Category Archives: The HR Rules

Are You ‘Entitled’ To One Mistake?

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Current NBA LA Clippers owner, Donald Sterling, got in a heap of trouble for making racist statements that were caught on tape.  The NBA is going to kick this guy out of being an NBA owner, and it’s probably about time, as he has a history of just being racist.  He doesn’t want to stop owning the Clippers, so now he’s trying to do all he can to save what he can, and possibly still hang on to the team and not be forced to sell.  What is an 80 year old racist NBA owner to do?  Why go on CNN with Anderson Cooper!

Sterling is doing PR to try and get the public on his side, which is a colossal waste of time, but when you’re a billionaire you do silly stuff. Sterling believes we should all forgive him for making one big stupid mistake.  This is his exact quote from the interview:

“Am I entitled to one mistake, am I after 35 years? I mean, I love my league, I love my partners. Am I entitled to one mistake? It’s a terrible mistake, and I’ll never do it again,”

First off, this isn’t Donald Sterling’s first mistake.  He has a history of being a bad guy.   The one mistake argument doesn’t work well for him.  But should it work for anyone? That really is the question for all of this.

Should someone, like one of your employees, get a second chance?

In the HR world this is almost a daily dilemma that is faced.  On one hand you want to say, “Yes!”, shouldn’t everyone get a second chance.  But, as HR Pros know, many times, we don’t give employees a second chance.  Of course, there are reasons of why you wouldn’t give a second chance.  Like the Sterling case, you know of a history of prior bad decisions, coupled with this evidence, you make the call to say, “Nope! No second chance!”

This is what makes HR tough.  I’m not a big believer in the concept of ‘setting precedent’.  Which means basically using a previous example to guide a decision.  HR people (notice I didn’t say Pro) love to use this concept to make tough decisions, easy.  “Well, we fired Jill when she was late three times, so we also have to fire Bill!”  No, you don’t!  Now, you might have some risk, but unless the cases are completely the same, you’re just trying to take the easy way out!  Maybe Jill was late without excuse. Maybe Bill showed evidence of going to extraordinary lengths to make it to work and just couldn’t.  Just because you made one decision one way, doesn’t mean you always have to make it that way.  That’s uninformed and naive.

You get yourself in trouble when you start making decisions differently, for similar circumstances, based on things like gender, race, etc.  That’s when you get yourself into problems.  But if Bill was a much better performer than Jill, should I give him another chance? That’s the decision I need to make with my business partners. But to go and just say “No” we need to fire Bill, doesn’t make a well informed partner.

What about true first time, one mistake, issues?  Does someone ‘deserve’ a second chance?  I tend to believe it’s all based on context.  Mess up a major presentation because you didn’t crunch the data correctly, and we don’t get the sale.  Okay, I’ll give you another chance.  Forget to turn off the power to a machine when you’re finished, and a coworker gets badly injured because of it. You’re fired.  Second chance decisions on contextual.  Donald Sterling didn’t mistakenly become a racist in a conversation once.  He should be done forever. The NBA’s main ’employee’ is predominately African American.  He’s a racist.  I have enough of the context.

 

HR’s Dirty Little Secret #26

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If you clicked over to read Dirty Little Secret #26 and you’re looking for numbers 1 – 25, hold tight, I haven’t written those yet.  I just like picking random numbers for posts because they work, and I believe HR has at least 26 Dirty Little Secrets.  This is just one.  I’m not really ranking them.  Number 26 could be as bad or worse than number 1.  I’ll let you decide when they’re all done.

So, what is HR’s Dirty Little Secret #26?

“We check secondary references, without you knowing, all the time!”

First let me give you the line 100% of all HR Pros will give to you and all employees, all the time.  “We do not give references.  We will only give you employment verification, which includes dates of employment. Thank you.”

You’ve heard that, right?

