Celebrating Labor

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To many Americans, Labor Day is the last day of a fun-filled three-day weekend that marks the official end of summer and the beginning of fall. It’s a day spent with family and friends having backyard barbecues, pool time and end-of-summer short getaways.

But there’s an interesting history behind the national holiday, one that people rarely discuss at the backyard BBQ, and it has played an important role in how people live and work today.

During the late 19th century, many American workers had to endure labor intensive 12-hour workdays, often with poor pay and unsafe working environments. Children were also put to work, sometimes as young as six to seven years old. Children, but also adults, felt hopeless in many instances and did not believe that they had a choice. Over the years, trade and labor movements worked to institute reforms in the working hours and conditions.

On September 5, 1882, between 10,000 and 20,000 people marched down the streets of New York City, carrying flags, badges and musical instruments, according to the DOL. Even more people joined at the giant picnic that marked the end.

Beginning in 1885, individual states began considering legislation recognizing Labor Day as a holiday, DOL said. By 1894, 31 states had made it law. On June 28, 1884, Congress made the first Monday in September a legal, national holiday known as Labor Day.

We feel like we have come a very long way since 1882, 136 years in our history of the United States has elapsed.  Certainly, we have made great strides in abolishing child labor. We far better understand the implications of a good education.  We have made strides as well in improving the physical working conditions. Many of us reading this are not working in hard labor jobs, we feel safe, we are not working in sweatshops.  We sit in air-conditioned offices and toil away at our desks.

Have we made strides though in celebrating labor?  To celebrate something means that you enjoy it, look forward to it, get satisfaction from it.  We celebrate Birthdays and weddings and anniversaries, the events and their remembrances that have significance to us in a positive way.  And yet, how many people do you know who don’t want to retire, whose work provides real meaning in their lives, who have the opportunity to create and to offer the best of themselves to others each and every day, who enjoy getting up in the morning and look forward to what the day holds?  Sadly, I know very few. The vast majority are starting countdowns to retirement that may last years or even decades longer than they planned. Instead of living the life of their dreams through what they can contribute at work, they are putting that life on hold for a future that may or may not exist.  

We owe it to ourselves, now that we do have a choice, and those that we work with to take the responsibility to bring our best selves to work and to pursue it with meaning.  To be proud of the difference we make and the ways in which we contribute. If we can’t do that, we owe it to ourselves to be brave enough to do something different. I think that would be the best way to celebrate labor.

Sensationalism in the Workplace

Usually when we hear the word “sensationalism” our thoughts immediately turn to some form of media coverage be it through the internet, TV, or radio.  The news is often blamed for sensationalism. Wikipedia suggests “Sensationalism is a type of editorial bias in mass media in which events and topics in news stories and pieces are overhyped to present biased impressions on events, which may cause a manipulation to the truth of a story. Sensationalism may have reporting about generally insignificant matters and events that do not influence overall society and biased presentations of newsworthy topics in a trivial or tabloid manner contrary to the standards of professional journalism.” However, are we often guilty of the same type of sensationalism in the workplace?

In the workplace, it is likely that the same motivations are at play, minus the advertisers’ dollars perhaps. People probably sensationalize in order to attract attention, promote an agenda, or distract from an issue.

To Attract Attention

There are two primary reasons that people feel the need to attract attention to themselves:

Lack of self worth can be a cause for attention seeking behavior. Some people think that they are overlooked and so they think that the only solution to restore their balance is to bring back the lost attention. The attention they will get in this case will provide them with reassurance and will help them think that they are worthy.

Arrogant & overconfident people may seek attention because they have the feeling that they deserve to be in the center of attention. Because they aren’t mature enough they still think with their inner child’s mentality which makes them believe that they are the center of the world.

To Promote an Agenda

People often feel if they can appeal to the emotions of others, instead of having to put in the hard work of creating a case using data, that they can push their ideas through.  This approach is often used in combination with the desire to distract from real issues

Distract from an Issue

In most circumstances, sensationalism is used to distract from or deflect the real issue.  It is created to serve a small subset of the population, or, in the worst cases, only the person creating the sensationalism.   When someone starts asking logical questions, asking for data to back up the accusations, it falls apart quickly and the person will respond with additional emotion or accuse you of not wanting to deal with the problem.  Staying calm and continuing your quest for the data is usually the best approach.

Sensationalism in the workplace is driven by hidden agendas, self-serving  scenarios and egos. Let’s make sure we approach discussions with open agendas, data based decisions and a calm demeanor.

