By Catherine Ngo Senior Editor and Content Writer, My Business
As the financial year (EOFY) ends on June 30th, HR departments find themselves immersed in a whirlwind of activity. While the primary focus tends to be on bookkeeping, taxation, and financial matters, HR leaders also shoulder the responsibility of completing several crucial tasks during this time.
Conducting a comprehensive review of policies, procedures, and employee record-keeping during the EOFY is crucial to ensuring accuracy and compliance with any changes in the past 12 months or those expected in the upcoming financial year.
Additionally, it is an ideal time to reflect on the past year, evaluate successes, and identify areas for improvement in the year ahead.
REVIEW YOUR POLICIES AND PROCEDURES
Are your policies and procedures aligned with current practices and legal requirements? Here are some important changes in employment law for this year that you should consider:
1. Payroll and Superannuation: Minimum wages, Modern Awards and superannuation contributions will increase in July.
2. Pay Secrecy Terms: Pay secrecy terms in employment contracts are now prohibited.
3. Expanded Sexual Harassment Laws: Sexual harassment laws now extend to include volunteers, trainees, students, subcontractors, and customers in the workplace.
4. New Employee Attributes: New employee attributes restrict discrimination based on breastfeeding, gender identity, and intersex status.
5. Family and Domestic Violence Leave: Permanent and casual workers affected by family or domestic violence are entitled to an additional ten days of paid leave.
6. Parental Leave Flexibility: Either parent can claim parental leave, and both can take leave simultaneously. Parental leave pay can be taken in blocks of one day or more, with work periods in between, for up to two years after the birth.
7. Flexible Working Requests: Employees can request flexible working arrangements under certain circumstances.
8. Fixed-Term Contracts: Review those on fixed-term contracts. Remember, employees cannot enter into fixed-term or maximum-term contracts spanning two or more years.
9. Union delegate: Incorporate a section on the new workplace delegates' rights
RECRUITMENT AND RETENTION MEASURES
Several measures can be taken to ensure the retention of high-performing staff by addressing the ongoing challenge of attracting and retaining key employees.
Here are some areas to consider:
1. Review Bonus Policy: Is there a bonus policy in place? When was it last evaluated?
2. Incentive Programs: Review incentive programs and ensure they are well-documented. Consider re-evaluating employee eligibility for participation.
3. Link to Key Performance Indicators (KPIs): Align bonuses and incentives with agreed-upon KPIs and ensure alignment with organisational targets.
4. Update Organisational Charts: Take advantage of the new financial year to review and update organisational charts.
5. Overhaul Position Descriptions: Revise job descriptions to create engaging and challenging roles. Consider opportunities for promotions and new challenges.
DO A RETRO ON WHAT WORKED AND WHAT DIDN'T
To ensure your business's continued success, take a step back and evaluate the core elements that shape it: your culture, teams, and leaders.
By doing this, you can identify areas for improvement and set the direction for the coming year. Here are some questions to consider:
1. What aspects of the previous year were successful and effective?
2. Did all plans have clear accountability or measures for success?
3. What changes are needed to drive positive growth?
When assessing the effectiveness of culture, it is crucial to align ways of working with core business values and mission. This alignment should resonate with the organisation's objectives, allowing for the identification of potential areas for improvement.
Next, review the performance of your teams. Identify opportunities for growth and development within the teams.
Assess your leadership team. Are your leaders maximising their potential? Consider their communication, decision-making, and employee engagement.
Involve your team by seeking their feedback and insights on these aspects. Gather their thoughts on whether they feel valued, supported, and engaged. Their input can help identify areas needing improvement.
GOAL-SETTING FOR FY25
Craft a comprehensive HR roadmap to enhance efficiency in the coming financial year. This roadmap should include priorities, objectives, and step-by-step action plans to address areas needing improvement.
Other areas to focus on include:
- Implementing SMART (Specific, Measurable, Achievable, Relevant, Time-bound) goals to ensure clarity and focus.
- Assigning accountability by designating responsible individuals for each goal and step. Provide necessary resources and set realistic timeframes to facilitate successful execution.
- Developing an HR calendar to outline crucial activities throughout the year. Include performance reviews, training sessions, conferences, and engagement surveys.
- Assess the budget and allocate resources effectively. Prioritise rewards and recognition, team-building initiatives, leadership development, and other HR endeavours. Regularly track expenses and evaluate the ROI of your HR initiatives to ensure optimal outcomes.
OVER TO YOU
The end of the financial year signifies a time of immense significance for HR departments due to the multitude of responsibilities they must address. Among these responsibilities are reviewing and updating policies and procedures, ensuring compliance with legislative changes, implementing strategies for recruitment and retention, evaluating the efficacy of company culture, teams, and leadership, and setting objectives for the upcoming financial year.
HR leaders can promote a positive and productive work environment in the new financial year by integrating a holistic approach and actively engaging employees, which will facilitate a smooth transition.