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How to build a strategic hiring plan

Building a hiring plan involves aligning hiring resources with business goals and long-term staffing needs. It requires gathering all stakeholders, determining financial resources, setting company goals, understanding headcount, performing skills gap analyses, and determining CEO involvement.

Elizabeth, former Talent Acquisition Manager at Workable, offers invaluable insights spanning consulting to recruitment.

Willy-nilly recruitment happens when nothing is in writing. I’ve seen this firsthand. Hiring managers open requisitions, only to withdraw them when learning they don’t have full buy-in from the leadership team. Recruiters are then forced to perform an awkward song and dance to the candidates they’ve already engaged.

There’s gotta be a better way, right?

The better way happens when there’s an actual hiring plan. Strategic hiring plans are about more than just headcount. They make business leaders stop and think about next year’s goals and whether or not the organization’s existing talent meets its needs.

From the Talent Acquisition side of the bench, annual hiring plans help me answer:

• What are our company goals for next year?
• What are our strategic initiatives?
• Do we have the human capital to meet those challenges next year?
• When should we fill these roles next year? (Q1,2,3,4)
• Can we adequately fund these roles?

Here’s some advice on how to plan your recruitment next year:

How to build a hiring plan

My conversations about hiring plans are always tied to budget. I need to know my financial resources before I can start building next year’s people resources. Here are some common questions and answers about the process:

What is a hiring plan?

The hiring plan itself is a spreadsheet with accompanying financials and headcount (budget for each role and department.)

Who builds the hiring plan?

All members of the leadership team are stakeholders in this process, as are their direct reports — specifically, those who own people leadership and budget. Hiring plan meetings are an opportunity for these teams to calibrate overarching business goals against existing resources.

Align your hiring team

With Workable’s hiring plan, you’ll move out of the spreadsheets and into one centralized workspace, where info is always current and next steps are always clear.

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How does the hiring plan process unfold?

Often times it runs parallel with the performance evaluations process which gives you an idea of what you may or may not need for each team in the upcoming year.

Here are some quick tips and steps on how to build your hiring plan :

Get everyone together in one room . This sounds overly simplistic, but I’ve found it’s actually one of the most challenging parts of the process. There’s a lot that comes to a head around year’s end: vacations, performance reviews and annual revenue targets. Start early. Get everyone on the calendar as soon as possible.

Determine the financial picture . Hiring plans are predicated by revenue. The G&A team should prepare the financials (spreadsheets, broken down by cost center) for next year. Use these to guide your budgets for each line of business.

Set company goals . This is the leadership team’s responsibility. The goals are always going to be financial. For example, the sales team might set revenue targets to close $X million in annual contracts next year. The hiring plan should help the VP of Sales accomplish this goal (for example, by hiring new account executive positions in Q2 and Q3.)

Learn your headcount . This is the most important metric for Talent Acquisition because it will drive your workload next year. Here’s what a hiring plan template for headcount looks like:

Perform skills gap analyses . If you’ve had turnover during the year, this is a good time to take a look at any skills you need to acquire through hiring . Or, consider succession planning strategies to fill those gaps.

Determine how your CEO will be involved . CEOs likely won’t be involved in all planning meetings at big organizations (more than 1,000 people) but will want a seat at the table early on at smaller businesses and startups.

Learn how you can boost your hiring plan with Workable !

Talent Acquisition’s role in the hiring plan process

As Talent Acquisition manager, I need a seat at the table during strategic hiring plan discussions because:

I help create more accurate hiring budget forecasts.

I am more in touch with what the market for compensation is, because I’m constantly talking to candidates. And benchmarking doesn’t always align with what’s going on in the market. For example, HR and hiring managers relying on benchmarking data might think they can recruit a marketing manager in Boston for $X, when I know that candidates expect $Y salary.

I need to know headcount to get the job done.

Hiring plans dictate the velocity at which I and my team need to recruit. Let’s say we’re planning to grow by 100 people next year. I need to know that I’m going to be positioned for success and that I have all the resources I need. We’d look at the plan and ask:

• What are the roles and what type of velocity could I handle?
• How many hires can I deliver in one quarter?

For example: my career-high is 15 hires in a quarter. But if the goal is 100 hires, I alone will not get us there. So I might make the business case to hire a contract recruiter , a talent sourcer and scheduler to better streamline the workflow.

Use hiring plans to power your recruiting strategy

Hiring plans are much more than numbers on a spreadsheet. They’re an opportunity for me to shape recruitment strategy by influencing and educating hiring managers and leadership as to how we’ll reach our ambitious goals together. In absence of an actual document, you have no platform from which to work, nor the ability to measure success or failure.

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How To Hire Employees (2024 Guide)

Updated: Feb 12, 2024, 10:56pm

Table of Contents

1. prepare the business legally, 2. write a clear job description, 3. consider company culture, 4. get in front of candidates, 5. review applications, 6. interview and screen candidates, 7. extend an offer, onboarding your new employee, frequently asked questions.

Not everyone starts a business knowing how to hire employees—many of us have to learn along the way. This learning curve is part of owning a business, though this can come with some serious pitfalls, from creating poor team dynamics to violating anti-discrimination laws. So to shorten this curve and avoid making common mistakes, it’s important to learn how to hire employees the right way. Follow along for everything you need to know about making your first hire.

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To hire an employee, you will need an Employer Identification Number (EIN) with the IRS and a state tax ID if your state requires it. An EIN is a tax ID number for a business. It works like your Social Security number (SSN) for tax purposes, and you can get it for free by applying online through the IRS .

If you’re a sole proprietor or partnership, you can apply for an EIN and use that in place of your SSN for taxes. If you plan to form an LLC, LLP, corporation or other legal entity, do that before applying for your EIN, so you can get the tax ID in your business’s name instead of your own.

You’re not required to form a legal entity to hire employees, but it could be beneficial. An LLC, the simplest type of entity you can form as a single owner or with partners, separates your personal assets and liabilities from those of the business.

Because bringing on employees adds potential liability to the business, you might be concerned about shouldering those liabilities with your personal assets, such as your home or personal savings. Consult an attorney to determine the right business structure for your circumstances.

Depending on the business you run, your state might also require you to carry insurance for things such as unemployment, workers’ compensation and general liability to ensure security and safety for employees. An attorney can help you stay compliant with your state’s requirements.

One of the most important steps to building the right team is writing the right job description . A well-crafted job description includes:

• A glimpse into your company culture
• The level of influence, autonomy and decision-making the role involves
• How the work will impact the company and the people you serve
• Required and desired skills, experience and traits
• Opportunities for growth through this role
• Day-to-day work of the role in its most recent iteration
• What success in this role looks like (i.e., expectations)
• Statement of company values such as diversity, equity and inclusion, including how you incorporate them into your work and hiring practices

The trickiest part? Include all this juicy information in a succinct and brief description. Job hunters read a lot of job ads throughout the day, and they can meld together. Make yours stand out by being clear, concise and straight to the point.

Another tricky part is balancing what you believe is required of a candidate and your commitment to equity. Evaluate what’s truly required for the role, and write an inclusive job description that avoids using language or listing requirements that unnecessarily exclude candidates.

Then evaluate the job description one more time to make sure you don’t unintentionally include any prohibited language or requirements that illegally discriminate under Equal Employment Opportunity (EEO) laws.

Your ads (and other hiring and employment practices) can’t show any preference for or against someone because of their race, skin color, religion, gender identity, sexual orientation, pregnancy or parenthood, national origin, age (40 or older), ability or genetic information, explains the Equal Employment Opportunity Commission . That includes blatant requirements such as “female,” but also includes descriptions that suggest prohibited preferences, such as “recent college grads” or “aggressive.”

When you’re considering what’s required for the role, go beyond qualifications and consider what a new hire might add to your company culture. Employees are more than just working machines—they make up the fabric of your company.

Be careful not to get caught in the trap of hiring for “culture fit,” though. This can be an easy way to introduce and double down on your biases.

Instead of looking for candidates who match your existing culture—which, if this is your first hire, means they’re just like you—look for candidates who will add an element you’re missing. As Michael Bungay Stanier said in an interview for Jenny Blake’s “Free Time” podcast , “You don’t just want a culture fit, you want somebody who is a culture expander, who changes the culture and shifts it.”

The best job description in the world is useless if you don’t get it in front of the right people, so be intentional about where you spread the word about the job.

Starting with your immediate network is fine, especially if this is your first hire and you expect to have a very small team for now. Just be careful about building a homogeneous team who all share your experiences and perspectives—and be mindful that limiting how and where you recruit could result in EEO violations, too.

Job boards and recruiting agencies (or talent acquisition firms) are ways to reach a broader pool of candidates but don’t jump on them automatically. Balance the costs against the time saved and the potential benefit they bring to your hiring process.

