Where has this year gone?
We blinked and suddenly January turned into May, summer turned to winter (at least here in Sydney) and we’re getting ready for EOFY.
While 30 June does mean extra work (particularly for payroll and finance teams), for HR teams it’s a great chance to review your people strategy and put new budgets, plans and goals in place for the second half of the year.
Here’s our checklist of what HR managers should be thinking of this EOFY:
Let everyone know when they can expect their payment summaries
One of the pesky admin tasks but one that will save you loads of unnecessary emails – communicate to your people when they can expect their payment summaries.
You know that as the clock hits midnight on 30 June there will be people who start asking when they’ll receive this to put through their tax returns. If you aren’t using an automated system (like HeroPay) that will automatically deliver payment summaries, it’s best to liaise with your payroll team on timings and communicate those to the business.
Review your budgets and goals for the second half of the year
You probably started the year with a strategy on hiring, training and developing your team. Now is the perfect time to review how you’re tracking.
Reassess what you need to make sure that your people are fuelling your business growth and if things have changed or moved, update your strategy to make sure that you can still achieve your business goals by the end of the year.
Get ready for review time
Whether you’re running a quarterly, twice yearly or annual review process, most businesses use the month of July to run some type of review process.
To make sure these run smoothly, we recommend by the end of May you:
- Set review timelines for the business
- Communicate those timelines to your managers and their teams
- Build guidelines for managers on how to run their reviews (or run an in-person lunch and discuss how to run through them)
- Build guidelines for their teams on how to make the most of their reviews (or run an in person lunch and discuss how to run through them)
- If you do calibrations, it would also be useful to schedule those now so people’s diaries don’t get booked up.
I hosted a webinar last year on how to run performance reviews and take your business to the next level.
Make sure you’re across any changes from Fair Work
The Fair Work Ombudsman usually releases its Annual Wage Review on 1 June and the changes usually take effect from 1 July. To make sure that you’re across any changes that are made, we recommend signing up to their email updates or following their twitter feed.
As soon as you’re aware of the changes, make sure your payroll team is ready to put these into effect (if they use HeroPay this will automatically happen) and, in the name of transparency, I would also recommend communicating the changes to anyone who will be impacted.
Get ready for wage increases
If you employ people under the Modern Award, Fair Work will let you know about the relevant pay increases. But many businesses that don’t pay under the Modern Award use EOFY (and their review cycle) to make promotions, adjustments in pay or award bonuses.
If this includes your organisation, make sure that you communicate early to your managers what the process is going to be to award promotion, increase or bonus. Make sure they are aware of exactly what they offer and when they have to finalise the paperwork for payroll.