The days of employee punch cards or manual timekeeping are long gone, or at least they should be. After all, one of your biggest goals as a business owner should be to keep business expenses– that is, your overhead costs– as low as possible. While employees should certainly be appreciated as the cogs and gears that keep the whole operation ticking soundly, an outdated timekeeping system unfortunately makes it all too easy for staff members to “milk the clock” or otherwise abuse the system, or in sadder situations, result in hardworking employees actually not getting compensated appropriately for all the time and effort they put in. Here’s why you need to ditch the old ways and adopt a current, automated timekeeping system for the workplace:
1. It’s More Accurate
We trust machines to do so much these days, especially when it comes to math. After all, any computer-based system is going to generally be a lot more accurate in its calculations than the vast majority of humans. Furthermore, automated timekeeping systems are better to use if you want to calculate the exit minute– not hour– an employee clocked in and out of work, as manual-entry systems usually just round up or down.
2. It Saves Time Come Payroll
Going along with the above, the accuracy of automated timekeeping systems will help greatly when it comes time to dish out the paychecks. This will help you (or your payroll staff, if applicable) save a considerable amount of time, as collecting, entering and adding up employee hours manually is extremely labor intensive and worse, leaves more room for human error (risking either paying employees too much or not paying them enough at all). Automated timekeeping systems do the legwork for you and add up employee hours as they are actually worked.
3. It Keeps You More Organized and Promotes Business Efficiency
Let’s face it– we all need a little extra help staying organized from time to time. An automated system keep records of both employee hours and pay organized and automatically filed, and these systems can even be set up to store payroll information. This takes out any manual organization you do in these areas and can free up your time to get other parts of the business in order. An automated system is also incredibly useful when it comes to tracking your business costs.
4. It Can Help Prevent Lawsuits
Numerous lawsuits have been filed against employers over the years by employees who feel they have been cheated out of compensation for all the hours they worked. An automated timekeeping system greatly reduces the risk of this by giving you clear records of an employee’s hours and helping to streamline the payroll process. In addition to this, many automated systems let employees see the hours they’ve worked each week and can have them digitally sign off on them.
5. Helps Prevent Compliance Violations
Also on your list of legal risks are compliance violations, which are easier to fall into if you still have an outdated manual timekeeping system. All employers are required under federal law to maintain certain records on their employee hours and payroll information, and an automated timekeeping system helps make these readily available at all times. Should you ever be required to produce these records, you can rest assured that you’ll be able to access them immediately and that they’ll be accurate.
6. It Prevents Data Loss
Most automated timekeeping systems these days are based in the cloud, which essentially means that data is stored in the infinite storage realms of the internet. Manual and other outdated systems risk records being lost due to human error or even power outages, but data stored on the cloud can almost always be recovered at a moment’s notice. Furthermore, any time data is altered, the changes can be tracked to ensure that it was changed for the right reasons and by those with the proper authority to do so.
7. It Can Be Accessed on Multiple Devices
Have multiple computers you would like employees to be able to clock in from? Or do you send your employees on the road a lot and want them to be able to clock out and go straight home once the job is complete instead of coming all the way back to the office? Modern automated timekeeping systems have numerous customizable options that allow employers to set up clock in/out stations on different computers or tablets, or even make it accessible on employee mobile devices. Some employers even choose to make clocking in/out inaccessible on mobile devices (to prevent time abuse) while still giving employees access to their personal time records wherever and whenever they like (again, helping to decrease lawsuits).
8. It Boosts Employee Morale
Most employees like to feel they are working in a place with current technology. They also like to feel like they have some power and control in their position, however small or large. Automated time systems are not only updated and current with today’s tech, but giving employees access to their own time and pay records (and HR / payroll information, if applicable) will help them feel more in control and respected. Automated time systems further help to boost morale by providing set records that are not left up to human error, so if there’s an issue, you and the employee can look to the system’s records for answers rather than blaming each other for making mistakes.
When you’re ready to learn more about how an automated timekeeping system can help you, your business and your employees, contact the experts at Complete Employee Services.