You might want to work with a recruiter if you’ve tapped all the resources in your own network or company for connecting with fitting candidates, you have a need for quickly hiring for a lot of roles at once, you’re looking for an unusual set of skills or you’re building a team outside of the region or country you’re familiar with.

If you plan to post to job boards, you might immediately think of the most popular job boards , because they’ll help you get in front of the most candidates (or because you can’t get their podcast ads out of your head …). But if those sites aren’t actively taking steps to serve diverse job hunters, you run the same risk of reaching only a homogeneous pool of candidates.

Consider job boards designed for specific communities, both to ensure you reach those communities and to demonstrate your company’s commitment to equity. Here are some diverse job boards:

• Hire Autism
• Black Career Network
• DiversityWorking
• Recruit Disability
• Pink Jobs (LGBTQ candidates)
• We Work Remotely
• Career Contessa (female talent)
• Female Executive Search
• 70 Million Jobs (candidates with criminal records)
• Hirepurpose (military spouses, veterans and service members)

Tons of job boards such as these exist within industries, too. Check out Editors of Color’s Database of Diverse Databases to discover ways to connect with candidates who are women, BIPOC, LGBTQ, people with disabilities, neurodiverse and more in your industry.

If you created an attractive job ad and posted it in all the right places, you might find yourself with a good problem: how do you vet them all?

A good problem to have, but a problem nonetheless.

Technology can help a lot, but people have been raising questions about the legal and ethical repercussions of artificial intelligence (AI) in hiring . As with AI, hiring algorithms tend to carry all the biases of the humans who designed them, and you might not even realize who you’re screening out.

If you use automatic screening programs, follow these tips from Forbes Nonprofit Council member Eric Reicin to head off algorithmic bias :

• Be mindful about the criteria you enter, to avoid bias and illegal discrimination
• Audit your tools regularly to sniff out room for bias
• Notify applicants that you’re using AI to sort their applications, so they know “who” they’re writing for

Whenever applications land on your desk, look for these signs of a candidate’s potential :

• Ability to identify the problem your company and the role solves
• Which achievements they showcase and how
• Accurate and complete applications without excessive errors
• Their connection to the company’s mission
• Their personality!
• Patterns in past job experience
• Signs of innovation and potential for growth within the company

Remember: None of these needs to make or break a candidate. If a candidate seems great but their application raises some questions, note those questions to address at the interview stage.

After the application, your hiring process could include a screening call, interview(s) and a skills test, depending on how much you need to know about the candidate for the role.

Approach each of these stages with a clear understanding of what you and the candidate can glean from it. If you can’t name those, cut them from your process.

Forbes Coaches Council member Nick Leighton suggests these questions to get to know a candidate during an interview :

• What are you looking for in a company?
• How is your experience/skills relevant to the position?
• What are your long-term goals?
• Why are you looking to leave your current job? Why did you leave your last job?
• What are your strengths and weaknesses?
• Do you have any questions for me?
• Again, keep an eye out for areas of conversation that could introduce bias or discrimination into your hiring decisions.

You can’t directly ask about a candidate’s race, skin color, religion, gender identity, sexual orientation, pregnancy or parenthood, national origin, age (40 or older), ability or genetic information. You should avoid lines of questioning that require candidates to reveal this information, such as asking about their home lives, where they’re from or when they graduated college. Stick to the job requirements and the candidate’s work experience.

Once your recruiting process has narrowed down to the right candidate, extend an offer!

Follow these job offer tips from Forbes Human Resources Council members to determine the salary and benefits package, have a candid and transparent conversation, explain everything included in the offer and prepare for special requests from the candidate.

This is the fun part—welcoming a new member to your team. If you’ve worked with contractors to this point, you may have a solid system in place for onboarding new team members into your culture and processes. With employees, that’s just half the battle.

Employees come with more complex legal requirements, so your back office is going to be a little busier onboarding them. For each employee, you have to have on file a Form I-9 (eligibility to work in the U.S.), Form W-4 (tax withholding) and required state tax withholding forms. You need to have a system in place for filing those taxes with payroll, as well as for collecting direct deposit information and authorization if that’s how you pay employees.

Work with an attorney to make sure you meet all your state’s requirements for new hire reporting, as well.

If you offer benefits, your onboarding process should include a clear explanation of employees’ options and directions to sign up within the required timeframe.

Payroll and HR Services Can Help

Thankfully, you don’t have to become an expert in payroll and HR processes if you want to run a small business. Payroll software can do a lot of the heavy lifting for you, including collecting the necessary forms and authorizations, benefits onboarding and automated payroll that includes tax filing.

If you’re moving from a one-person company to your first one or a few hires, you can probably get by with the software and a part-time HR generalist. As your company grows, a dedicated HR employee or team will become necessary to manage the employee experience, field questions and audit automated processes.

What are the requirements for hiring employees?

To hire and pay employees or contractors in your business, you have to have an Employer Identification Number (EIN) from the IRS for tax purposes, and state and local tax IDs if your state and/or county or municipality require them.

Can you hire employees as a sole proprietor?

Yes, you can hire employees as a sole proprietor—i.e., without incorporating or forming a business entity—as long as you have an Employer Identification Number (EIN) from the IRS and the local tax IDs your state, county or municipality require.

What are the legal steps to hire an employee?

To hire an employee, a business must get an Employer Identification Number (EIN) from the IRS and any required state and local tax IDs, register with the state’s department of labor to start paying an unemployment insurance tax and buy workers’ compensation insurance. When you onboard an employee, you must have them sign I-9 and W-4 forms, report new hires to your state’s department of labor, ensure you’re set up to file payroll taxes and post any required notices in shared workplaces.

What is the best site to post jobs?

There are many sites where you can post job listings. LinkedIn, Indeed and Monster are some of the most popular non-specialized job websites, boasting hundreds of millions of users.

What are the costs involved with hiring a recruiter?

According to Saffro, the market rate for third-party placement is around 25% of the candidate’s base salary. Retained firms generally collect 25% to 50% of the fee upfront and the remaining balance once the role is filled. Contingent firms only bill after a successful hire and the employee is retained.

What should I look for in a résumé when selecting which candidate to interview?

There are some superficial components of a résumé that might help you decide which candidates to avoid—for example, a five-page résumé rife with spelling and grammar errors. But outside of that, the “perfect” résumé is a function of your needs. If the résumé checks the boxes that you put in the job description, then you should take the next step with that candidate.

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Building an Effective Hiring Plan: A Step-by-Step Guide for Hiring Managers and Recruiters

• December 6, 2023

Hey there, I’m thrilled to share some gems from my own journey in the world of hiring.  This article will kick off a series where I discuss what it takes to run a great hiring process.  I’ll cover the essential skills and habits that I’ve gathered from the best hiring managers I’ve worked with, and through my own several decades of learning and experience. We’ll start by talking about hiring plans.

The Kick-off: Developing your hiring plan

Think of this step as a project kick off – you are going to explicitly identify the hiring team, process, and objectives upfront, so you are ready to focus on finding the best candidates possible and will have clarity when it comes to recognizing and pursuing the ideal candidate.  

This is an essential step that is often missed by people who are new to hiring.

1. Understand the Role

First things first, let’s talk about the job title and its core responsibilities.  I’ve found the more specific you are here, the easier it becomes later.  This step goes beyond drafting the job posting (which I’ll cover in a different piece).  

The goal here is to make sure you really, clearly understand the 2-3 essential characteristics about the job, so you can carry these expectations over into all other steps of the process – from search, to screening and even new-employee onboarding.  

The clearer and more specific your thinking is during this step, the easier it will be for you to recognize suitable candidates and gain conviction through the hiring process.  Be sure to cover all of the following points.

• Screen the job title: Ensure it reflects the roles importance and scope. 
• Detail core responsibilities: Link them directly to your organization’s goals 
• Define competencies:  What are the ideal behaviors this role requires?  This perspective is useful for discerning between two equally qualified people with similar skills and experience. 
• Impact expectations: How will an amazing candidate make your team better?  How about you personally?  Consider defining impact thresholds that separate a good candidate from a great candidate.

2. Determine Employee value proposition

Ask yourself, why would an “A” player want this job?  What is it about this job and team that can attract an “A” player, and cause them to stay long term?  Hiring and changing jobs is easier than ever these days, and so it is essential to have a compelling employee value proposition for every role you hire.

I often capture this in a short 1-2 sentence paragraph, with perhaps a few bullet points on the most compelling items.  Bonus points if your messaging is aligned to your professional social media presence and company website.

3. Evaluating Performance

• Identify KPIs:  Identify 2-3 measurable performance indicators.
• Set performance factors:  Identify your non-KPI driven expectations.

4. Compensation Strategy

5. The Interview Process

• Who is involved in the decision?
• How many interviews are planned? 
• What types of interviews? (single, panel, case study, etc) 
• Will there be any testing steps? (ie, behavior or technical) 

6. Timelines 

7. pulling it all together .