One of HR’s most dirty little secrets is that we give out references all the time!!!  Especially, if you’re a terrible employee!  We just don’t do it publicly.  The Chairman of JetBlue Airlines, Joel Peterson, wrote a blog post on LinkedIn (first, I doubt highly he wrote it, but his PR team did a nice job with the series) titled “Top 10 Hiring Mistakes, #5 Lazy Reference Checking”, where he gives advice about checking secondary references.  Secondary references are those references that a candidate didn’t give you, but you have through your own connections. His advice was awful, but he’s a public figure, he had to give it.  He said you should always let the candidate know you’ll be checking secondary references so they can reach out and let those people know.

First, thanks for the tip Joel, but that never happens. Never.  Plus, why would I want to give away the one unfiltered piece of the selection process I can get!? You don’t!

Here’s reality.  If you interview for a position, you should assume that someone in the organization is checking secondary references behind your back.  It’s easy to do.  I call up a buddy who works at your current, or old organization,  we talk, catch up on our favorite teams, crazy employees we both know, etc. Then, she let’s me know if you’re a train wreck or not.  Of course, she also first says, “Tim, you know we can’t give references.” Then she says, “Off the record, your candidate is a psycho path!”  End of secondary reference.

You think I’m joking.  It happens just like that, and it happens every. single. day.

Don’t get me wrong, most of the time, the secondary reference actually comes back positive.  You get more of an unfiltered references than you get by checking the ‘given references’ a candidate provides to you as part of your process.  Given References are completely worthless.  I don’t even waste my time checking given references.  If someone can’t find three people who think they walk on water, they’ve got bigger problems.

If you’re going to do ‘given references’ because you can’t talk the old white guys in your leadership out of it, because it makes them feel all warm, fuzzy and comfortable, at least talk them into automating this process.  Chequed is a company that does it better than anyone, and it will totally take this worthless activity off your back. Plus, Chequed has shown that people who fill out an automated reference check, even a given reference, will be more honest about a person’s actual strengths and weaknesses.  I’m a fan of their science. (FYI – they didn’t pay to say that, although, they should!)

I won’t ask what HR Pros think about this, because they’ll mostly lie and say they don’t do this.  That’s why it’s my HR’s Dirty Little Secret #26.

3 Ways to Kill Comparison Interviews

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I had a great candidate interview yesterday with a client!  This person is completely money!  Close the search, game over.  Just make the offer and pay me.

Then ‘it’ happens.

Client: “Tim, we loved her!  She is perfect!  I can’t believe you guys found her!”

Me: “Awesome. Pay me!”

Client: “Well, the hiring manager would like to just see one more person so she has a comparison, before making an offer.”

Me: “You’re looking for a female Environmental Safety Engineer with an Electrical Engineering background!  I found you the only person on the planet with that profile!  You want another?!”

Client: “Yeah, we just need something to compare her to.”

Me: “Okay, I’ll send over the recruiter who found her and we’ll tell her to talk like an engineer.”

How many times have you had a hiring manager do this to you?  It sucks!  It’s hard to get them to change their mind.  Usually, what happens is it takes you weeks to find another even remotely qualified candidate, as compared to you rock star, and by then your rock star gets pissed off, or cold feet and tells you to go fly a kite!  Opportunity lost!

Comparison Interviews are garbage.  The only way to stop them, is to combat the mindset before the words even come out of the hiring managers mouth.  Here are three things you can do today to stop hiring managers from wanting to do a comparison interview:

1.  Combat the conversation by setting up another interview with another candidate before they even ask, without asking for permission.  “Hey, Jill, we have that really great candidate you liked on paper coming in Wednesday at 1pm, I also set up another candidate for 3pm who was really the next best we could find. I’ll get the paper resume to you before she shows.”

2. Create a higher sense of urgency.  “Jill, you said she’s a rock star, let’s offer now before someone else has a chance to get her before we can.  I know someone of her quality has other options, we can’t look wishy washy on this, if we want talent like this!”

3. Define what ‘great talent’ is before the interview.  Then, when you see ‘great talent’ there is no need for a comparison.  “Jill we hire great talent, that talent by our definition is great talent.  If we find more great talent, we’ll hire that as well.  What do you want me to make the offer at?”

