Today’s blog sets out the benefits of investing in external HR support to help you grow and develop your business and I share my experience in the sorts of HR problems business owners face. If you are undecided on whether this would be right for your business, this blog will help.
The modern workplace is a dynamic environment where businesses must continually adapt to changing regulations, employee needs and market demands. And it’s understandable that when you’re working flat-out to build your business, finding new customers and increasing your revenue will take priority over creating HR policies and processes. Perhaps you don’t have the budget for an in-house HR Manager right now, so you plug the gaps as best you can, muddling through hoping for the best without feeling fully confident on best practice.
But here’s the really important thing you need to know – employment law applies to small and large companies alike, and by even having one employee, you will have legal obligations and a duty of care to that employee. Furthermore, if you get it wrong and end up in a tribunal, the costs of a tribunal and any awards given to an employee that wins their case aren’t reduced because you have a small business.
When we consider that the average cost of defending an employment tribunal in the UK is somewhere around £13,500 plus VAT, it becomes clear just how important HR and people management is for a business to get right. This is a cautious estimate, too – and it’s a lot of money for a small business to lose, on top of the time, energy and stress that comes along with managing a case like this.