          – Job title           – core responsibilities           – required competencies           – impact expectations 2) Employee value proposition  3) Performance expectations with 2-3 measurable KPIs  4) Compensation defined 5) The interview process defined; and 6) The timelines including an end-date and time blocked out for 1st and 2nd interview rounds

8. Impact of technology  

  wrapping up.

This approach ensures a comprehensive and aligned hiring strategy and gives you the best chance of landing a superstar hire for your team. 

  Additional Resources

Also, if you want a comprehensive job analysis template to get started on finding a perfect fit for your team, you can access our template for free here .

Author - Kent McCrea, Chief Executive Officer

With over two decades of experience in the technology sector, Kent specializes in leading business and technology initiatives, both internally at Procom and on behalf of its clients.  He’s built teams, led projects and navigated critical business transformation initiatives along the way.

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How To Create A Strategic Hiring Plan

Mariya is a talent acquisition professional turned HR leader with experience in large corporates and start-ups. She has 10+ years of experience recruiting all over the world across many different industries, specialising in market entries, expansion, or scaling projects. She is of the firm belief that great candidate and empoyee experiences are not just a luxury, but a must. Currently she is the People Lead at Focaldata.

Hiring the right talent starts with careful planning. Use this article to understand what a hiring plan is and how to create one that's efficient, sustainable, and tailored to your organization's talent needs.

It’s estimated that the cost of a bad hire is around $17,000 (and I’d say that’s conservative when you consider opportunity cost).

This is one of the reasons why proper hiring planning is incredibly important.

Be it annually, semi-annually, or quarterly, getting all the team leaders together to discuss and understand how each team will grow and develop is key to sustainable growth.

Here I’ll take you through why and how to create an efficient, sustainable hiring plan.

What Is A Hiring Plan?

A hiring plan is a strategic document or process outlining an organization’s hiring needs over a set period. It involves forecasting the organization's future talent needs based on factors such as growth forecasts, changes in business strategy, turnover rates, and skill gaps within the current workforce.

Often, a hiring plan is considered more of an operational plan than a strategic one. This is because it should always be grounded in delivery within a specific budget for recruitment , time, and resources, and it’s less likely to contain expansive analysis.

Why Create A Hiring Plan?

Creating a hiring plan is important for several reasons:

• Strategic alignment : A hiring plan ensures that your organization's talent needs are aligned with the overall strategic objectives. By forecasting future talent requirements, the plan helps ensure that the right talent is in place to support the organization's goals and initiatives.
• Hiring efficiency : Without a hiring plan, organizations may face inefficiencies and increased costs associated with rushed or reactive hiring processes. A well-defined plan helps allocate resources effectively, minimizing unnecessary spending on recruitment and onboarding , and leading to a better candidate experience . It also helps avoid mis-hiring and over-hiring.
• Workforce diversity : By incorporating diversity and inclusion initiatives into the hiring plan, organizations can attract a more diverse pool of candidates and foster a culture of inclusivity within the workforce. This can lead to better decision-making, innovation, and employee satisfaction.
• Employee retention : A well-executed hiring plan considers not only the recruitment of new employees but also their long-term success and retention within the organization. For example, it helps define roles and responsibilities and opens up conversations about internal mobility and development.

Overall, a hiring plan provides a roadmap for effective talent acquisition and management, helping organizations build and maintain a skilled and motivated workforce that drives success.

Who should be involved?

Hiring planning is a collaborative process between recruitment and hiring teams and leadership:

• Hiring manager : Provide insights into the skills and qualifications needed for the role.
• Human resources : Manage the planning process and put the plan into action.
• Department heads : Offer perspectives on how the new hires will interact with different teams and what competencies are necessary.
• Team members : Gather feedback from team members about what they think’s needed.
• Senior management : Executives may need to be involved, especially for strategic or high-level positions, to ensure alignment with the company’s goals and vision.
• Finance department : Ensures that the hiring plan aligns with the budget and financial planning of the organization.

If you're making a recruiting process flowchart , using a swimlane approach can help you account for the responsibilities of each department.

The Hiring Planning Process

The hiring strategy process flow goes something like this:

• Defining company and team goals.
• Assessing specific skill needs/gaps. Often, the easiest way to identify your needs is to look at gaps in skills and experience (a skills gap analysis ). Additionally, creating an org chart to go with the new hiring plan helps visualize reporting lines and working relationships.
• Assessing if the skill gap is coachable for the current team. If not—create the positions.
• Work with HR/Talent Acquisition to create job descriptions
• Work with other team leaders to discuss your ideas for hiring this person so there’s no overlap.
• Create a plan on when you need to hire and how you will do it.

The way I approach this is by running a hiring planning session with every leader in the company for the next 12 months (could be less) and we walk through things like skill gap analysis and job creation.

Throughout that process, I ask questions that bring us into the realm of workforce planning . I seek to understand current business performance needs, and then think about whether any skill gaps are coachable for the current team.

After that, it’s important to collate the headcount from all the different leaders together (including the job descriptions) and start identifying where some teams potentially may be hiring duplicates. 

This is something to watch out for in the following teams:

• Sales <> Marketing
• Engineering <> Product <> IT <> Data
• Finance <> Business Operations <> Data
• HR <> Finance
• Finance <> Procurement (if not within finance already).

For example, I once had to step in when Finance wanted to hire someone to head procurement but the supply chain team was already looking for someone to head up procurement!

Often, these situations are because one team feels like they aren’t getting enough information or bandwidth from another team and they think that hiring someone to bridge the gap and take over will help (but it never does).

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Questions To Ask While Making A Hiring Plan

Asking the right questions will make your hiring plan more strategic and sustainable.

Most line managers should be able to answer the following questions in a manner that helps you and them understand the most important aspects of their hiring needs and the scope and urgency of a role.

Q: What resources/budget do you have (if you have one)?

Let’s face it, this is very much the deciding factor here. If you go through the entire checklist and discover that you won’t be able to find the person you need with the budget you have, you will be able to go back to Finance/C-leadership to discuss this with the answers from below.

If you don’t have a budget, keep in mind the expense so you can advise finance. You may need to make tradeoffs on things like certain skills or seniority to fit a smaller budget.

Q. What will this person do here? What are the specific outcomes we expect of this role in the first 6 months/12 months/more?

I recommend talking about specific outcomes so that there a tight focus on why this person is needed. This is how you avoid hiring for skills only (i.e. “Oh this person’s skills would be nice to have in the team” —doing what?).

Q. Who will they interact with the most internally? Do we need their input in the hiring process or during the formation of the job description?

There are very few roles nowadays that don’t interact cross-functionally in the company. Getting outside opinions can broaden or narrow the role, but it’ll make it a better fit either way.

For example, if Finance wants to hire someone for Data, what is the current Data team not providing them with?

Q. Is there an overlap between the person in this role and anyone else in the company? If so, to what degree is there overlap and what are the differences making this role necessary?

Continuing with the example from above, if Finance hires a Data person, they will need to work with the Data team. But is it appropriate to have so much overlap, or can the Data team spare capacity to provide Finance with the information they need? Or, should the Data team just hire the person to keep the reporting lines clear?

Q. What experience and/or skills will the best candidate need to achieve success in the role?

This is so you and the hiring manager have some idea about what you’re looking for. Ideally, there should be some criteria that are a “must-have” and some that are “nice to have”.  

This should further cement the need for the role and start you thinking about the urgency. You should avoid being too nebulous e.g. if all you can think about is people that are good with communication and self-motivation, you may need to go back up to the outcomes. Of course, being overly prescriptive is also a hindrance.

(I cover this some more in my article on candidate sourcing ).

Q. When is the role needed—yesterday, in 3 months, in 6 months?

This is where we start thinking about the urgency of the role. This will help you and the talent acquisition team plan when a role should be posted, what is the urgency, and how many resources to put into it right now.

Q. What happens if we don’t hire the person in 6 months?

This is more of a mental exercise to think about the urgency. It’s easy to say “Well we won’t achieve our targets” and be done with this prompt. 

Take your time to think about what will happen if you don’t have this resource but the demands of your team remain the same. This is how to truly get the urgency of the role.

In my career, I’ve only had one manager tell me “Hey Mariya, my role is not urgent but wanted to give you the heads up that I need this resource in 6 months and it’ll be a tough one, so let’s post it now.” It brought tears to my eyes—be like that!

Q. Who can/will take up the mantle in the interim?

Again, this helps assess the urgency of the role and also gets the line manager thinking about creating a stretch goal for someone internally or making it part of their development plan. 

I’ve seen many a time when hiring is the first go-to, but, once we get to this question, we discover there are a lot of under-utilized people in the team already.

Q. What is the career path (if any)?

This is something any manager should think about when they look to hire anyone. Sometimes the answer is that there isn’t one because it’s a super senior role already (e.g. looking to hire a C-level role). 