More hires are lost to comparison interview timing, than to counter offers.  We all think we are going to lose a great candidate to counter offers, but the reality is, they don’t happen often, and recruiters have gotten good about preparing candidates for those.  Recruiters aren’t prepared for comparison interviews and the process dragging on for weeks!  The market is quickly changing from where it has been over the past 10 years.  We went almost a decade where hiring managers could take their time and drag out our process. That behavior now costs you the best talent.

Kill the comparison interview mentality now, or it’s going to kill your talent pool!

 

Apparently, It Is All About The Money!

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To have highly engaged employees who must do what?

Come on. Come on.  What have you been told for the last 10 or 20 years?

I’ll give you the synopsis:

1. Recognize solid performance

2. Provide challenging and meaningful work

3. Give frequent feedback

4. Give employees a voice in decision making

5. Flexibility

Apparently, that’s all bull shit!  From the folks who teach other companies how to become Great Places To Work, Quantum Workplace, released a study last week that show from your most engaged employee, to your least engaged employee, they really only care about one kind of recognition — MONEY!  Here’s the chart:

engagement pic

Fascinating research, check out their white paper, it’s one of the better ones I’ve read in the past five years!

Also, it looks like your personalized pleather portfolios aren’t the bang for the buck you hoped for either!   That’s alright, neither is the spin you’ve been fed the past 20 years about people getting super psyched for additional responsibility, or the annual holiday party or summer family picnic.  All the crap blows as well.  You know what doesn’t blow?  MONEY! Yeah!  So, I’m really, really the best employee, with great performance?  Great! SHOW ME THE MONEY!

Also, you leaders who think your team just wants some words of praise, motivation and encouragement?  No they don’t.  They want you to hand out $100 bills, and shut your stupid mouth!

So, why have you been told a great big lie the last 20 plus years?

Advising leadership that all they have to do is hand out more money doesn’t really sell well!  Also, most companies are horrible at pay for performance.  They are unwilling to truly pay for great performance, and kick bad performers in the teeth with nothing.  We want to reward greatness with 5% and show those bad performers how serious we are by giving them a 1% increase! Take that bad performers!

What do you think gang?  What’s is your most important form of recognition?  Are you sure?  Or, are you just telling yourself that lie?

 

 

Should You Know Your Bosses Salary?

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It’s an age-old question.  Should organizations make their salary information public in-house amongst the employees?  In a era of transparency, it’s really the one thing most people still disagree on.  The higher up the chain you go, unless your in a publicly traded company, than it’s public anyway, the less likely you’re willing to want this data to be public within your organization.  The lower you are in an organization, the more you want this information.

Why?

At its core this notion of wanting to know the salary information of those around you is all about trust.  It really speaks to the human condition, and it’s quite ironic!  The higher you go up in an organization, the less you trust those lower than you.  The lower you are, the more you trust those above you are making the right decisions.  You could argue this. Sure many people at low levels don’t ‘trust’ management.  Yet, they still show up to work each day, and grind it out for $14.23/hr.  Those at the top are making 6,7,8 figure incomes, and jump around from position to position.  Who is more trusting?

Whole Foods company shares salaries of all of their employees within their walls. You can find out the salary of anyone! From Business Insider:

Whole Foods co-CEO John Mackey introduced the policy in 1986, just six years after he co-founded the company. In the book, he explains that his initial goal was to help employees understand why some people were paid more than others. If workers understood what types of performance and achievement earned certain people more money, he figured, perhaps they would be more motivated and successful, too. 

“I’m challenged on salaries all the time,” Mackey explained. “‘How come you are paying this regional president this much, and I’m only making this much?’ I have to say, ‘because that person is more valuable. If you accomplish what this person has accomplished, I’ll pay you that, too.'”

