HR Workforce Solutions
By Nonprofits, For Nonprofits
Question: We have an employee claiming they shouldn’t be classified as exempt from overtime. If it turns out they’re right, what are the penalties for misclassification?
Answer: The cost of misclassification can be steep and will depend on several factors, such as how many employees are misclassified, how much extra money they would have been paid if properly classified, how the misclassification is discovered, and how your employees react to it.
Generally, if an employee goes to the federal Department of Labor and says they have been misclassified, the DOL will investigate, and they will very likely look at all your employee classifications. Any employee who the DOL determines should have been paid overtime in the last two years will be found to have been underpaid, and the organization will owe that money to the employee now (or three years’ worth if the misclassification is found to be “willful”). The organization will also owe them liquidated damages equal to the amount of money owed. So, if an employee should have been paid $2,000 in overtime, the organization will owe them $4,000. The organization will also owe taxes on those wages and interest on those taxes.
Additionally, many states have their own overtime laws, and in most cases the organization can be held liable under both federal and state law, meaning not only would the employee be owed double under the FLSA, but also any liquidated damages under state law (which could easily triple the original amount). And if you are in a state with late payment penalties, you could owe up to 30 days’ worth of the employee’s pay on top of the already discussed damages. There’s also a very good chance the organization will be held liable for any related attorney’s fees–both your own and the employee’s.
Finally, there are potential federal civil penalties of $2,050 per violation (generally one penalty per misclassified employee), state penalties (which will vary), and in some cases the potential for jail time. As soon as judgment is rendered in favor of the employee, statutory interest will begin to accrue on the amount owed–generally 10% per year.
This Q&A does not constitute legal advice and does not address state or local law.
This Q&A was provided by Mineral, powering the UST HR Workplace. Have HR questions? Sign your nonprofit up for a FREE 60-day trial here. As a UST member, simply log into your Mineral portal to access live HR certified consultants, 300+ on-demand training courses, an extensive compliance library, and more.
Question: How do we know when an employee is ready for a leadership role?
Answer: It’s good you’re thinking about this. Promotions into leadership too often come with little discussion about how the leadership role will be different from the current role or whether the employee has the interest or skill set to be an effective leader.
Fortunately, there are indicators that someone is likely ready for a leadership role. These include (among other traits) their ability to communicate effectively, inspire and motivate others, resolve conflicts while minimizing drama, adapt to change, and take accountability for the work of their team.
If there’s an employee you’d like to promote, but they haven’t expressed an interest in a leadership role, schedule a meeting with them to talk about the idea. Share why you feel they are ready for the role and what it means to be a leader within your organization. Ask about their career goals and how they would like to advance within the organization. Let the employee know how you can support them with these goals, whether or not they move into a leadership track.
If the employee is interested in leadership, provide them a clear picture of the responsibilities and the training and guidance they’ll receive as they move into the new role. Most employees who are new to leadership will need extra support as they transition into a position of greater responsibility.
This Q&A does not constitute legal advice and does not address state or local law.
This Q&A was provided by Mineral, powering the UST HR Workplace. Have HR questions? Sign your nonprofit up for a FREE 60-day trial here. As a UST member, simply log into your Mineral portal to access live HR certified consultants, 300+ on-demand training courses, an extensive compliance library, and more.
Hiring for a nonprofit organization comes with its own set of challenges. With smaller budgets, limited resources, and a competitive market, nonprofits need to think creatively to attract top-tier talent. It’s not just about finding the right strategies—it’s about optimizing the recruiting process to connect with candidates who align with your mission and values. From leveraging digital tools to tapping into mission-driven networks, here are some unconventional hiring strategies, coupled with search optimization tactics, that nonprofits can use to build a passionate and diverse workforce.
1) Leverage Social Media Platforms
Social media can do more than just promote your programs. It can be a powerful tool for connecting with mission-aligned individuals when recruiting. Platforms like LinkedIn, Facebook, and even Instagram can help share your organization’s story, showcase its impact, and promote job openings. Posting about your organization’s culture and mission or creating employee spotlights to share on social media will engage potential candidates. This approach not only attracts talent but also creates a sense of community and interest around your organization.