Locus of Control

Most recently I heard Locus of Control referenced on an episode of Bull I was half watching on my way to Tampa.  The question he posed to prospective jurors was “Why do you catch a cold?”. Those with an external locus of control answered “ because I was exposed to germs” or something along those lines.  Those with an internal locus of control answered “Because I let myself get run down”. You can quickly discern the difference. One believes things happen to them and the other believes they are in control and they make or allow things to happen

Locus of control is a psychological concept that refers to how strongly people believe that they have control over the situations and experiences that affect their lives. A person with an internal locus of control believes that he or she can influence events and their outcomes, while someone with an external locus of control blames outside forces for everything.  Infrequently does anyone fall exclusively in one category or the other. Most people fall on a continuum somewhere between the two

Your locus of control can influence not only how you respond to the events that happen in your life, but also your motivation to take action. If you believe that you hold the keys to your fate, you are more likely to take action to change your situation when needed. If on the other hand, you believe that the outcome is out of your hands, you may be less likely to work toward change.

Think about that for a minute in terms of your workforce:

Those With an Internal Locus of Control

  • Are more likely to take responsibility for their actions
  • Tend to be less influenced by the opinions of other people
  • Often do better at tasks when they are allowed to work at their own pace
  • Usually, have a strong sense of self-efficacy
  • Tend to work hard to achieve the things they want
  • Feel confident in the face of challenges
  • Tend to be physically healthier
  • Report being happier and more independent
  • Often achieve greater success in the workplace

Those With an External Locus of Control

  • Blame outside forces for their circumstances
  • Often credit luck or chance for any successes
  • Don’t believe that they can change their situation through their own efforts
  • Frequently feel hopeless or powerless in the face of difficult situations
  • Are more prone to experiencing learned helplessness

Which set of characteristics do you believe yield more motivated and productive employees?  Perhaps we should add to our long list of questions during interviews, “Why do you catch a cold?”

The Workplace Bully

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The word bully conjures up many images.  Perhaps, an elementary or middle school playground and physical intimidation. Maybe, in the technological age in which we live, bullies, the cowards they are, hiding behind social media and conducting their campaigns with anonymity but no less vengeance.  Seldom, though, when we hear the word bully, do our thoughts turn immediately to the workplace. And yet, bullies exist in the workplace as well. These bullies are a bit more calculating than their schoolyard counterparts. Not often will you find a workplace bully who comes up and pushes you to ground.  Instead, these types of bullies take great care to plant the seeds that they hope will 1) lead you to fall in line with their own selfish initiatives or 2) lead to your demise.

The most effective bullies employ a skillful blend of charm and aggression that can carry them to the top of their profession.  The below are the basics of how most bullies operate:

Intimidates through verbal aggression and spreads rumors

This verbal aggression could be directed at you in an angry voice but could also be something more insidious said about you that is intended to plant a seed of doubt in someone’s mind.  Bullies will often use words such as “obviously” and “you can’t possibly think…” to undermine your credibility and have you second guessing yourself.

Play Mind Games to distort the thinking of others

They keep people off-balance through half-truths, hearsay and misstatements. Their distorted version of events is intended to obscure and confuse the truth.  The only truth the bully is interested in is their own that will further their personal initiatives.

Blames Others

It is a very rare bully that will utter the words “I was wrong”.  In their mind, it is always someone else’s fault and there is no one quicker to point it out than a workplace bully.  They will often claim that they understood all along that the path being pursued was incorrect.

Disguises their true intentions

A bully puts on a good act to gain your trust and respect. They never reveal their true intentions, which are self-serving and at most times harmful to others. They conceal their innermost attitudes and emotions, which are self-absorbed and disrespectful of others. They maintain an image of strength, vision and leadership, and thus avoid exposing their underhanded, manipulative nature.

Pretends to Care

The bully will pretend to care about the employees and the workplace, but their actions will speak louder than words.  The bully will make suggestions and want you to carry out actions that are not in line with a strong employee culture built on trust.

Bullies have no place whether it be on the playground, on social media or in the workplace.  It is imperative that Human Resources be vigilant in identifying and addressing bullying behavior before the ramifications of high turnover or stress related disabilities start to take their toll.