Beyond making compensation data available to all employees, Whole Foods also has its managers post their store’s sales data each day and regional sales data each week. Once a month, Whole Foods sends each store a detailed report on profitability and sales at each of the chain’s locations. In fact, in the late 1990s the widespread availability of so much detailed financial data led the SEC to classify all of the company’s 6,500 employees as “insiders,” according to a 1996 story by Fast Company.

“Oh, Tim, but that only works at a great company like Whole Foods!”  I hear you saying!
Yeah, you’re probably right.  It takes a strong, positive culture to handle this type of information being out in the open.  It takes extremely good leadership to handle the challenges coming in from average and weak performers believing they should get what someone else is getting.  It takes a great Talent Acquisition team to hire the right people who have the maturity to work in an organization that has this much trust in their employees to handle such delicate information.   It takes co-workers trusting one another, that each one is adding value to the corporation, and respecting the value each brings.
So, should you be able to know your bosses salary?  Probably not.

Reasons To Try Stuff

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Last week I got a chance to speak at the 5th annual Michigan HR Day on Social Recruiting.  The group was great, I had fun, we gave out some Coach Bags and I made some HR ladies uncomfortable.  I don’t actually intend to speak and make anyone uncomfortable, that isn’t a long term plan of speaker success.  But it usually happens to a small number of folks.

Here’s how it normally goes:

1. I talk about how to use a social networking site like Facebook to recruit great talent.  Show them how to do it.  Show them how they can get really specific in who they are searching for by skill, gender, location, company name, Likes, etc. All really good information, and the crowd eats it up! Things are going really well for me.

2. “Um, I have a question?”  Here it comes.  You probably noticed it yourself in the line above. He said ‘gender’ didn’t he? You can’t do that mister!  I’m an HR lady. You can’t do that. Then she pulls out her HR lady badge.

3. I say, “Yeah, you can do that”, and pull out my HR Guy badge.

4. She says, “No you can not!” Like my Mom, but scarier. “If you use a program like The Facebook to recruit, you’re going to have ‘disparate impact‘!”

5. I’m a pro, I’ve been here before. So I start asking questions, like, “Do your hiring managers ever see your candidates?” Yes.  “What the difference if they see them as a candidate or as an interviewee?” Well. “If you have a hiring manager willing to discriminate, that isn’t a Facebook issue, that’s a manager issue, isn’t it?” Yes. “Do you have any set of demographics you would like to have more of in your organization, like female engineers, let’s just day?” Yes. “What are you really worried about when recruiting on Facebook?”  Silence.

We don’t try stuff, because trying stuff could cause change.  When I speak about things people haven’t tried, a very small group, no matter where I am, will immediately try to come up with reasons on why they shouldn’t try it.  Not why they should. Our initial reaction to change is to find reasons to not change.

It really has nothing to do with recruiting on Facebook.  Facebook’s own demographics will show almost a 50/50 gender mix. LinkedIn, admittedly, is heavily male dominated.  Do you recruit on LinkedIn?  Do you see pictures of potential candidates on LinkedIn?  Aren’t you, the HR department, the ones pulling potential candidates, who have been trained not to discriminate when it comes to hiring?  So, what’s really the issue?  You see, it breaks down very quickly.

We aren’t really concerned about disparate impact or being discriminatory, we concerned about this guy asking me to do something I’m not comfortable with.  I just like playing Farmville and watching so funny kitty videos on The Facebook.  Do make me feel like I should have to do work on there as well!

The problem we tend to have in HR is that we don’t find reasons to try stuff.  We are pros at finding reasons not to try stuff.  Find some reasons today to try stuff, you’ll be a better HR Pro because of it.

Tattoo Hiring

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A tattoo is basically forever.

I know, I know, you can get them removed by laser now. But most people don’t go into a tattoo proposition thinking I can’t wait to pay a couple of thousand dollars to get this removed! It’s permanent baby. Like a Sharpie, but better!

Most organizations do Tattoo Hiring.  They believe we are going to hire this person forever.  In fact, go ahead and tattoo the logo on their butt while their in orientation.   But the life cycle of most hires is similar to that of your tattoo you got on Spring Break back in 2001.