2) Recruit on Nonprofit Job Platforms and Forums
Traditional job search platforms have their place, but for hiring in the nonprofit sector, explore specialized platforms such as Idealist, Work for Good, or Bridgespan. Additionally, LinkedIn offers nonprofit and volunteer-focused groups to reach professionals seeking purpose-driven work. These job boards, forums, and networks cater specifically to a talent pool that is already aligned to the mission of nonprofit organizations.
3) Host Mission-Driven Networking Events
Networking events specifically designed for those interested in nonprofit work are an excellent way to meet potential candidates in a more personal setting. These events are good for meeting potential volunteers or employees. Networking events can be something more than the typical “Meet and Greet” format. Interactive workshops and panel discussions will give interested candidates the opportunity to hear from nonprofit leaders about the everyday running of and involvement in their organization. A volunteer recruitment fair is a good way to attract volunteers and identify potential hires informally. Networking events help create an environment where candidates can engage with the organization’s mission, allowing nonprofits to connect with individuals who share their values.
4) Partner with Local Colleges and Universities
Universities and colleges often have untapped potential for recruitment. While using college job boards is one common strategy, take it a step further by creating direct partnerships with academic departments or student organizations. Connect with student groups focused on social causes, public administration, or environmental studies to share internship and job opportunities. Offer guest lectures or workshops in relevant classes, where your nonprofit can be presented as an ideal employer for socially-conscious graduates. These partnerships help position your nonprofit as a destination for students who want to launch their careers in a meaningful way.
5) Focus on Culture and Employee Value Proposition
Working at a nonprofit offers a unique organizational culture that attracts many job candidates due to the positive impact the organization makes. To draw top talent, highlight the benefits of being part of a mission-driven organization. Your recruitment materials should showcase what makes your nonprofit a rewarding place to work. Emphasize flexible work arrangements, opportunities for professional growth, and the chance to make a tangible impact. You can also incorporate testimonials from current employees about their love for working at your nonprofit, as these can be highly motivating for potential applicants. Clearly define your Employee Value Proposition (EVP) in job postings and on your website. In today’s world, where people increasingly seek meaningful work, a compelling culture can be a significant recruitment advantage.
6) Hiring For a More Diverse Workforce
A diverse workforce introduces fresh perspectives and creativity while fostering a deeper understanding of various communities. This enriches an organization and enhances its capacity to achieve its mission effectively. There are many job boards and platforms dedicated to connecting diverse candidates with employers who value inclusion. These platforms will broaden your recruitment reach to connect with candidates from diverse backgrounds. Some of those boards are DiversityJobs, Workforce Diversity Network, Jopwell, and PowerToFly. To attract diverse candidates, use engaging hashtags like #DiversityHiring or #WomenInNonprofits when posting about open positions on social media. For college recruiting, consider partnering with Historically Black Colleges and Universities (HBCUs), Hispanic-Serving Institutions (HSIs), and Tribal Colleges to broaden your reach and connect with talented students.
Recruiting for nonprofits demands creativity and a readiness to explore non-traditional avenues. By harnessing the power of social media, connecting with universities and diversity-focused job boards, and cultivating community relationships, nonprofits can draw in diverse, motivated talent. This approach builds a team that genuinely represents and advocates for the communities served.
Hiring the right candidates is just the beginning of the employment journey. UST HR Workplace is here to make it easier for nonprofits to get the support they need. Sign up now for UST’s Free 60-day HR Trial and enjoy access to our live HR certified consultants, over 300 on-demand training courses and an extensive compliance library with UST membership. Enjoy the beneficial insights and various resources that help empower you with the right tools and training to take better care of your team once your candidate says yes to their offer letter.
Sources:
The Power Of Social Media In Recruiting (forbes.com)
12 Innovative Recruiting Strategies That Savvy Companies are Using (linkedin.com)
14 Recruitment Strategies to Attract Best Talent in 2024
Employee Value Proposition (EVP): All You Need to Know in 2024 (aihr.com)
Question: It seems like we’ve had a lot of candidates ghosting us recently. Is there anything we can do to prevent this?
Answer: Nothing you do will prevent ghosting altogether, but there are steps you can take to keep candidates engaged and discourage them from just disappearing on you:
This Q&A does not constitute legal advice and does not address state or local law.
