Time theft is a very real problem for many businesses, large and small alike, and is said to be an act frequently committed by up to 80% of the current workforce. Over time, such theft can have a real impact on a company’s bottom line and it brings to light how simple it can be for employees to be dishonest about their time spent doing the job they are paid to do.
Bearing this in mind, accurately tracking time and attendance of employees should be a top priority for all business owners, and listed below are just five of the many benefits of utilising a dedicated time and attendance system:
It allows you to spend less of your time on payroll duties:
This is perhaps one of the most rudimentary benefits of using a time and attendance tracking system, but can make a real difference to a business. Employees and HR staff will not need to spend as much time tracking, recording and processing their working time each day, week and month and some systems enable time spent on payroll to be reduced by up to 70%.
Puts a stop to time theft:
Taking longer breaks than entitled to, or clocking in for others when they’re late (commonly known as ‘buddy punching’) can both be minimized, if not stopped altogether, with the use of a time and attendance tracking system. Often said to cost companies losses of up to 75%, you can see how important it should be to reduce time theft.
It stops bookkeeping errors:
Human error is always a risk, and even the best bookkeeper with the best of mathematical minds, can make a mistake that could go on to cost a company dearly. Not only may a bookkeeper make an error when making their calculations, but employees may not be accurate in recollecting their hours worked, or when they finished early, started late etc. Having a system that enables employees to input their hours daily and then calculates payroll automatically, should put an end to the risk of human error.
Paperwork requirements are limited:
Many hours each day, week and month are spent organizing and processing paperwork, but with an automated time and attendance system, this can be greatly reduced. Not only will it save on time, but on resources such as paper, writing equipment, printer ink and toner, which can be costly when added together each month.
Businesses can be legally compliant:
Staying on the right side of the law is vital for all businesses, as penalties for not complying to the Fair Labor Act can be costly and businesses also leave themselves open to expensive lawsuits from disgruntled employees.
There are numerous reasons why all modern businesses should switch from time consuming and unreliable methods of tracking time and attendance, to newer, more cost effective and accurate methods. There are many companies out there who specialise in such systems, and with a little research you should easily find a reputable company that will have a system that can be adapted to suit any businesses specific needs.