Tattoo Hires:

1. Day 1 – it’s a little painful, but your so excited to have the person on board.

2. First couple of weeks – pain has gone away, still doesn’t look right, but you can tell you’re going to love them. And you keep showing the new hire to everyone you see, that has yet to see them.

3. Years 1-3 – Tattoo Hire is awesome. You’re proud of your tattoo hire. People comment on what a great hire.  You couldn’t be more proud of your tattoo hire!

4. Somewhere past year 3 – the first Tattoo Hire went so well, what the heck, time for another Tattoo Hire!  This time we’ll go bigger and better!

5. Into Tattoo Hire #2’s first year – you begin to notice your original Tattoo Hire doesn’t look as good anymore. Isn’t performing as well. You think it might be time to change your original Tattoo Hire.  While Tattoo Hire #2 is more awesome than you can imagine!

6. Time to remove Tattoo Hire #1 – You’ve finally made the decision, Tattoo Hire #1 has to go. It’s going to cost you thousands of dollars to remove, but Tattoo Hire #1 just isn’t what you want anymore.

That’s alright you’ve got Tattoo Hire #2!  I mean what could go wrong, a Tattoo Hire is forever, right?

Organizations that hire with a Tattoo philosophy are bound to fail.  It’s not that you can’t expect, or want, employees to stay with you their entire career.  You can.  The problem we face is when we don’t set up our organizations to support forever hires.  The new tattoo always looks better, because it is usually more defined and brighter and you put more thought into it.  An employee is no different.  You can’t let a more tenured employee fade.  You must keep them vibrant and up to date.  Or, many times you will spend a ton of money replacing them.

 

Everybody Knows How To Hire

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I could argue, although many HR/Talent vendors don’t want to hear this, that hiring is still a black art.  Our reality is we, still in this day and age, have no idea how someone is actually going to perform in our environment in the position we put them in. Although, we truly believe we do know exactly how they’ll do.  Until they fail, then we blame them, not our own inept ability to select the right talent for our organizations.

I have two quotes from Seth Godin regarding expertise.  The first:

“It’s easy to pretend expertise when there is no data to contradict you.”

That’s all of us and our hiring managers who claim we are ‘great’ at hiring, yet have no concrete measures to back up this assertion.   We also allow ourselves to ignore what our data is telling us, if we don’t believe it fits the story we want to tell.  “Well, Ted is a one of our best managers, he’s been here a long time. Sure his 90 day turnover is twice as high as the next hiring manager, but that’s not Ted’s fault, he has high turnover positions.”

Here’s the other quote:

“Relying on the ignorance of a motivated audience, isn’t a long term strategy.”

These two quotes go together in my view of hiring.  Many times we allow hiring decisions to be made by very motivated people who need talent and are being pressured to get things done.  When you add these two things together, you have disaster.  Not in the short term, but in the long term.

Have you ever seen the resume of the HR Pro who tends to make it three to four years at an organization, then moves on, and on, and on?  Every three years or so? This is what happens.  Ignore data. Rely on the ignorance of a motivated audience.  Eventually it all catches up on you, and you need to go perform your black HR magic somewhere else!

Everyone knows how to hire.  Very few people know how to hire well.  The best are the ones who listen to their data, and don’t allow those incapable of hiring, to hire.  This isn’t easy.  This takes courage.  You will have some battles to fight within your organization to make this happen.  But it beats moving all of your stuff every three years.

Michigan HR Day 2014!

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Tomorrow, Wednesday April 23rd, I’ll be speaking at the 5th Annual Michigan HR Day.  What the hell is that, I assume you’re asking yourself!?  Well, five years ago, Michigan Governor, Rick Snyder (He’s the One Tough Nerd guy) and his team thought Michigan needed an HR Day, so they made one up.  Apparently, no one on his team was aware that Michigan SHRM had an annual state conference to discuss virtually the exact same things.  Now, Michigan is lucky enough to have two state conferences, one by Michigan HR Day and one by Michigan SHRM.