This Q&A was provided by Mineral, powering the UST HR Workplace. Have HR questions? Sign your nonprofit up for a FREE 60-day trial here. As a UST member, simply log into your Mineral portal to access live HR certified consultants, 300+ on-demand training courses, an extensive compliance library, and more.
Ever since the Great Resignation reared its head in 2021, nonprofits have been struggling to recruit and retain staff. The nonprofit sector thrives on passion and purpose. Employees dedicate their time and energy to causes they care about and are often driven by a desire to make a difference. However, passion alone isn’t enough to sustain long-term commitment or satisfaction in their roles. Just like their counterparts in the for-profit world, opportunities for growth and development help nonprofit employees stay engaged, feel valued, and continue to contribute at a high level.
On the surface, employee development is straightforward: Train employees to improve their existing skillset and build new skills on top of that. But there are benefits beyond training. Employee development is also a way to maintain the success of organizations for the future. As organizations continue to grow, or as Baby Boomers retire and leave, existing employees are the key to keeping organizations stable and engaged in their communities.
There are multiple benefits that can result from creating an organization that prioritizes employee development.
The 2024 Workplace Learning Report from LinkedIn Learning notes that providing learning and development opportunities is the number one retention strategy executives planned to implement in 2024, with studies showing that companies with a learning culture have a 57% higher retention rate than companies that don’t. There are several ways to develop talent among your existing pool of employees. Some of the most impactful forms of employee development are free or cost little to provide – which is a plus for nonprofits which oftentimes have limited funds for training and development.
There are many ways to add to and advance the skillsets of employees—thereby having a long-lasting impact on your workforce and the long term success of your nonprofit.
Whether it’s through formal training programs, mentorship or leadership development, nonprofits can create a culture that prioritizes the growth and development of their staff. The long term benefits of encouraging development will ultimately benefit the organization through employee satisfaction, retention, and organizational success. Investing in people is investing in the future of the nonprofit itself.
UST understands that employee retention is critical in helping nonprofits achieve their missions. Leveraging the right strategies and building skill sets helps nonprofits retain engaged employees which leads to a more successful mission. For more ideas on ways to up-skill your valued employees, take advantage of UST’s Free 60-day HR Trial. UST HR Workplace is a dynamic cloud-based platform offering HR tools, templates, and trainings.
Sources:
How Professional Development Can Boost Employee Engagement – Wharton Online (upenn.edu)
https://learning.linkedin.com/resources/workplace-learning-report
https://ditasolutions.com/articles/the-role-of-training-in-employee-engagement-and-retention
Question: We would like to add a working interview to our selection process. Is this permitted and are there other options to help us finalize our selection?
Answer: Yes, you can have a working interview as part of your selection process, but there’s a big caveat. If you have the candidate do “real work” that is useful to your business, you’ll need to hire them as a temporary employee, have them complete new hire paperwork, pay them at least the minimum wage, and then jump through any termination hoops if you don’t hire them. You can’t lawfully classify them as an independent contractor for this purpose. Here are a few more things keep in mind:
If you’d prefer to avoid the hassle of hiring candidates as temporary employees, there are alternatives that can yield similar results. Here are two we recommend:
This Q&A does not constitute legal advice and does not address state or local law.
This Q&A was provided by Mineral, powering the UST HR Workplace. Have HR questions? Sign your nonprofit up for a FREE 60-day trial here. As a UST member, simply log into your Mineral portal to access live HR certified consultants, 300+ on-demand training courses, an extensive compliance library, and more.
It’s no secret that many employees are thinking about changing jobs these days. In fact, research from Microsoft and LinkedIn says that almost half of American workers are considering a switch to a new job in 2024. That’s even higher than the numbers seen during the “Great Resignation” during 2022. While budget limitations are a reality for nonprofit organizations, supporting mental wellness efforts can help create a supportive environment where a strong sense of belonging helps outweigh a smaller paycheck. HR professionals working at nonprofits can help build higher employee satisfaction and boost retention by implementing four strategies designed around mental health.
What does that look like in real-world terms? The answers are reducing stress, fostering meaningful connections within your organization and the greater community, encouraging physical activity and providing opportunities for employees to grow and shine on the job.