The Employee Experience

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There are a multitude of ways, and just as many reasons,  to design a positive and unique employee experience. Developing a strategy to create an employee experience should takes into account the physical environment your employees work in, the tools and technologies that enable their productivity and learning to achieve their best at work. All of this is part of continuously evolving our employee capabilities. The Future Workplace and Beyond.com study entitled “The Active Job Seeker Dilemma” found that 83% of HR leaders said “employee experience” is either important or very important to their organization’s success, and they are investing more in training (56%), improving their work spaces (51%), and giving more rewards (47%). 

Companies are also forced to focus on creating a compelling employee experience as the war for talent heats up. With unemployment rates at less than 2% for 25+ year olds with college degrees, the experience you are offering becomes more important than ever.  Mercer predicts that 90% of employers anticipate more competition for talent, especially in India, North America and Asia. So, making the workplace an experience allows companies to embed their culture and values in the workplace and use this to their advantage.

Branding

Define your employment brand. Just like a company brand that helps customers understand who you are, how you act, and how you differentiate, companies also have an employment brand, whether it is conscious or not. It’s best if your employment brand is created consciously. Define your employee brand and deliver on your promise. Be sure that if your recruiters are promising a fun-filled work environment, the new employees won’t find drudgery and old technology awaiting them.

Work Space design

Most workplaces are “designed mostly for extroverts and their need for lots of stimulation.” Introverts are highly talented individuals with a very different set of needs and characteristics. So, companies should ask, “How can we accommodate both our introverts and our extroverts in our work spaces?”  Spaces should be designed to allow employees a choice of where and how they work. Some may choose high cube walls, where they can recoup form the pressures of interacting with others all day. Others may choose a very open environment where they are bombarded by noise, chatter and stimulation.  Both types of employees have much to offer but will be more highly engaged if allowed to meet their individual needs.

Free to Share

Gallup’s data revealed that just three in 10 U.S. workers strongly agree that at work, their opinions seem to count and matter. However, they found that by moving that ratio to six in 10 employees, organizations could realize a 27% reduction in turnover, a 40% reduction in safety incidents and a 12% increase in productivity.  Reason enough to conduct regular Pulse Surveys on a variety of topics, ensuring that you feed back the results and the follow up action plan.

 

Trust in Leadership

Little else matters to employees if they don’t trust their leadership and the leadership of the company.  In the old adage “actions speak louder than words” we need to say what we do and do what we say. Trust is built a little at a time over a long period of time yet can be destroyed very rapidly.  Employees know when you truly care about them and their lives in and out of work.

There is no magic to creating an employee experience.  It’s all about understanding what your employees want and need and then finding a way to consistently deliver.

Predictive Analytics in Human Resources

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Unemployment rates across the nation are at 3.9%, the lowest we have seen since 1969. Unemployment rates in the college degreed 25+ age group are even lower hovering around 2.1%.  In this kind of an economic environment, it becomes critically important that we can retain our good employees and attract the kind of talent that can ensure we stay ahead of the competition.  The question is HOW??

Enter the world of Predictive Analytics. It is, at its core, a technology that learns from existing data and uses this to forecast individual behavior. This means that predictions are very specific.  Instead of predicting turnover as an aggregate number for the end of the year, using PA, we can stat to predict which employees have a greater chance of turning over. Predictive analytics involves using a set of various statistical (data mining) techniques used to predict uncertain outcomes.

People analytics today brings together HR and business data from different parts of the business and is now addressing a wide range of challenges: analyzing flight risk, selecting high-performing job applicants, identifying characteristics of high-performing sales and service teams, predicting compliance risks, analyzing engagement and culture, and identifying high-value career paths and leadership candidates.

To put theory into practice, we first need to gather clean data.   This may prove more difficult than you originally thought but stick with it.  You need to identify as many variables as possible. Think of basic pieces of information like homes address, to calculate driving time and distance to work, gender and pay grade and comparatio.  Think also about collecting more obscure data like number of vacation hours or sick time used, personality or behavioral assessments and whether or not they elect health insurance through your company.  You are looking for any data where you would find a stronger correlation between that variable, or set of variables, and employees who terminate versus employees whom you retain. Once you have designed the algorithm, it will be time to put it to the test.  Give yourself at least 6 months to collect data and test the validity of the algorithm.

Although 79% of organizations consider people analytics to be an important trend, according to Deloitte’s Global Human Capital Trends (2016) report, only 8 % of the organizations had this capability in 2015.  It is one of the best tools we have for bringing HR out of the emotional, gut feel realm and into the world of  data based decision making, yielding quantifiable and sustainable results.