Other times, however, it’s because the company needs this person only for a fixed amount of time when they look at it carefully. If so, perhaps getting a contractor is a better fit than a permanent staff member who’ll then be idle after the project.

To help make a decision, take a read of this article on Contractor vs. Employee: Pros And Cons .

Q. Do you have the time to hire right now/when will you have the time?

Hiring should take a fair bit of the weekly calendar and, the more urgent the role, the more time someone should be prepared to dedicate to the recruitment process .

Job posting, checking the applicant tracking system , posting on social media, screening resumes, and interviewing all take time.

Other things I see people forget to factor in time for include providing proper interview feedback (top talent requires good feedback), background checks, and onboarding.

Often, discussions I have with hiring managers looking to scale teams quickly revolve around their team having the capacity to run a great onboarding process for all new employees. If capacity is an issue, you might consider turning to an onboarding software tool to help streamline processes.

Q. What about company culture?

Note that in none of the above I talk about "company culture fit”. This is because I’m of the firm belief that this can be really limiting at this stage and can be a source of bias.

Focus on things like behaviors, skills, and experience fit of the ideal candidate and you will avoid all your new hires looking like they came out of the same mold.

Armed with the answers to these questions, go back to your leader or leadership and discuss the hiring plan.

If you have a dedicated hiring team/resource, be prepared to debate the urgency of your role with other teams that have equally or more urgent roles. 

The answers to the above questions also have the benefit of guiding both the selection process and the hiring decision down the line so they are doing double duty!

Hiring Planning Checklist

Most companies operate on an annual or semi-annual strategic hiring plan, so here is a checklist of what you should verify and plan for by the time the hiring period you have planned for starts.

• An overall hiring plan for the company
• A space for each team to hire throughout the period for the different roles they have
• You have verified with cross-functional stakeholders about the role you're adding
• You’ve answered all the questions in the section above
• You’ve started creating job descriptions with HR/Talent
• You’ve started thinking about how to hire this person ( how to find employees , the interview questions, or tasks in the hiring process)
• Once you have posted and started hiring for the role, you start thinking about what the next iteration of your team looks like for the next round.

Taking The Time To Properly Plan Hiring Pays Dividends

A hiring plan takes time. It can be labor-intensive, and it can make you think of things you don’t have ready answers to. 

However, that shouldn't stop you from going through the process and trying to go a bit deeper into the planning to make it more sustainable and accurate.

As if right on time, just as I was writing this article, a friend reached out to me with the following story. 

They were in discussion with a company that liked their skills but, over the course of almost 9 months, kept changing the roles my friend was being considered for. 

This is a waste of everyone's time and likely an indicator that they really didn't have a plan in place when they engaged my friend in a discussion. 

It makes me think that they saw their experience and fell for the trap of “We’d love to have someone with that experience on board” without knowing what they would do with them.

Eventually, they ended up abruptly pulling out of the process, wasting everyone’s time and leaving a bitter taste.

I wish I could tell you this is a one-off example of a particularly bad candidate experience, but it’s not. It seems to be the norm in this “hire first ask questions later” environment that we’ve bred. 

I’ve been part of these scaling efforts myself—doubled even tripled teams in a year—but I’ve always tried to be the voice of challenge in those rooms. 

This has helped the teams I’ve worked with have a clearer goal in mind so that they can, in turn, give the right candidates the best candidate experience and maintain a great employer brand .

Hiring goals should be treated just like any other goals—every minute you spend planning before you execute like mad is at least a few minutes you don’t spend backtracking and wasting.

I’m not saying that this means you will never make people redundant, but it’s always healthy to question yourself from time to time to check if you’re on the right path.

To you, hiring and firing may eventually end up looking like numbers or line items but, to people, this is their livelihood.

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How to create a strategic hiring plan

1) assess your specific needs.

A strategic hiring plan begins with defining what you are looking for in a candidate. Speak with key stakeholders to define goals for the role and discuss expectations. Dig into how success will be measured, and ensure you thoroughly understand the responsibilities of the role. These are questions candidates will ask, and it is important to be able to answer them honestly. Talking to the candidate's future manager can be useful as well. Ask them what they value in an employee, what skills they'd like to see and dig into their management style—knowing these details will help you find a match that is suited to the role and fits in well with company culture .

2) Get the Job Description Right

When thinking through how to create a hiring plan, writing the right job description should be at the top of your list. The majority of hiring managers— 72 percent —say they provide clear job descriptions, but only 36 percent of candidates say the same. A job description should be informative, but it must also do more than simply list desired skills. It should get applicants excited about the role, explain what makes your company unique and describe key responsibilities. Speak to someone who has previously held the role to make sure you accurately describe the position. If you will be posting on external job boards, investigate how similar positions are being advertised. As you contemplate how to create a hiring plan, think of your job posting as a marketing tool—what can you include that will make the candidate you want apply for the position?

3) Identify the Right Places to Look

There are many places to source candidates: external job boards, social media, employee referral programs and career pages on your company's website. Depending on the type of person you are targeting, your hiring plan may include posting on all of these platforms, or just on a few of them. When creating a strategic hiring plan, add passive candidates to your list of options as well. According to a LinkedIn study, 90 percent of global professionals are open to hearing about a new job. Seek out passive candidates at industry conferences, networking events or on social sites like LinkedIn. You may also want to consider sharing the job posting with company board members, partners in your community or trusted business associates who may be willing to recommend a candidate or share the role with their respective networks.

4) Plan How You'll Conduct Interviews

Thoroughly preparing for the interview process from start to finish should be a key part of your hiring plan. During the initial screening process, plan to focus on the candidate's resume and online presence to assess how well they match the job description. During a phone screen, make sure skills align with your expectations. If any red flags come up, move on. Use in-person interviews to answer final questions and make sure the applicant is a cultural and behavioral match. Candidates may sometimes look perfect on paper, but simply not mesh well with current employees. If possible, plan to involve internal staff in interviews, especially if they will be working directly with the new hire. Set aside time to gather everyone's feedback on the candidate—a fresh perspective is always valuable, and existing employees may catch something you overlooked. And don't forget to think about the hiring process from a candidate's perspective. The smallest negative interaction could lead to rejecting a job offer. Make sure the interview process is well-organized, easy to navigate and professional.

5) Prepare to Close the Deal

Once you've found the perfect candidate, prepare to move fast with your offer. You don't want to compete with another offer or risk losing the candidate because they are tired of waiting for you to respond. After closing the deal, don't forget to use recruiting data to track your successes. By analyzing metrics such as where best hires come from, how long it takes to make a quality hire and how many candidates you need to interview to fill a position, you can reshape your next strategic hiring plan to invest effort in the places where it will pay off most. But remember, successfully making the right hire is just the tip of the iceberg. Prioritizing employee engagement, nurturing a strong relationship and ensuring job satisfaction are an equally important part of a strategic hiring plan. By dedicating the time, effort and research needed to make the right hire, you can avoid past mistakes, build a strong company culture and ultimately retain your best employees. Want an easy way to create a strategic hiring plan for your organization? Cornerstone's HR Suite is a flexible and cost-effective solution that allows you to identify future talent gaps, identify top performers using data, compare talent metrics against industry peers and more.

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Decoding artificial intelligence in Human Resources

Artificial intelligence (AI) has revolutionized various industries, but the mystery deepens regarding its application in human resources (HR). Unlike other scenarios where the goals of AI are clear, AI in HR presents unique complexities due to its specific and ever-changing data. HR is one of the most challenging fields for AI implementation. From the nuances of natural language data to the subjective nature of HR concepts, navigating the intersection of AI and HR requires careful consideration. In this article, we will explore the intricate landscape of HR AI, address its challenges, and shed light on its groundbreaking features. it can bring to Human Resource Information Systems. (HRIS)

An adaptative HCM solution that works for everyone

Effectively managing your people means always having the right people with the right skills in the right positions as often as possible. This means supporting individual employees and managers as they complete tasks and actions related to your people and providing a foundation of planning and analysis for your organization. With the Cornerstone HCM platform, you can improve efficiency, engage your people and give your HR teams the tools to make HR a strategic part of your organization.