Here are four ways HR professionals can achieve these goals within a nonprofit organization:
1. Give employees an outlet for their stress through an Employee Assistance Plan (EAP): EAPs give your employees an opportunity to proactively access mental and emotional support before major issues develop.
IMPORTANT: HR professionals need to do their homework when picking an EAP. Things to look at include cost per visit, how many visits will be covered and the ROI for the organization.
2. Help employees build meaningful connections through Employee Resource Groups (ERGs): ERGs allow employees with shared identities or backgrounds to connect and create a stronger feeling of belonging.
3. Encourage physical activity to help strengthen mental health: Exercise has long been associated with higher levels of mental health. It provides stress relief and enhances overall well-being.
4. Give employees opportunities to shine on the job and help them build new skills to boost their career: Research shows that employees who rate themselves as “thriving” in their job because their efforts are recognized, and they have opportunities to build new skills are three times less likely to switch jobs.
For most nonprofits, focusing on financial compensation just isn’t a winning strategy when it comes to employee retention. Incorporating higher levels of mental health benefits which build a sense of belonging and employee engagement, on the other hand, can be a solid strategy to help you retain the key contributors to your organization.
UST understands the pressure nonprofits face when it comes to employee retention. For more ideas on ways to build a benefit package that includes solid mental and emotional rewards for your valued employees, take advantage of UST’s Free 60-day HR Trial. UST HR Workplace is a dynamic cloud-based platform offering HR tools, templates, and trainings. It empowers nonprofit employers to cultivate a safe, compliant, and productive workplace environment.
RESOURCES:
https://www.gallup.com/workplace/358082/struggling-suffering-employees-twice-likely-leave.aspx
In the nonprofit sector, high turnover rates can disrupt organizational stability, morale, and mission effectiveness. A robust and supportive work culture is crucial for retaining dedicated staff and ensuring long-term success. According to Forbes, “The government reported a record number of Americans, 70 million, left their jobs in 2021, including 47.8 million departures counted as voluntary. This “Great Resignation” has left employers scrambling to fill vacancies, a problem that could get worse before it gets better.” This blog post explores the importance of cultivating a positive nonprofit work culture and offers actionable strategies to combat turnover.
Understanding the Challenge
Unlike the for-profit world, where financial incentives might be more prominent, nonprofit employees are often driven by passion and commitment to a cause. While this dedication is invaluable, it doesn’t shield nonprofits from the challenges of employee retention. High turnover can stem from burnout, lack of recognition, limited career growth opportunities, and inadequate support systems.
The Importance of a Supportive Work Culture
A supportive work culture in nonprofits fosters an environment where employees feel valued, heard, and empowered. It can lead to higher job satisfaction, better team collaboration, and enhanced productivity. Most importantly, it helps retain top talent, thereby reducing turnover rates and ensuring the continuity of the organization’s mission.
Benefits of a Positive Nonprofit Work Culture
Building a supportive work culture in nonprofits is not just a nice-to-have, it’s a necessity for retaining passionate and dedicated staff. By prioritizing employee well-being, fostering open communication, recognizing contributions, investing in development, encouraging team building, leading by example, and ensuring fair compensation, nonprofit leaders and HR managers can create an environment where employees thrive.
Ready to take the first step towards building a more supportive work culture in your nonprofit? Start by assessing your current practices and identifying areas for improvement. Remember, a little effort goes a long way in making your organization a place where employees are happy, engaged, and committed to making a difference.
Click here to read more blogs on how to support your team’s mental health.
Source
Question: What can we do to reduce turnover and retain employees?
Answer: High turnover can quickly become costly. We recommend the following practices to increase retention:
This Q&A does not constitute legal advice and does not address state or local law.
This Q&A was provided by Mineral, powering the UST HR Workplace. Have HR questions? Sign your nonprofit up for a FREE 60-day trial here. As a UST member, simply log into your Mineral portal to access live HR certified consultants, 300+ on-demand training courses, an extensive compliance library, and more.
Most nonprofit employees bring a passion to their work. They strongly believe in the mission of their organization and generally pour their heart and soul into their jobs daily.
While this higher level of dedication can be a blessing to your nonprofit, it might also drain the mental health reserves of those same hard-working employees. After all, even batteries need to be recharged.
