10 steps to take before hiring employees

Thinking of hiring your first employee? Before you look at hiring employees, you need to be certain that your business is efficiently equipped and that you’re aware of legal requirements.

Here are just several steps to take before you start advertising job vacancies and hiring employees.

hiring employees

Identify your needs

First, you need to the type of employee you’re looking for and the roles you need them to fill. You may be looking for a PA to handle your admin, or you may be looking for an apprentice to train up to your level. You need to decide whether they’re going to be part-time or full-time and you need to determine which prior skills or qualifications they must possess. It may be a case that you’re hiring employees, in which case you may need to decide exactly how many and what attributes you’re looking for.

Decide their wage and benefits

Next, you need to decide how much you’re going to pay your employees and what benefits you’re going to offer them. You may need to check what other companies are paying their employees so that you’re not overpaying or underpaying. You also need to check your budget so that you can realistically afford their wages, whilst still making enough profit for yourself and the business. As for employee benefits, consider what you can offer that will keep your employees keen and loyal.  

Register as an employer

It’s a legal requirement to register as an employer via HMRC before taking on any staff members. This is so that you can pay your employees’ tax and national insurance contributions. This is worth setting up early.

Get insured

Employers are legally required to take out employer’s liability insurance. This insurance scheme protect your employees by offering compensation if they fall ill or are injured as a result of your company’s work. You may want to spend time shopping around for the lowest insurance rates. There are general business insurance schemes that combine cover such as employer’s liability with other schemes such as property insurance and professional indemnity.

Understand health and safety requirements

You also need to be sure that your workplace meets health and safety requirements before taking on employees. Fire safety regulations will need to be met – this includes having a conveniently-accessed fire escape, a smoke alarm, fire extinguishers and a fire drill plan. A first aid kit could also be necessary and you will need to be first aid trained. On top of this, you should supply any health and safety equipment that is needed for the job such as hard hats on a construction site or gloves for handling chemicals. A health and safety advisor may be able to help you meet all the necessary requirements within your business.

Write up an employee contract

It’s worth writing up a contract for your employees to sign. By signing this contract, your employees agree to the terms and conditions of your employment. This can legally protect you against employees who may take advantage of you. You can hire a solicitor to help write up this contract so that it is legally tight.

Set up a payroll system

You then need to set up a payroll system that involves paying your employees and paying their tax/national insurance contributions on a scheduled basis. You can use workforce management software to do this – this could help to automate the payroll process. Some companies may want to set up a way of recording hours so that these can be accurately calculated at the end of the week.

Invest in necessary equipment

There could be equipment that you need to supply for your employees. If you’ve got an office, you may need to invest in extra PCs, as well as desks and chairs. If you run a retail outlet, you may need to invest in extra uniforms or keys for clocking in. Make sure to invest in good quality equipment that will make your employees lives easier and make them feel appreciated.

Free up time for recruiting and training

It’s important that you have enough time to run a thorough recruitment process – you should have enough time to read through a wide selection of applications and interview multiple candidates so that you’re making the best recruitment choice. After you’re hired them, you’ll also need to be able to dedicate time to training them. Free up your schedule in advance so that you’re not rushing the recruitment stage or skimping on training.

Plan your advert

You’re now ready to start advertising your job vacancy. Your advert is something that should be carefully planned out and not rushed – this will help you to attract the best candidates. As well as listing the requirements you’re after, make sure to list the benefits of working for your company. As well as planning the content of your advert, consider where you would like to post your advert. Online job boards like Indeed are a popular option, but you may also want to consider local newspapers, social media and public noticeboards in strategic locations such as universities or post offices.