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• Write Your Business Plan | Part 1 Overview Video
• The Basics of Writing a Business Plan
• How to Use Your Business Plan Most Effectively
• 12 Reasons You Need a Business Plan
• The Main Objectives of a Business Plan
• What to Include and Not Include in a Successful Business Plan
• The Top 4 Types of Business Plans
• A Step-by-Step Guide to Presenting Your Business Plan in 10 Slides
• 6 Tips for Making a Winning Business Presentation
• 3 Key Things You Need to Know About Financing Your Business
• 12 Ways to Set Realistic Business Goals and Objectives
• How to Perfectly Pitch Your Business Plan in 10 Minutes
• Write Your Business Plan | Part 2 Overview Video
• How to Fund Your Business Through Friends and Family Loans and Crowdsourcing
• How to Fund Your Business Using Banks and Credit Unions
• How to Fund Your Business With an SBA Loan
• How to Fund Your Business With Bonds and Indirect Funding Sources
• How to Fund Your Business With Venture Capital
• How to Fund Your Business With Angel Investors
• How to Use Your Business Plan to Track Performance
• How to Make Your Business Plan Attractive to Prospective Partners
• Is This Idea Going to Work? How to Assess the Potential of Your Business.
• When to Update Your Business Plan
• Write Your Business Plan | Part 3 Overview Video
• How to Write the Management Team Section to Your Business Plan
• How to Create a Strategic Hiring Plan
• How to Write a Business Plan Executive Summary That Sells Your Idea
• How to Build a Team of Outside Experts for Your Business
• Use This Worksheet to Write a Product Description That Sells
• What Is Your Unique Selling Proposition? Use This Worksheet to Find Your Greatest Strength.
• How to Raise Money With Your Business Plan
• Customers and Investors Don't Want Products. They Want Solutions.
• Write Your Business Plan | Part 4 Overview Video
• 5 Essential Elements of Your Industry Trends Plan
• How to Identify and Research Your Competition
• Who Is Your Ideal Customer? 4 Questions to Ask Yourself.
• How to Identify Market Trends in Your Business Plan
• How to Define Your Product and Set Your Prices
• How to Determine the Barriers to Entry for Your Business
• How to Get Customers in Your Store and Drive Traffic to Your Website
• How to Effectively Promote Your Business to Customers and Investors
• Write Your Business Plan | Part 5 Overview Video
• What Equipment and Facilities to Include in Your Business Plan
• How to Write an Income Statement for Your Business Plan
• How to Make a Balance Sheet
• How to Make a Cash Flow Statement
• How to Use Financial Ratios to Understand the Health of Your Business
• How to Write an Operations Plan for Retail and Sales Businesses
• How to Make Realistic Financial Forecasts
• How to Write an Operations Plan for Manufacturers
• What Technology Needs to Include In Your Business Plan
• How to List Personnel and Materials in Your Business Plan
• The Role of Franchising
• The Best Ways to Follow Up on a Buisiness Plan
• The Best Books, Sites, Trade Associations and Resources to Get Your Business Funded and Running
• How to Hire the Right Business Plan Consultant
• Business Plan Lingo and Resources All Entrepreneurs Should Know
• How to Write a Letter of Introduction
• What To Put on the Cover Page of a Business Plan
• How to Format Your Business Plan
• 6 Steps to Getting Your Business Plan In Front of Investors

How to Create a Strategic Hiring Plan There's no "I" in team. Here are some ways to surround yourself with motivated employees who drive your company to success.

By Eric Butow Oct 27, 2023

Key Takeaways

• What to consider before hiring
• What most employees look for in a job
• How to add and retain employees

Opinions expressed by Entrepreneur contributors are their own.

This is part 3 / 9 of Write Your Business Plan: Section 3: Selling Your Product and Team series.

One of the beauties of being an entrepreneur, as opposed to a solo practitioner or freelancer, is that you can leverage the activities and skills of all the people you employ. This is one of the secrets to building a personal fortune. And it's one you can use even if you didn't happen to be born with a silver spoon in your mouth or an oil well in your backyard.

The decision of how many people you want to manage is entirely up to you. It depends on the time commitment you cannot make to do other tasks or the need to perform skills that aren't your strengths. Part of hiring other people is to have them handle aspects of the business that you cannot or should not be doing. After all, we have different personalities, interests, and passions.

There are very few one-person businesses unless you are including independent contractors. Businesses are run by teams of people, from two or three to thousands, and team members excel in many areas. You also need to factor in how much you expect to grow. Some entrepreneurs want to retain a small, easy-to-manage business, while others want to build an empire.

Organization Chart

"For many businesses, personnel is the largest expense, so it's important to think through the forecast and make adjustments to the timing of planned hiring based on your revenue projections, profitability, and the cash you have available to meet payroll obligations," says Noah Parsons , COO at Palo Alto Software. "You'll also want to think about how your business is organized and what the management structure will look like. You can use tools such as an organizational chart to help figure out your personnel plan and then add that to your business plan.

An organizational chart, or org chart, graphically sorts your company into its major functional departments—finance, administration, marketing, production, etc. It's the quickest, clearest way to say who is in charge of what and who reports to whom

Hiring Considerations

To help you in your strategic staffing projections, consider these factors:

• What are your key business objectives? ( Hint : These may be things such as increasing sales or reducing costs. The idea is to make sure that your hiring decisions fit your strategy. If, for example, geographically expanding your retail store chain is a primary objective, a staffing plan will have to include managers for each new location.)
• What skills will your employees need?
• What new skills will current employees need to possess? ( Hint : You may find you are better off with fewer workers who are more highly trained or have different skill sets.)
• Which of these skills are central to your business—your core competencies? ( Hint : You may want to outsource peripheral functions. Accounting, legal matters, and human resources are frequently outsourced by companies whose main business is elsewhere and who find it doesn't make sense to spend the effort to attract and retain skilled employees in these areas.)
• List the jobs and job descriptions of the people it will take to provide these skills. ( Hint : The idea here is to identify the employees whose job titles may mask their actual function in the organization so you can figure out how many people, and what type of people you really need to include.)
• Determine how many people you will be hiring and what your budget will be for these positions. Will there be any job sharing? ( Hint : Make sure your salaries are commensurate with the going rates in your region. If you can pay more, you can attract a higher level of employees. If you pay less, try to find nonmonetary benefits that you can offer, such as telecommuting, which saves employees time and money on getting to and from work each day.)

Now, you should be able to accurately predict how many and what kind of people you need to achieve your long-term objectives.

Adding and Retaining Key Employees

If you want your business to grow, you'll want to have key employees who share your vision and goals. Sometimes, you will find an established individual, like a highly acclimated chef for your restaurant or an art director with years of experience for your company. You may not always know what the future holds when you bring someone on board, but you believe they have what it takes to become a key employee. These are individuals that you can envision moving up the path of ascension. Either way, you should make it clear in your business plan which key positions you want to fill and how you plan to find the people to fill those roles.

Of course, the economy will factor into your decision on whom to hire and how much you can afford to pay them. In a struggling economy, more highly skilled employees will be seeking work, but you may be unable to risk high salaries. In such instances, you may opt for trial periods before committing to full-time salaries. You may also look for independent contractors for key positions. Remember, it's much easier to find skilled people in various aspects of business than it is to learn everything yourself. When the economy is going well, however, you will have to up the ante to bring on key employees because there is more competition. Then there is your plan to hold onto key employees, which is important to include in your business plan.

An organizational chart graphically sorts your company into its major functional departments—finance, administration, marketing, production, etc. It's the quickest, clearest way to say who is in charge of what and who reports to whom.

What Employees Want

The things that make employees want to come to work for you and stay vary. For employees, choosing whom to work for is a highly personal decision. That's why it's crucial to understand the individual needs of your key employees so that you can give them exactly what they want. If you offer only a higher salary to an employee whose most important concern is that she works at a job offering flexible hours so she can care for an elderly parent, then you probably won't retain that employee.

Here are some common concerns that drive employment decisions:

Benefits Paid holidays and sick leave, health insurance, and retirement plans such as 401(k)s are among the benefits listed as most desirable by employees.

Compensation Salary, bonuses, stock options, profit sharing, and auto mileage allowances are among the most important compensation issues to employees.

Other perks On-site childcare, flexible schedules, telecommuting, paid memberships to business groups, and health perks such as yoga classes or free medical screenings are also important to employees

This list is by no means comprehensive. Employee needs are as complex as humanity. One person may stay because she likes the view out her window on a high floor; somebody in an identical office may leave because heights make him nervous. One of the most important needs, especially for highly motivated employees, is maintaining a constant atmosphere of learning, challenge, and advancement. If you can find a way to let your employees grow as your company does and feel a sense of ownership and inclusion, they're likely to be more conscientious and motivated.

More in Write Your Business Plan

Section 1: the foundation of a business plan, section 2: putting your business plan to work, section 3: selling your product and team, section 4: marketing your business plan, section 5: organizing operations and finances, section 6: getting your business plan to investors.

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How to Design a Better Hiring Process

• Alex Haimann

It’s time to move past “What are your greatest strengths and weaknesses?”

Many standard interview processes rely on outdated behavioral questions like “What are your greatest strengths and weaknesses?” to evaluate prospective hires. But more often than not, these types of questions fail to reveal useful information about a candidate’s competencies. A better approach is to immerse job candidates in unconventional scenarios to gather the most useful insights about their critical-thinking abilities, tech savviness, and interpersonal skills. For example, if you want to test their ability to prepare, let them know the questions you’ll ask beforehand. If you want to test their technical skills, give them a problem to solve in real-time. And if you want to see if they’ll be a good cultural fit, have them play an interactive game with your employees.