Michigan HR Day is actually really big.  1000 or so HR Pros from all over the state.  They keep it super cheap, like $50, and you get a full day’s worth of HRCI credits!  Maybe that One Tough Nerd guy is smart after all!

This being the fifth year, I was asked to speak.  I wasn’t asked the first four years because I wasn’t boring enough.  This year’s keynote will be given my Quicken Loans Chief People Officer, David Nachbar.  I’m actually interested in hearing him for the simple fact that Quicken Loans is like the new age Detroit sweatshop!  Stick 5,000 20 somethings into buildings in downtown Detroit selling high cost loans to people who can’t afford them, and little buy little purchase up all available real estate in the city of Detroit until you can rename the city ‘Quicken Loansville.’  Can’t wait to hear about their culture!

The lunch keynote is given by some legal person regarding the Affordable Care Act. I’ll spare you the details…

You see where this is going.

I get to bring up the rear!

I’m in the last session and doing Social Recruiting MacGyver Style, teaching HR ladies how to the Facebook and the Twitters to recruit great talent.  I’m giving out Coach Bags and Free Hugs, it’s going to be a blast.  At least once I’ll show a slide of Richard Simmons and use the word “Pimp” repeatedly when discussing LinkedIn!

Unlike SHRM, I wasn’t asked told I couldn’t swear, so I’m assuming I won’t be asked back for the 6th Annual Michigan HR day.  That means you only have one shot to come see me.  I’m on at 2:15pm, if you come and try to leave I will purposely call you out in front of the entire room.  You can follow all the happenings on the Twitters @MichiganHR or #mihrday.  I love to meet people who read the blog, so if you do come out and see me, please stop by afterwards and say ‘Hi!’

Can I Be Completely Honest?

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“Can I be completely honest with you?” is a phrase usually followed by some sh*t you don’t want to hear.  We talk about this concept a bunch in HR.  We need to tell our employees the truth about their performance.  We work to coach managers of people on how to deliver this message appropriately.  We develop complete training sessions and bring in ‘professional’ communicators to help us out on the exact phraseology we want to use.  All so we can be ‘honest’ with our employees.

Can I be completely honest with you?

No one wants you to be honest with them.

They want you to tell them this:

1. We like having you work here.

2. You’re doing a good job.

3.  You are better than most of the other employees we have.

4. We see great things coming from your development, and you’re on target for promotion.

5. Here is your annual increase.

Now, that might actually be ‘honest’ feedback for about 5% of your employees.  That means you will be saying a different version of honest to the other 95% that won’t like you being completely honest.

That is why talent management is really hard.  No piece of software will help you with this one fact.  Most people don’t like honest.  The cool part of this is that most managers don’t like to be honest. It’s uncomfortable. It causes conflict.  Most people aren’t comfortable telling someone else that they have some issues that need to be addressed, and most people don’t take that feedback appropriately.  You tell an employee they have ‘room for improvement’ and they instantly believe you told them they suck and they’re about to be fired.

So, as managers, we aren’t completely honest.  We tend to work around the truth.  The truth is we all have things we need to get better at, and it sucks to hear it out loud.  If someone tells you they welcome this feedback, they’re lying to you and themselves.  Those are usually the people who lose it the most when they are told the truth.  People who tell you they want honest feedback will believe you’re going to tell them ‘honestly’ they’re a rock star.  When you say something less than ‘rock star’ they implode.

So, what’s the honest solution to this?

Say nothing.  Set really good metrics. Metrics that show if a person is performing or not.  Make sure everyone understands those metrics.  Then, when the employee wants feedback, set down the metrics in front of them, and shut up.  Don’t be the first to talk.  The employee will give you some honest feedback if you wait.  Which will open the door to agree or disagree? Otherwise, you’re just working on subjective.  Subjective and honest don’t go well together.

But, you knew that. I really like having you stop by and read this.  You do a great job at your job. You’re certainly better than all those other readers who stop by and read this.  I’m sure you’re on your way up!