Authors: Karen Blackwell Edward F Barry
Challenge: Layered and intertwined issues
One engagement can uncover multiple business needs and yield significant results — especially when an organization enjoys a trusting relationship with its business advisor. Such was the case when "Company X," a long-time Gallagher client sought a new HR technology solution to improve its employee-facing functions. Company X engaged Gallagher's HR Technology (HRT) Consulting practice to source new benefits administration technology.
During the discovery process, the employer reported they were unhappy with their human resources information system (HRIS) in its entirety. They had moved some functions in-house to manage manually, using only the platform's payroll and time tools. The organization asked Gallagher's HRT team to source a new HRIS solution, so the business could outsource all tactical HR functions and optimize staff efficiency.
In the discovery process, Gallagher consultants identified significant contingent worker staffing issues and management of I-9 forms, the document used to verify the identity and employment authorization of new employees.
Client profile
- Public entity
- 1,000 employees
- $6+ billion annual revenue
Solution: A holistic approach to assessment and people strategy
The HRT team sourced a new benefits point solution that fulfilled Company X's employee experience requirements. Next, the Gallagher team connected the organization with a reseller who could provide technology and service for payroll, time and all in-house HR functions. The HRT consultants also teamed up with the company's Gallagher benefits advisor to discuss the critical nature of the contingent worker practices with the company's HR director.
After discovering further inconsistencies in their records related to I-9 forms, company leaders requested the Gallagher team conduct an audit of the forms. The highly sensitive nature of the audit underscores the importance of the Gallagher benefits advisor's trusted relationship with the organization leaders.
Result: Mitigation of significant risk and potential $1.6 million in fines
Gallagher's Human Resources and Compensation Consulting (HRCC) team conducted the I-9 audit, encompassing a review of 1,800 employee verification forms, both active and terminated.
Of the active employees, 38% of the I-9 forms needed corrections. Of those, the Gallagher team judged 87% as "high priority." Had U.S. Citizenship and Immigration Services (USCIS) performed the audit, that process could have triggered more than $1.6 million in fines for unintentional violations.
The HRCC team identified and prioritized all necessary corrections and provided guidance on where to start and in which order to approach the tasks. The organization since has hired a professional to review and act on the HRCC team's recommendations. At the request of the client, HRCC is working with company leaders to create an employee communications strategy and plan to secure missing I-9s. Further, HRCC consultants are preparing guidance associated with I-9s, including manager training and a periodic refresh on best practice processes to ensure compliance.
Gallagher's partnership with Company X continues. Planned projects include helping the organization right-size their cost structure to aid in hiring and onboarding employees, and developing HR metric dashboards based on key goals to support business intelligence. Also, the employer's HR director is engaged with Gallagher's HRT team to discuss ongoing HR technology needs.
By establishing a trusting relationship, Company X's leaders and Gallagher consultants created a collaborative environment that enabled big-picture thinking, uncovering and mitigating previously unknown risks. Gallagher will continue to take a holistic approach to advance the employer's people strategy and organizational goals to support overall organizational wellbeing.
Contact your Gallagher advisor to discuss how a holistic approach to your people strategy can help your organization to face the future with confidence.