Shortly after we started hiring for our business, we recognized that most traditional interview processes  are flawed , at best. At the time, we had a goal of growing our CRM software company from six to 18 employees. Our objectives were simple: Find talented people to contribute to our culture, generate great work, and stay with us for the long term. To avoid retention issues, we decided to focus on optimizing our interview process early on as opposed to relying on outdated behavioral questions to guide us.

• Alex Haimann is a partner and the head of business development at  Less Annoying CRM , a simple CRM built from the ground up for small businesses. Over 10,000 small businesses worldwide use LACRM to manage contacts, track leads, and stay on top of follow-ups. LACRM continues to grow by engaging customers and finding new opportunities for mutually beneficial partnerships.

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How to Hire Employees: The 12 Components to a Good Hire

11 Min Read | Jul 16, 2024

Leading your business is easy . . . until people get involved. They’re your greatest asset and greatest challenge. That’s why investing the time and energy to hire well is so important—and so freaking hard! But here’s the thing: Just like the Kentucky Derby, you can’t win in business with a team of donkeys—you need thoroughbreds.

Look, we’ve all been tempted to cut corners here. The pressure is real trying to figure out how to hire employees for your small business. Maybe you’ve even used the mirror system (if the candidate can fog up a mirror, they’re hired). But the only way to build a strong team — with high morale and low turnover — is to take more time . Learn how to hire employees the thoroughbred way, following the components listed below, and you’ll be set for business success.

Related article: America's Labor Shortage

12 Components to a Good Hire

• Get referrals.
• Do a 30-minute drive-by interview.
• Check the resumés and references.
• Use testing tools.
• Ask yourself, do you like them?
• Look for passion. (Do they light up?)
• Review their personal budget.
• Discuss compensation.
• Create a Key Results Area (KRA).
• Do a final in-person interview and go on a spousal dinner.
• Implement a 90-day onboarding and probation plan.

Why Time Is Powerful When You Hire

Before you explore the details of the 12 Components to a Good Hire, it’s worth repeating: Take. More. Time. Here’s why:

• Hiring affects everything in your organization : your brand, culture, product delivery, customer care—everything.
• You don’t want crazy, incompetent, toxic gossips in your building !
• Time reveals gold—and also brings junk to the surface. Invest in the process to get the results you want.

You’ll also want to take plenty of time to create the job posting for your open position. A well-crafted description will attract the personality, skills and character traits you want. Give enough detail to help candidates rule you out if you’re not a fit for them . Check out this example post for a copy editor position that’s clear on what the company wants and doesn’t want:

Attention, grammar geeks! We’re looking for a highly skilled, detail-obsessed, professional copy editor with a great attitude and high work ethic. We want someone who has at least three years of experience in professional copy editing (i.e., not just editing your college roommate’s papers). We’re not looking for a writer who can edit. We’re looking for a copy editor who loves to edit copy—period. Is that you?

Free KRA (Key Results Area) Template

Want an easy way to create KRAs for your team members? Grab our free template, plus get a couple examples of completed KRAs for reference!

The Nitty-Gritty: 12 Components of a Good Hire

Once you’re clear on what you’re looking for and have an awesome job description, you’re ready to build out your hiring process. These 12 steps will help you keep out the donkeys and bring in the thoroughbreds.

Ask God to send the team members you need to do the work He’s given you to do and keep out the crazy. If that’s not your thing, at least take some time to nail down the type of person you want (and don’t want) to work with every day. Reflection brings clarity.

2. Get referrals.

Thoroughbreds run with thoroughbreds, so ask your team members to refer people from their circle who they’d want to work with. If their referral is hired and completes the 90-day probation period, give the referring team member a cash bounty—and hand it out in front of the whole team. Nothing like a little cash to inspire great leads!

3. Do a 30-minute drive-by interview.

Never—never—hire someone after just one interview. Start with a 30-minute “get to know you” conversation where they do most of the talking while you ask questions and listen. And be sure not to go over the 30 minutes. You’ll be amazed at what you learn in that call, and you’ll be clear on whether to set up a second interview.

4. Check the resumés and references.

A resumé gives you an overview of the candidate’s formal training, skills and certifications. Use it as a conversation starter, but don’t lean on it (or on their references) too much. People can say anything. Occasionally when you check a reference, you’ll find a candidate didn’t tell them to expect a call or email. The candidate may even include someone who doesn’t have nice things to say. These are often signals to run in the opposite direction.

5. Use testing tools.

You need enough relational intelligence to know who to bring on, but the right tools can also help you figure out if someone would be a good fit in the role. You might give assignments in writing, copy editing, presenting, or web development, with hard deadlines, to test the chops of candidates whose roles require those skills.Another fit indicator is the DISC personality assessment . It’ll give you a quick look at how the candidate’s personality fits the team and the work you need done. For example, if you need someone great at crunching numbers, you should see high scores in organization and details on their assessment.

6. Ask yourself, do you like them?

Hire people you like. It’s that simple. You run a small business and probably spend a lot of time with your team, so relationships matter. Skills alone aren’t enough.  If someone’s good at the task but they’re a jerk or have a vastly different value system, you won’t like working with them (and they won’t like working with you either).

7. Look for passion. (Do they light up?)

Look for passion when they talk about the position and your company’s mission. Lack of passion is the easiest way to spot someone just looking for a J-O-B. If all they want is a paycheck, you’ll never keep them happy. You want employees who are excited about what they’re doing—construction workers who want to build homes for families to make memories in, writers who want to inspire hope, web developers who want to create an easier experience for customers. Look for fired-up people who love their work and own the why behind it.

8. Review their personal budget.

Can the candidate afford to live on the salary you provide? If not, sooner or later, they’ll blame you for “not paying enough” even though they accepted your offer and should know what they can and can’t live on. When people are worried about their bills, they’re distracted and can’t give their best. So serve your top candidates—before they join you—by making sure they can care for their family and meet their obligations with what you pay.

9. Discuss compensation.

It makes sense for people to want to know what the compensation package is, so share it with them a few steps into the hiring process. But if their first question is about what you’re going to do for them, they’ll leave you for 10 cents more an hour. They’re takers, not givers. You want people excited to add to your organization. If they’re preoccupied by the benefits, don’t hire them.

10. Create a Key Results Area (KRA).

This is a job description that shows what winning looks like in the role you’re filling. A KRA can be as simple as defining the number of calls and sales volume required of a sales position or the maximum time a customer should be on hold. Operating without a KRA is like taking people bowling and turning out the lights. They’ll make a lot of noise but won’t really know what they’re doing. That’s why you need to be clear about the role you’re hiring for—otherwise, the person you bring could leave when they find out what their job really is.

You probably thought running a business sounded fun—until you realized it would actually run you. Discover the EntreLeadership System—the small-business road map that takes the guesswork out of growth.

Related article :  How to Create Role Clarity Using Key Results Areas

11. Do a final in-person interview and go on a spousal dinner.

This may be the best advice on the list. When you're pretty certain the candidate is a good fit for your business, bring them on site to meet your team and see how things work in your company. That evening, take them to a casual restaurant to get to know them better and share your company story. If they're married, include their spouse and yours. It’s a game changer. As the spouse hears about your culture and the job role, they’re usually eager to share whether they think the position fits. One more bonus: You’ll discover if your candidate is married to crazy. If they are, stay away.

12. Implement a 90-day onboarding and probation plan.

Once a person is hired, set them up for success with a good orientation and onboarding plan . Also put them on probation so everyone can make sure the fit is right. This is a low-obligation period where they can walk away if they choose. But if they decide to leave, discuss what went wrong and try to fix it first. You’ve invested a lot to get here. Every quarter or so, celebrate all your new team members who made it through their first 90 days. This is the perfect time for you and your leaders to pass the baton to them as protectors of culture and make it what they want it to be.

Bonus Tips for How to Hire Employees for Your Small Business (and Develop Winning Team Members)

Are you seeing why some company cultures tank and how bad processes create a revolving door of frustrated employees ? That’s good! You’re getting it. Resist the urge to keep doing what you’re doing if it’s not working. That’s the definition of insanity. And you’re better than that.

Also remember: The cost of churning through team members is high . (You’ll pay the equivalent of six- to nine-months’ salary to replace a team member alone.) So, have the courage to do the right thing the right way for your company’s sake. Then, go to battle early and often to care for, connect with, and keep the team you’ve built. That’s called great leadership!

These additional tips will guide you too.

Look for team members who are motivated by opportunities and your company’s philosophy.

