Your employees are one of the greatest assets that you have as a business owner. Particularly if you take the time to hire the right team.
However, they can also be a tremendous liability. Your employees can end up costing you a fortune and it’s worth taking time to understand how as well as why this can occur.
First, you should consider the problem of churn. Churn is essentially the rate at which employees leave your business. The quicker they leave the more costly things become for you because you will need to spend the time and money to fill the gaps in your team. This can put serious pressure on your finances. One of the ways to avoid high levels of churn is to make sure that team members feel valued and ensure that they do gain benefits from staying with your company. Don’t forget the best members of your team will always have other options.
Personal Injury Lawsuits
Personal injury lawsuits are becoming more common in businesses across virtually every industry and sector. Employees are more willing than ever to take a stand against a business that they believe was responsible for an injury they sustained. To avoid costly damages you should take steps to improve safety levels in your business. Do be aware that the most common type of injury in offices across the country is currently RSI. This is caused by typing in the wrong position for long periods. It can be avoided by ensuring that your team takes regular breaks and by investing in the best ergonomic furniture.
Issues with invoices can also end up costing your business a lot of money. If invoices are not paid to employees on time, then they can add up, and eventually, you could be forced to shell out a massive amount of money to keep your team members paid and on the job. That’s why you should consider using invoicing software. A solution like this means that invoices are handled automatically so there is never any risk of them not being completed on time and sent to the right people. You just need to make sure that you are using software that delivers the quality solution you need.
Finally, you should think about how your employees can contribute to security concerns or even create security issues in your business model. Certain employees will be targeted by hackers through phishing scams. In cases like this, an employee will be asked to provide information that could leave your business vulnerable. To avoid this occurring, you should consider investing more in training. This will guarantee that employees have a greater chance of recognising a scam when they are targeted. The amount you spend on training will be nothing compared to the amount you could potentially save.
We hope this helps you understand some of the more costly issues that your employees can cause in your business model. If you take the right steps then you can correct the majority of these issues without too much trouble at all.