value get in the way.

There Are Only 6 Ways To Engage Employees

We think there are millions of ways to engage, or disengage, employees but there aren’t.  Truly, there are only six.  The six basic emotions we feel as humans, which are:

1. Anger

2. Disgust

3. Fear

4. Happiness

5. Sadness

6. Surprise.

Knowing there are only six doesn’t necessarily make it any easy for us to figure out how to raise engagement, but at least it will help you giving you a concrete starting point.

Let me help get you started.  Of the six, only one really help you engage in a positive way: Happiness. The other five can all be very disengaging factors: Anger, Disgust, Fear, Sadness and Surprise.

So, you want to raise engagement?  Well, that seems easy, happy employees will equal engaged employees.  But, you’ll have your haters which will say, “Tim! Just because I’m happy doesn’t make me ‘Engaged’!” Yes, you’re right.  But, have you ever tried to engage an employee who was angry, disgusted, fearful, sad or unexpectedly surprised?  It’s tough.  If I need to increase engagement, I would prefer to start with happy employees.  Makes my job easier.

In the short term you could ‘engage’ employees by the negative emotions as well, but that never plays out well long term.  I can make employees fearful for their jobs, their livelihood and they will perform better, for a little while and seem very engaged. Until they find another job.  All the negative emotions can be played out like this.

So, I’m left with Happiness.  It’s not a bad emotion to be stuck with if you can only have one that helps you.  I like happy people, even on Monday mornings.  It’s better than assholes for sure!

We focus our engagement on so many things that have little impact to the emotion of happiness. We spend millions of dollars a year on leadership development, because better leaders raise engagement, we’re told.  We spend millions of dollars on building better environments because $800 office chairs raise engagement.   We spend millions of dollars on increasing wages and benefits, because more raises engagement.  But none of these really raise happiness.

“But, Tim! You’ve told us before you can’t ‘make’ someone happy.”

Ah, now we’ve come to something important.  If you can’t ‘make’ someone happy, how can we positively raise the engagement of our employees?!?

You can’t.  It’s a dirty little secret the engagement industry doesn’t want you to know (oh boy, can’t wait for Big Papi Paul to kill me in the comments on this one!).

You can raise engagement of your organization, though.  Hire happy people.  Happy people aren’t just happy some of the time, they’re predisposed, for the most part, to be happy.  Hiring happy people consistently over time will raise your engagement.  Do you have a pre-employment assessment for happiness?  Probably not. HR people hate happy people.

 

Dad’s Don’t Get Work-Life Balance Empathy

Max Shireson, the CEO of mongoDB, turned in his resignation this past week.  That announcement in itself isn’t really that big of a deal, CEOs turn in resignations every day.  The reason he turned in his resignation is huge.  I’ll let him tell it in his own words from a letter he sent to mongoDB’s workforce:

“Earlier this summer, Matt Lauer asked Mary Barra, the CEO of GM, whether she could balance the demands of being a mom and being a CEO. The Atlantic asked similar questions of PepsiCo’s female CEO Indra Nooyi. As a male CEO, I have been asked what kind of car I drive and what type of music I like, but never how I balance the demands of being both a dad and a CEO.

While the press haven’t asked me, it is a question that I often ask myself. Here is my situation:

* I have 3 wonderful kids at home, aged 14, 12 and 9, and I love spending time with them: skiing, cooking, playing backgammon, swimming, watching movies or Warriors or Giants games, talking, whatever.

* I am on pace to fly 300,000 miles this year, all the normal CEO travel plus commuting between Palo Alto and New York every 2-3 weeks. During that travel, I have missed a lot of family fun, perhaps more importantly, I was not with my kids when our puppy was hit by a car or when my son had (minor and successful, and  of course unexpected) emergency surgery.

* I have an amazing wife who also has an important career; she is a doctor and professor at Stanford where, in addition to her clinical duties, she runs their training  program for high risk obstetricians and conducts research on on prematurity, surgical techniques, and other topics. She is a fantastic mom, brilliant, beautiful, and  infinitely patient with me. I love her, I am forever in her debt for finding a way to keep the family working despite my crazy travel. I should not continue abusing    that patience.

Friends and colleagues often ask my wife how she balances her job and motherhood. Somehow, the same people don’t ask me.”

When we talk about ‘inclusion’ we aren’t really talking about everyone.  That’s the problem.  We wonder how possibly a woman could handle the pressures of being a CEO and being a Mom, but we never wonder, or even care, how a man handles the pressure of being a CEO and a Dad.   It’s expected a man can do both, we question if a woman can do both.  

There is a cultural expectation, wrongly, that as a man I can be CEO and a Dad and perform just fine. As a woman, I’ll have trouble doing both jobs, because the Mom does more than the Dad.  The mom cooks and cleans and nurtures and schedules and kisses booboos and, well, does everything for the family.  The lazy asshole Dad comes home and waits for the Mom to fix him dinner and his drink.  Really!?! Is that where we are in 2014?

I’m a Dad and a President of a company.  I feel for Max.  My wife does a ton, it can’t even be measured.  I don’t expect her to do everything and help out a ton with parenting when and where I can.  I assume if the roles were changed and my wife was a CEO, I would have to pick up more of her home and parenting duties.

This goes beyond just duties, though, this is about emotional connection.  As a Dad, like Max, why should I have less of a connection as a parent than my wife.  Why do we throw that cultural expectation onto our employees, on to our executives?  As a father I frequently feel failure.  Maybe it’s because I missed being able to have lunch with my son at school.  Maybe it’s because my wife has a stronger relationship with my kids than I do.  Maybe it’s because I trying to live up to a cultural expectation that I should be less of a parent.

No one ever wants to talk about how hard a man has it, trying to be a father and work.  It’s not ‘politically’ correct.  Men have it easier. End of story.  That sucks sometimes.