If they only care about opportunity, sure, they’ll grow and add to the bottom line, but they’ll miss the greater mission of serving people. If they only care about your company philosophy, they’ll care about mission and culture but potentially miss business objectives and fail to operate at the speed of your business. You want excellence plus integrity from your team members.Thought leader Patrick Lencioni puts it this way: “The kind of people that all teams need are people who are humble, hungry, and smart: humble being little ego . . . hungry, meaning they have a strong work ethic . . . . smart, meaning not intellectually smart but inner personally smart.”

Never sell a J-O-B.

Always have an opportunity available, an adventure, a disrupter. Sell the idea of doing work that matters and invite candidates who are the right fit to climb on board. People want to be part of something bigger than themselves. Help them see how your mission offers that.

Don’t forget the paperwork.

You’ll jump through a mind-numbing number of hoops as you document and report on your hiring process. These are among the most common:

• An I-9 form and supporting documents to make sure the candidate is eligible to work in the United States. The form includes their contact details, Social Security number and employment eligibility.  
• A background check, once you’ve made the job offer, to keep you, your team and your customers safe. Once the applicant authorizes this, you’re free to use a third-party agency to run the check.  
• A W-4 form completed by your new team member for federal income tax withholding.  
• A W-2 form you’ll complete to detail their earnings and taxes withheld. If your state has a state withholding form, you’ll need to complete that too.  
• Other details, like reporting new hires to your state employment agency, getting the right insurances, and setting up payroll.

How to Keep the A-Team You Build

Hands down, your largest business investment is your people. So, once you’ve got the right ones in the right seats, you’ll want them to keep thriving. One way Ramsey Solutions stays connected with team members regularly is through Weekly Reports—a tool delivered through the EntreLeadership Elite system.

Weekly Reports give you a weekly one-page snapshot from every team member so you can see (and respond to) their highs and lows, morale, stress, and workload. It’s a game changer for trust, care and communication!

So now that you have the knowledge, go out there and hire your A-team!

• Learn  how to create role clarity so your new employees know exactly what's expected of them.
• Grab our free guide to crafting Key Results Areas (KRAs) for the roles you're hiring.
• Subscribe to  The EntreLeadership Podcast to keep learning.
• Join EntreLeadership Elite and start using Weekly Reports to help you lead your team, grow your business, and create world-class culture.

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About the author

Ramsey Solutions

Ramsey Solutions has been committed to helping people regain control of their money, build wealth, grow their leadership skills, and enhance their lives through personal development since 1992. Millions of people have used our financial advice through 22 books (including 12 national bestsellers) published by Ramsey Press, as well as two syndicated radio shows and 10 podcasts, which have over 17 million weekly listeners. Learn More.

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How to Create a Yearly Hiring Plan

Liz Strikwerda

Does your company currently hire on an as-needed basis? For example, when the workload becomes unsustainable, you begin a candidate search. When someone quits, you dust off the job description and start posting.

With a de facto reactive system, you are always playing catch up. It not only stifles productivity, it lowers the quality of onboarding and job training.

If this is the case for your organization, we encourage you to create a strategic hiring plan yearly.

What Is a Yearly Hiring Plan?

A hiring plan is a comprehensive strategy. It aligns hiring resources with business goals and long-term staffing needs .

How Will a Yearly Hiring Plan Help My Company?

A good hiring plan ensures continuous business operations. When you anticipate talent needs , you can take the time to find the perfect employee for each position. You can plan better for onboarding, training, and mentoring. A carefully sourced hire adds value sooner than a panic hire.

Filling positions quickly prevents existing employees from being buried with extra work. Team members are less likely to become burned out. This protects you from overworked employees quitting.

Let’s recap the benefits of a yearly hiring plan:

• Prevent lapses in production
• Ensure steady business growth
• Unhurried recruitment results in higher quality hires
• Prevent burnout and turnover due to understaffing
• Anticipate onboarding and training needs
• Reduce stress on the hiring team
• Stay within your hiring budget

How Do I Create A Yearly Hiring Plan?

• Assess current workforce
• Outline business growth goals
• Identify talent needs
• Evaluate current hiring processes
• Create a timeline for hiring
• Align hiring practices and resources with needs

1. Interview Stakeholders

First, gather information from everyone. This means the executive team, managers, and several rank and file employees. Be methodical and thorough.

Interview each manager about each position in depth. This is how you can identify skills gaps. Find out if the current hires are a good fit. If they aren’t, you need to improve your hiring process. Consult our series How To Hire Your Next Employee.

Talk to members of the executive team about the business strategy. Which new job roles will be necessary? Once you have finished your plan, you will need to circle back if the hiring budget is too low. At that point, you will have justification for requesting an increase.

If your company is too large to talk to everyone in person, create a survey. If you use an HR portal , post a link to a questionnaire on the HR interface.

Talk to current employees about the quality of onboarding and training. Take a pulse on workforce morale. Find out if the day-to-day work has met their expectations.

2. Assess Your Workforce

• What skills does your team possess?
• What skills will you need?
• Are there positions you want to fill internally with promotions or additional training?
• How many new employees will you need?
• What is the overall turnover rate? What is the rate per team and/or job role?
• Will changing dynamics affect turnover?

3. Evaluate Your Hiring Process

• Is it working?
• Are you hiring quality employees?
• Are you filling positions in a timely manner?

4. Hiring Resources

• What is your hiring budget?
• Will it be adequate for upcoming hiring needs?
• What is your cost-per-hire?
• Can you reduce cost-per-hire without lowering hiring outcomes?
• Do you need to upgrade your recruiting software ?

You can’t chart a course without knowing where you are right now. The first step in creating a plan is identifying your current situation. Interview as necessary and answer the questions outlined previously. Identify actionable steps. Now you will document your findings.

Your Yearly Hiring Plan

• Positions to be filled
• Detailed timeline
• Hiring operations: designate tasks for hiring team members, managers, and HR
• Adjust onboarding and training programs based on needs

Use ApplicantStack To Meet Your Hiring Goals

Do you have capable recruiting software ? Pairing a top applicant tracking system with a long-term hiring plan is the solution.

Are you a new hiring manager or HR director? Has your company never had a formal hiring plan?

Follow the steps outlined to create a yearly plan. Use ApplicantStack to execute it. ApplicantStack helps you recruit quality candidates in the shortest time possible. Secure yourself a place at the decision-making table. Pat yourself on the back.

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Hiring Process Steps

Table of contents, what is a hiring process, 15 steps of the hiring process, plan your own hiring process.

1. Identify the hiring need

The hiring process begins by identifying a need within your organization. This need could vary from filling a vacated position, better managing a team’s workload, or expanding the reach of organizational tasks. Positions are, in other words, either newly formed or recently vacated.

2. Devise A Recruitment Plan

Once an organization identifies a hiring need, it should begin recruitment . In the case of newly formed positions, organizations should clearly identify how the new role aligns with its goals and business plan. Organizations should also keep relevant internal teams and employees apprised of the new position at each stage of the hiring process. It’s important that all those involved in the hiring decision agree to the hiring process, steps, and appropriate communication channels. Recruitment also includes strategizing how to publicize the new position, both internally and externally; criteria for initial candidate screening; what the interview process will look like; and who will conduct interviews.

3. Write a job description

The hiring staff should start by generating a job description that includes a prioritized list of job requirements, special qualifications, desired characteristics, and requisite experience. The job description should also include information regarding salary and benefits.

4. Advertise the Position

Identifying highly-qualified potential candidates begins internally. Start, therefore, by notifying current employees of the opening. Advertising the job may stop there, if you are determined to fill the position internally. If, however, you are interested in external candidates, you should include this information when you notify internally. External publicity will likely consist of utilizing a combination of the company’s website and social media platforms, job posting sites like LinkedIn, job fairs, industry publications and events, local newspaper advertisements, and word-of-mouth recruitment. Publicity will likely consist of utilizing a combination of the company’s website and social media platforms and job posting sites like LinkedIn, industry publications, and local newspaper advertisements.

5. Recruit the Position

Beyond simple job posts, the hiring staff should reach out directly to desirable candidates via LinkedIn, social media, and job fairs. Active recruitment will help generate applications from potential candidates who are not actively searching for new jobs but may be perfect for the available position.

6. Review Applications

Your organization likely already has a mechanism in place to receive applications--via email, an applicant tracking system (ATS) , etc. In many cases, the review process begins with Human Resource representatives who review the applications and eliminate any candidate who does not meet the minimum requirements for the position or the company more generally. In other instances, the hiring team or hiring manager may prefer to review each application. Once a batch of qualified applications are assembled, the hiring staff should review the remaining candidates and identify those they want to interview.

7. Phone Interview/Initial Screening

Initial interviews typically begin with phone calls with HR representatives. Phone interviews determine if applicants possess the requisite qualifications to fill the position and align with an organization’s culture and values. Phone interviews enable organizations to further pare down the list of candidates while expending company resources efficiently.

