In this lawsuit loving society of ours, it’s surprising how rates compliance remains to be one of those things put on the back burner. Many businesses are still not taking it seriously enough, in spite of the obvious threat of disruption, financial risks, and brand damage.
There’s simply too much at stake to continue chucking it into that too-hard basket.
Let’s put it this way - If your business is your lifeblood, then compliance should be the veins and arteries! We’ve got to be on top of compliance and handle it like a boss.
Top 5 Reasons Your Contracting Business Isn't Compliant
1. Rates Management
Every employer has a responsibility to pay their employees the correct rate; including sick leave, overtime pay, or anything else they may be eligible for. And while there are many tools that allow you to DIY your way into calculating this, the risks of paying your workforce incorrectly are significant.
2. Inventory Management
Inventory and asset management helps businesses to maximise their daily operations; but getting it right can be a complex process requiring accuracy of data and information.
Having a good inventory management software that integrates with your businesses’ accounting and ERP systems, ensures that you are able to forecast your needs accordingly.
3. Award and Agreement Interpretation and Changes
The interpretation of Awards and Agreements can be a perplexing exercise for many, even for the more seasoned professionals. Hiring for your workforce requires that the appropriate employment awards are identified and applied correctly for each contract, as these may differ from one employee to another.
The risks and costs associated with the misinterpretation of awards are steep, not only financially but also in terms of brand reputation and staff morale.
4. WIC Code Management
Accurate coding of the correct WIC is essential as each classification is used to calculate the overall premium.
5. Insurance Premium Changes
Insurance premiums are calculated using experience based rating, and your WIC is a critical component in this process.
The policy in which WICs are classified can change several times and for several reasons, so it’s easy to get it wrong.
Non-compliance is Simple to Achieve
When managing a business, it is understandable that focus is placed on customer service and experience, profit. It is not surprising then that many businesses see compliance as an expensive legal exercise with little to no return.
Non-compliance is easy to achieve; but it is a costly and can be damaging mistakes to make.
Having a partner that can take away the risks of non-compliance is a sure way to get ahead and focus on success of your business.
Contact RatesCalc to see how we can change the way you see compliance and how it affects your business.