Behavioral and Cognitive Assessments

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Following up on last week’s article where we learned that the best predictors of future job performance are cognitive assessments and behavioral interviews, there are multiple tools that have been developed to accomplish both.  One of the best I have personally used is Predictive Index- a Behavioral Assessment tool that has recently added a validated Cognitive Assessment portion.

The Behavioral Assessment

This portion is broken down into four categories, as many of these types of tools are.  They categorize individuals based on their tendencies in the categories of Dominance, Extroversion, Patience and Formality.  The PI is most beneficial when combined with the job profile. Each manager should complete the job profile prior to beginning recruitment for the position.  As each candidate completes the PI, their profile is compared and contrasted with the job profile and a list of behavioral questions are generated for any area where there is not a match.  This is a perfect set of questions to forward and assign to your interviewers.  This serves three purposes.

1) it ensures that each category where there might be a concern is covered by someone

2) it prevents the candidate from being asked all the same basic questions over and over

3) we all have a tendency to want to hire people just like us which may or may not be the best choice for each position

This approach forces us to interview and make decisions based on the merit of the individual candidate.

 

The Cognitive Assessment

This is not your typical IQ test, which, oddly enough, are not particularly well correlated with job success. This is a online survey measuring the many dimensions of human cognitive abilities based on verbal, numerical and visual reasoning. It is a balanced mix of 50 multiple choice question of various types and difficulty levels which are all designed to address the perception and processing skills of the candidate or employee.   Pace of learning is strongly associated with successful on-the-job performance making it an integral part of any recruitment process. Higher scores do not imply higher levels of intelligence simply certain ranges are more suited for certain jobs. Making sure you have the best idea of your candidate’s learning capabilities and their ability to adapt to changes help you to streamline the selection, on-boarding and training of a new employee or manager.

Combined, these are good predictors of success on the job.  The challenge is deciding which of your jobs need what level of cognitive capability.  Not all positions require someone in the top 10% or, to be honest, even the top 30%. Once you have the benchmarks identified, some of the validation is simply collecting the data.  Did you decide that the Accountant needed to be in the top 30%, but a number of the Accountants you have hired are not wildly successful? Perhaps you need to adjust it to look for those in the top 20%.

Combined, these approaches are significantly more effective than the typical “So, tell me about yourself” interview.  

 

Should we hit the Easy Button?

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It’s a question worth pondering.  Is easy indeed always better? The fast, intuitive response might be a resounding “YES”, but given more thought would you change your mind?  While easy gets the job done, does it leave us with the same level and sense of satisfaction of overcoming a challenge, something that was hard, something that, because it didn’t kill us, made is stronger?  Do we need to feel a sense of accomplishment at overcoming something that was not easy, in order to grow as human beings?

In the words of Margaret Thatcher “Look at a day when you are supremely satisfied at the end. It’s not a day when you lounge around doing nothing; it’s a day you’ve had everything to do and you’ve done it.”  And, I might add, exceedingly well in spite of it being exceedingly hard.

Perhaps that is because the level of accomplishment that leads to success and promotes self-esteem requires that you do estimable things.  Taking the easy way out does not result in these feelings and does nothing to further predict your ability to undertake great endeavors in the future.  This is part of the reason that colleges would rather see a student who takes Calculus and gets a “C” than a student who takes Pottery and gets an “A”. It is because undertaking something that is hard is a better predictor of success than simply achieving something easy.  

A look at accomplished individuals who regularly win awards and medals shows that they are driven by the effort rather than the result. It is the striving rather than the reward that is long-lived.  The striving, the risk taking, the hard won spoils of war are what build self-esteem, not the awards and trophies that are handed out to both teams, win or lose. 

Self-esteem feels good because it calls on the emotion of pride. Pride in turn arises from one’s sense of confidence and capability. Esteem and related emotions instill a sense of success and the confidence that you can accomplish whatever you set out to do.

So, are we cheating ourselves when we take the easy way out?  When we cut corners just to get to the result faster? Are we telling our selves that the result is all that matters?  I think “yes”. I think striving to do our absolute best against formidable odds, even if we take a few missteps along the way, is better than taking the easy way out.  It yields accomplishment rather than simply achievement, it builds self-confidence, and it forms a habit that is a predictor of success for the rest of your life

The Case for Transparent Compensation Practices

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Years ago you could find policies written in Employee Handbooks threatening termination if you were to speak to another employee about your salary or bonus.  The whole process was hush hush and no one really understood how salary increases or job worth was calculated.  Only the select few could afford the salary surveys that were published annually.  Gone are those days.  Salary surveys for your industry, revenue size, employee size and market are now only a click away.  Compensation is finally coming out of the black box and into the light.  So why should you subscribe to this new trend?