The emotional well-being of employees – especially for those on the frontlines of your organization – works in much the same way:
It can quickly add up to a mental health crisis for nonprofit employees. Here are five practical solutions your organization can implement to make a difference for your employees.
1. Train managers on mental health issues and the resources available. Your managers and frontline supervisors are often the key to implementing new policies and creating a supportive atmosphere.
Studies show that training supervisors and managers about employee wellness and mental health helps those staff members better support their employees and more quickly identify signs of stress and mental health issues.
And, it doesn’t have to eat up a lot of their time. As little as 3 hours of training can help increase awareness of mental health and make your managers and supervisors more motivated to promote mental wellbeing for their employees.
2. Increase employee options for autonomy and flexibility. Giving employees more control over how and when they do their job can directly increase satisfaction and mental health. An employee who feels empowered to do their job without excessive oversight is often more motivated – which can lead to enhanced performance for your organization.
At the same time, certain employees may value job flexibility over other options due to their family circumstances. A frontline employee with small children might appreciate the opportunity to take advantage of remote working options if their job doesn’t require in-person meetings with your nonprofit’s audience.
3. Regularly share what mental health benefit options are available utilizing multiple channels. If mental health benefits are only communicated during your nonprofit’s open enrollment window, they’re not likely to be front of mind or highly utilized when employees might need them.
Instead, make it a priority to post flyers in employee break rooms about your mental health care options (or free options from organizations such as the National Alliance on Mental Illness [NAMI]).
Encourage managers to highlight mental health care benefits as they see employees facing challenging situations. And to help eliminate the stigma of using mental health benefits, ask the leaders of your nonprofit to communicate the importance of using available benefits to help all employees feel more comfortable reaching out for help when they’re stressed or overwhelmed.
4. Emphasize work/life balance and self-care. Your employees bring a passion to their job. They feel a sense of urgency to serve your community and make a difference. Many work long hours, take on additional responsibilities outside of the scope of their job or feel they need to be available 24/7.
But that constant level of commitment often cannot be sustained without a healthy work/life balance. Emphasizing things like family time, making exercise a priority, getting enough sleep and taking care of themselves in general are great ways to help your employees switch off and recharge.
5. Be mindful of burnout and actively intervene to help employees take a break from stressful situations. Burnout is a real concern – especially for many of the top performers at your nonprofit. In a 2023 McKinsey survey of nonprofits, 88% of them reported stress levels at the “orange” or “red” level. In those circumstances, burnout is a common result.
Nonprofit work can be a balancing act. The passion your employees bring to their jobs can be extremely fulfilling. But at the same time, it can lead to emotional exhaustion – especially when dealing with challenging or unchanging social situations.
Encourage managers and frontline supervisors to pay attention to employees working at an exceptionally high level for an extended period. Provide them with extra flexibility to step away from their job functions for a few days. Think of flexible ways you can reward them with work/life balance solutions to show your appreciation for their hard work.
Prioritizing mental health shows your employees you value their contributions. It’s a smart way to reward the passions they bring to your cause … while helping your nonprofit function at the highest levels.
UST can help you focus on your mission while supporting your HR and financial needs. Take advantage of UST’s Free 60-day HR Trial and discover how we can help your nonprofit manage your employees’ mental health needs. With UST HR Workplace, access Live Certified HR Experts, Work-from-Home Resources, 300+ Employee Training Courses, Thousands of Downloadable Forms & Checklists, an Online Employee Handbook Builder, and Job Description Tools. Our HR support lightens your workload, promoting better mental health so you can focus on what truly matters – your mission.
RESOURCES:
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UST maintains a secure site. This means that information we obtain from you in the process of enrolling is protected and cannot be viewed by others. Information about your agency is provided to our various service providers once you enroll in UST for the purpose of providing you with the best possible service. Your information will never be sold or rented to other entities that are not affiliated with UST. Agencies that are actively enrolled in UST are listed for review by other agencies, UST’s sponsors and potential participants, but no information specific to your agency can be reviewed by anyone not affiliated with UST and not otherwise engaged in providing services to you except as required by law or valid legal process.
Your use of this site and the provision of basic information constitute your consent for UST to use the information supplied.
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