Cloud-based time and attendance adds value across the board
April 14, 2017
By Natalie B. Hoffmann, CPA.CITP HKP President
Employee time has always been employer’s most expensive asset, but many employers still use outdated, inefficient methods for time-keeping. New technology offers employers a myriad of benefits including easier compliance, greater accountability and improved employee efficiency and engagement.
Ways cloud-based time and attendance through an HCM system adds value
The recent ongoing string of changes affecting the management of employee time is forcing many employers to look for more practical and efficient human capital management (HCM) solutions to meet and manage compliance. With the Affordable Care Act (ACA) and the Fair Labor Standards Act (FLSA) overtime rule changes (currently on hold) employers need to be much more diligent about managing and calculating employee data. Failure to comply with the standards in these pieces of legislation can end up costing an employer hefty fines.
One way to manage ACA requirements is with time and attendance native to your HCM software, which can measure the time of variable-hour employees and help determine eligibility for health insurance. A well-managed time and attendance system can calculate the data for you and help you make better-informed decisions about employee eligibility. In addition to ACA requirements, while the new overtime rule continues to hang in limbo, updates to the original rule are still likely. An effective HCM system can ensure you are monitoring and properly paying overtime, helping you stay in compliance today and in the future.
Additionally, cloud-based time and attendance software provides continuous employment and compliance updates closer to real-time. These systems allow employers to quickly adjust to new compliance demands without a costly software upgrade.
Cloud-based software allows management to monitor employees in real-time, seeing who is and isn’t on the clock, who’s early, late and on time, and who is approaching or working overtime. Advanced systems can offer features like alerts when employees punch in late or are approaching overtime. They also offer a variety of punch options from time clocks and kiosks to laptop and mobile punching so you can select the best method for your culture. Have problems with buddy punching? Kiss that goodbye with biometric timeclocks, which use fingerprints to verify identity. Have employees on jobsites or in the field? Use mobile punching and geolocating to allow them to punch from anywhere while still being able to verify their location.
Efficiency and Engagement
Time systems native to your HCM software streamline your processes. Often one click is all it takes for your time data to be reflected in the HCM system, ready for processing. Avoiding duplicate entry means fewer errors and less effort.
Manual time processing takes enormous amounts of effort and has far greater error risk. Using a cloud-based time system boosts morale and engagement by freeing up your HR personnel to pursue value-added activities and by reducing errors on payroll.