 

It’s the Law

Perhaps the most basic reason is that it’s the law.  Employers can no longer prohibit employees from openly discussing their salaries and bonuses or threaten them with termination for doing so. The NLRB specifically ruled “You cannot forbid employees – either verbally or in written policy – from discussing salaries or other job conditions among themselves. Discussing salaries is considered a “protected concerted activity” by the NLRB and it’s protected regardless of whether employees are talking to each other in person or through social media.”

 

Takes it out of the realm of mystery

There are a myriad of other reasons that you shouldn’t prevent employees from understanding their own salaries and others.  One of those, is that it shouldn’t be a mystery. Employees should understand that creating salary structures is a science based on market data.

 

Encourages well thought out salary ranges and structures

Once you know that you aren’t the only one looking at and depending on the salary structures to make hiring decisions, give increases and calculate promotions, it behooves you to take an extra hard look at your structures.  Could you defend them to the outside world?  Are they updated?  Have you properly defined your market?  Does the work force slot in where they should with no one falling below the minimum and only a few over the top?

 

Defocuses people on pay disparities

Employees can spend an alarming amount of time thinking about pay and whether they are compensated fairly to both the market and the person sitting next to them.  Being transparent about you pay practices puts people at ease.  They trust that they are paid fairly because they understand the process and have full access to the data.

 

Better management of promotional opportunities

Employees will frequently bid on jobs without have any concept of whether the job they are bidding on is actually above or below their current job in terms of salary grades.  By allowing employees to have access to the structures, you decrease the number of bids you get for jobs that, once the employee finds out it is a decrease in pay, is no longer interested.  

 

There are many reasons to run a more transparent compensation practice, but perhaps the biggest is trust.  When you are trying to build a culture of trust, it is significantly easier when you are open and willing to answer the questions your employees have.

 

Technology Startups and the Case for HR Leaders

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Technology start-ups may not be on every corner these days, but depending on your location, they are still prevalent.   The economy is doing well, the DOW crested 26,000 and the VC community has money to spend and to invest in promising series A startups. Entrepreneurs and founders who are fortunate enough to pitch an idea and retain an investment go about the arduous process of actually building a team to grow the business. They strive to build a team of dynamic, qualified and adaptable people. However, the labor market is tight and there is a significant amount of competition for these individuals.  The best and the brightest.  And not only do they have to attract them, they have to retain them.

Few startup companies have the resources or the desire to invest in a senior level Human Resources.  They are normally very focused on hiring the development team and maybe a Operations or Marketing resource, but almost never HR.  Below are a few reasons it makes sense, however, to consider a senior level HR resource, whether regular employee or consultant, earlier rather than later

 

Entrepreneurs and developers often lack the experience handling people 

Tech tends to attract a very young workforce and it’s not unusual to find an average age in the late 20’s to early 30’s.  They lack experience in hiring, training, and retaining people. This is a skill set possessed by seasoned HR leaders who are experienced in multiple industries. An HR resource can ensure that you bring the best talent on board and that you retain that talent through the critical phases.  Nothing halts a software company faster than losing their lead architect.

 

Business Strategies

As new age-ish as it sounds, it is important to develop vision and mission statements focusing on the company’s core philosophies up front.  Getting everyone aligned and moving in the same direction is critical to getting out in front of the competition. An experienced HR leader who has experience synchronizing the overall organizational goals can be of great help in formulating strong business strategies. 

 

Neutral Third Party

It is not unusual to run into divergent views in a startup.  How to execute a business plan, which direction to go, how much money to spend on what are all potential pitfalls.  A neutral HR leader will be able to organize a meeting of the minds and prevent valuable time from being wasted arguing about who is right. 

 

Keep the energy up

HR leaders should be responsible for energizing the organization.  Providing ways for employees to stay engaged, whether it be all night hack-a-thons, nerf gun wars or contest.  It’s easy to be energized in the beginning before the product or process hits multiple snags, but in order to be successful and come to the other side, you need someone to keep that energy flowing right through a profitable exit or IPO.

Although it sounds cliché, people are truly any organizations biggest asset and getting it right from the start will pay huge dividends in the end.  An experienced HR leader, as an employee or consultant, can save startup organizations from a multitude of woes from expensive hiring and firing mistakes, to poor retention to lack of management of change initiatives.