5 Reasons Why HR Technology Matters Now More Than Ever

As employment laws continue to grow and expand across the U.S., it has become clear that cumbersome spreadsheets just won’t cut it when it comes to compliance. HR teams are increasingly turning to technology solutions to ensure their companies are on top of the latest developments in employment law.

Below, we will examine five reasons why HR tech matters now more than ever.

1. Spreadsheets Aren’t Ideal

Many businesses have traditionally turn to spreadsheets to list and catalog various aspects of employment law. But this process is going by the wayside for several reasons.

When was the spreadsheet updated? Was that information correct? Are multiple people working on the same document?

Take labor law posters, for example. Jurisdictions will often issue updated postings for small items, such as changes to verbiage or contact information. These updates can often go unnoticed, leaving locations with out-of-date posters. More and more, large companies rely on labor law poster vendors whose expertise ensures posters are accurate, automating the process and giving HR pros more time to deal with other matters. And adding a layer of risk protection.

Plus, even if you receive delivery confirmation, are you certain your location manager displayed the poster? Are you sure it’s the most up-to-date version? QR code technology has helped solve one level of this problem for HR teams.

Another example would be minimum wage management. There is a mall in California that straddles two different cities. Does your payroll team know where in the mall your store is located? An address on a spreadsheet might not be enough. Do you know when a city updated its minimum wage based on the Consumer Price Index? Modern minimum wage solutions can clear up a lot of these problems for HR professionals.

Whether you’re tracking required harassment training, paid leave by location, pre-employment marijuana laws or something else, spreadsheets can only tell you so much — and never in real time.

2. Volume

Another reason technology plays a bigger role in HR than years past? Sheer volume.

Over the past three years, there have been nearly 800 state labor law posting updates, with the most common topics being minimum wage, paid sick leave and human trafficking.

On the minimum wage front, the beginning of 2019 saw 23 cities and counties with minimum wage rate updates. This past July, there were 54.

Keeping up with these changes has added to the workload of many HR teams. And with the federal minimum wage static for more than 10 years, smaller jurisdictions will likely continue to craft their own rates to stay competitive.

Plus, the coronavirus pandemic has spawned dozens of emergency paid leave laws, each with their own vagaries and regulations. Which brings us to our next point.

3. Navigating Complexity

One major employment law development of late has been the proliferation of paid leave laws.

Paid leave legislation generally contains many more levels of complexity compared to other facets of employment law.

Reasons for use, covered family members, accrual rates, job protection rules, recordkeeping requirements… it’s enough to make your head swim.

In response, HR technology has evolved to include paid leave management solutions, which eliminate guesswork and help you navigate these laws.

Paid sick leave, paid family and medical leave, paid leave for any reason — an HR team has to have a handle on these laws, understand how they interact and ensure compliance. This makes emerging technology vital to how HR professionals operate.

4. Saving Time and Money

What’s the bottom line for new technologies assisting HR teams? Saving time and money.

An HR pro has plenty to deal with:

• Compliance
• Benefits
• Payroll
• Training
• Employee relations
• Change management
• Hiring
• Compensation

Having strong tech integration with these responsibilities — be it artificial intelligence, minimum wage management and more — helps you focus your energy where it’s most needed.

Also, utilizing technology to ensure compliance ensures you are giving employees their proper benefits, which could help avert complaints or potential lawsuits.

5. Peace of Mind

Finally, we know technology has made life easier for people in a number of ways. HR is no different.

As COVID-19 has placed added pressure on businesses across the U.S., technology can help solve many of the recurring job functions of HR teams.

The pandemic has also put an added emphasis on employment law. And companies’ reputations are increasingly reflected in how employees are treated. Integrating technology helps ensure compliance, free up valuable time and provide peace of mind for HR.

This Employment Law News blog is intended for market awareness only, it is not to be used for legal advice or counsel.