HR Insights | May 2025

Helping small business owners unscramble the complexities of HR with solutions that make sense for their business.

Can You Cut Costs Without Cutting Corners?

When times get tight, it’s easy to make quick decisions that look like savings—freezing raises, trimming hours, or rushing into layoffs.

But the real cost?

Damaged morale, higher turnover, and the loss of trust you worked hard to build.

Here’s a more sustainable approach I recommend to my clients:

Know where the money’s going

Start with a cost analysis. What’s essential? What’s redundant? Where are things clunky or outdated? You might be surprised how much can be saved by tightening up systems and eliminating waste.

Ask your team

Employees usually know where money is being wasted or where processes are inefficient. Involve them early, listen to their ideas, and you'll get buy-in and better solutions.

Look for efficiency, not just expense cuts

Automation, smarter workflows, and better vendor management can free up time and reduce errors—without adding stress.

Renegotiate what you’re already paying for

It’s worth revisiting your contracts—software, services, and supplier rates. A quick review can lead to big savings.

Think beyond layoffs

Before letting people go, consider flexible options like reduced hours or temporary adjustments. Cutting jobs can cost more long-term if you lose strong talent.

Grow the talent you have

Training current staff is often more cost-effective than hiring new people. It also boosts morale and shows you’re invested in them.

Keep your culture strong

Don’t go silent during budget cuts. Be honest about what’s happening, celebrate progress, and make space for people to be heard.

Need help navigating this without damaging your team? I’m just a message away.

Money Stress Is a Business Issue

Your employees are bringing financial worries to work, and it’s affecting productivity, focus, and retention.

Here’s how to support them (without raising salaries):

  • Be transparent about pay

    Clear, honest communication around compensation and growth paths goes a long way.

  • Offer financial education

    Think bite-sized: podcasts, webinars, or short coaching sessions. Help employees understand how to budget, save, and plan.

  • Simplify benefits access

    Make it easy for employees to enroll in and actually use financial wellness tools, 401(k) plans, and EAPs.

Supporting financial well-being is smart business.

Thinking About Using AI for HR? Read This First.

AI is popping up everywhere - payroll, recruiting, onboarding. And yes, it can be a time-saver.

But it can also create compliance headaches, data privacy concerns, and a lack of personal connection if used carelessly.

Before jumping in, ask:

  • Are we clear on what we want to automate?

  • Who’s reviewing the results for accuracy and fairness?

  • Is employee data being handled securely?

AI can help, but only with human oversight. If you’re exploring AI for HR, I can help you think it through. HR software is a great start in automation.

But which one do you choose? I can help you navigate the options and choose the software that makes the most sense for your business.

👉 Grab a free consultation with me.

🧾 I-9 Audits Are on the Rise—Are You Ready?

The government is expected to increase I-9 audits in 2025. If your employee records aren’t in order, fines can add up fast.

Here’s how to stay audit-ready:

  • Review your I-9s now

    Look for missing documents, outdated forms, or errors. Correct issues before they’re flagged.

  • Have a response plan

    If you get a notice, who responds? What documents will be shared? Plan now, not later.

  • Train your team

    Whoever completes I-9s needs to understand the rules around timelines, retention, and storage.

  • Use the right tools

    Digital systems make audits easier to manage and reduce risk of error.

👉 Grab your free I-9 Guide & Checklist here

⚖️ Let’s Talk Pay Equity

Pay equity isn’t just a compliance box to check—it’s a trust issue. And if you lose trust, you lose talent.

Here’s where to start:

1️⃣ Audit your pay data

Look at salaries, bonuses, and benefits by role, tenure, and demographics. Are there unexplained gaps?

2️⃣ Dig into the data

Gaps can signal outdated practices, inconsistent starting pay, or unconscious bias in raises.

3️⃣ Take action

That might mean adjusting pay, revising policies, or training managers to make fairer decisions.

4️⃣ Make audits routine

Pay equity isn’t a one-and-done project. Review annually to stay ahead of issues.

👉 Need support doing this right? Let’s talk.

Quick Q&A: What Small Businesses Are Asking

Should I try to settle an employment claim early?

Usually, yes. Early settlements save time, money, and drama, and give you more control over the outcome.

How do I manage performance without an HR team?

Start simple: set clear expectations, check in regularly, and document conversations. You don’t need fancy systems, just consistent communication.

When should I create an employee handbook?

As soon as you hire. It sets expectations, protects your business, and helps you avoid legal missteps - and it doesn’t have to be complicated. A few important policies to start is all you need.

Here’s a list to help get you started:

  • Code of Conduct

  • Time off Policy

  • Anti-Harassment & Bullying Policy

  • Disciplinary Policy

  • Electronic Communications Policy

  • Safety Policy

HR SOS 🆘

Want help with any of this?

Let’s get your biggest HR challenge off your plate, once and for all.

One problem, one hour, one solution. That the promise of a HR SOS session.

👉 Grab an HR SOS Session here to get real-time help when you need it most.

Let us know what you think in the comments!

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