8. Interviews

Depending on the size of the organization and hiring committee, one or several interviews are scheduled for those remaining candidates. Interviews include:

• Early interviews are typically one-on-one, in-person interviews between the applicants and the hiring manager. Early interviews conversations typically focus on applicants’ experience, skills, work history, and availability.
• Additional interviews with management, staff, executives, and other members of the organization can be either one-on-one or group interviews with the hiring committee . They may be formal or casual; on-site, off-site, or online via Skype, Google Hangouts, etc. Additional interviews are more in-depth; for example, in interviews between a candidate and multiple members of the hiring team interviewer, each member of the hiring team focuses on a specific topic or aspect of the job to avoid redundancy and ensure an in-depth conversation about the role and the candidates qualifications and experience. Note: at this stage, you should also inform the candidates you elect not to request an interview that the search has moved forward and they are no longer under consideration.
• Final interviews often include conversations with the company’s senior leadership or a more in-depth discussion with an interviewer from an earlier stage in the hiring process. Final interviews are typically extended only to a very small pool of top candidates.

9. Applicant Assessment

Once the interviews are completed, or during their completion, company’s often assign applicants one or more standardized tests. These exams measure a wide range of variables, including personality traits, problem-solving ability, reasoning, reading comprehension, emotional intelligence, and more.

10. Background Check

Your initial job posting should indicate that all candidates are subject to a background check. Background checks review candidates’ criminal record, verify employment history and eligibility, and run credit checks. Some organizations also check social media accounts (Facebook, Twitter, etc.) to make sure potential employees are likely to represent the company in a professional manner. Drug testing may also be warranted, depending on the position.

11. Decision

After conducting background and reference checks, the hiring staff identifies their top choice. The hiring staff should also select a backup candidate, in case the top choice declines the offer or negotiations fail to produce a signed offer letter. In the event that no candidates meet the hiring criteria, the hiring staff should determine whether or not to start the hiring process over. If so, the hiring staff should discuss whether or not to adjust or alter the hiring process in order to yield more favorable candidates.

12. Reference Check

Reference checks should verify any pertinent information shared by the candidate about previous employment--job performance, experience, responsibilities, workplace conduct, etc. A typical question to ask references is “Would you rehire this person?”

13. Job offer

Once a top candidate is identified, the organization should extend an initial offer. The offer letter should include the position’s salary, benefits, paid time off, start date, potential severance pay, working remotely policy, included company equipment and other terms and conditions of employment. Negotiations are likely to follow. Therefore, the hiring staff should determine internally which elements of the offer letter are negotiable, and which are not. It is typical for terms like salary, flexible work schedule, and working remotely to be negotiable.

After negotiations, once the candidate accepts the job offer they are hired. An accepted offer letter begins a process of filling out and filing paperwork related to employment. Forms and paperwork might include:

• Form I-9 and E-Verify
• State Withholding and Registrations
• A checklist with all required paperwork to be completed by new employees
• An organization’s employee handbook

15. Onboarding

• A Guide and Template for Crafting Rejection Letters the Correct Way
• Candidate Aptitude Test
• Group Interview
• How to Calculate Recruitment Costs for 2022
• Interview Feedback Form
• Interview Scorecard
• Quality of Hire
• Screening Questions
• Skills Test
• Social Recruiting

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HR Business Plan Template: Everything You Need to Know

With an HR business plan template, you can help your company recruit new employees, retain existing employees, and guide the development of the workforce. 4 min read updated on September 19, 2022

With an HR business plan template, you can help your company recruit new employees, retain existing employees, and guide the development of the workforce so that you collectively meet your business objectives, regardless of any changes in the industry or economy.

When creating your HR business plan, you need to perform a needs analysis of your workplace to tailor the plan to your company's requirements. You'll also need to learn about the industry standards for your field to make sure you're competitive.

Without such a plan in place, your workers will feel unprepared and won't know how to work towards your company's overall goals.

Steps for Developing a Human Resources Department Business Plan

There are several steps to creating an HR business plan. They include:

• Clarify the requirements . While you might be tempted to create a detailed plan that encompasses the entire company's next 10 years, hold off. Always talk with your boss to see how much detail he or she would like in the plan. This will save you time and help streamline the process. However, there's no harm in creating your own personalized strategic plan for your specific department.
• Read through the HR job descriptions . The HR department typically has employees such as HR assistants, HR generalists, and an HR director . Read through the job descriptions for each worker in the department and see what kind of duties are missing. Brainstorm additional functions that each job role could provide to the company.
• Curate your list . Take the different functions you've brainstormed and compare them to what each member of the HR department is already doing. Are there functions you could add or subtract from each employee for more productivity? You don't have to go into detail here, but just think about how you could improve each role.
• Schedule a meeting with the executives . Before you make any changes, you'll obviously need to get input and approval from the company's executives. They may have more feedback on how the HR department can provide additional services and support the company's overall goals and mission.
• Create a feedback form . Come up with a list of questions to ask leadership about HR's role in the company and provide it to them in advance of the meeting so they have time to think it over and talk with their staff. You may even want to provide a rating and ranking format for the questions, as this will make their responses easy to understand and implement. Overall, this is a key process to understanding what management and employees want and need from the HR department.
• Look at external resources . While the internal information you're collecting is the most important, it also doesn't hurt to take a look at data from professional organizations and websites, such as the Society for Human Resource Management , The Balance , or HR Magazine . You can also ask colleagues from other local organizations for tips on creating your business plan.
• Use this information to make a plan . With your ideas, feedback from executives, and tips from external resources, you should have a clear idea of what your plan should look like. The things that are missing from the HR department should now be clear, and this should guide you on what to focus on to improve HR's contribution to the company.
• Identify goals for this year and next . While your plan can have long-term goals, keep the majority of them a little bit shorter in scope to see how things work out. This gives you the chance to reorganize and restructure if things aren't going right. Consider creating a list of accomplishments you can reach for the end of this year and into the next.

A Real Life Example

If you're seeking more guidance on how to create a successful HR business plan, look to Starbucks as an example.

As the world's largest coffee chain, Starbucks had $21.3 billion in sales in 2016.

Despite these massive numbers, Starbucks maintains the same approach to their human resources department. All of the HR planning is guided by the company's organizational strategy and brand.

Their strategy is to use specific interview techniques when hiring new employees. This lets them identify potential leaders and place them in a "New Partner Orientation and Immersion" training program. With this system, Starbucks has achieved the lowest employee turnover rate in the quick-service restaurant industry.

Starbucks also offers numerous employee perks and dedicates a lot of time to employee training through an online portal that teaches employees essential job skills.

If you need help with your HR business plan template, you can post your legal need on UpCounsel's marketplace. UpCounsel accepts only the top 5 percent of lawyers to its site. Lawyers on UpCounsel come from law schools such as Harvard Law and Yale Law and average 14 years of legal experience, including work with or on behalf of companies like Google, Menlo Ventures, and Airbnb.

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Top 10 Employee Development Plan Examples to Help Your Team Grow

Discover the top 10 employee development plan examples to help your team grow and drive your business to the heights of success. 

Investing in your employees’ transformation from average to exceptional is like building a valuable asset for your company. That's the reason an employee development plan is essential to create an environment where every member feels valued and motivated, resulting in working hard for your company's success.

Research reveals that 76% of employees prefer to stay in a company that frequently provides training for their growth. Considering the need, 47% of companies invest in career mentoring and coaching to boost employee retention. So, an employee development plan is a winning formula if you want to stay ahead of the curve. In this article, we will explore the top 10 employee development plan examples that will help you build a valuable workforce. 

What is an Employee Development Plan?

The employee development plan is a roadmap designed to help employees grow professionally within the organization. These live documents, created collectively by employees and line managers, outline actionable steps, business goals, and milestones for growth. 

This comprehensive growth plan encompasses various development programs, mentorships, and assignments that challenge individuals, push them to think outside the box, and enhance their capabilities. It also boosts employee critical thinking and fosters problem-solving skills.

The employee development plan benefits both employees and employers. Employees have clear goals and resources that will help them excel in their professional careers. Meanwhile, employers have a tangible way to support their team and equip them with the resources needed to reach their full potential and, in turn, work hard for the company's success. 

Why is an Employee Development Plan Important?

According to the LinkedIn Global Talent Trends Report, 59% of employees listed professional development opportunities as a top area where organizations should invest in improving company culture. This shows that an employee development plan is more of a necessity to evolve and retain top talent in this competitive world. 

Here are some more benefits of an employee career development plan: 

1. Professional Development 

A strong employee development plan helps employees in their professional careers, preventing learning stagnation that often comes during jobs. According to a Gallup report, 59% of millennials find growth opportunities at work highly critical, showing that skill development is more important for employees than ever.

2. Higher Employee Retention Rate

If employees feel that there's no growth opportunity in a job, they become demotivated and start looking for new challenges outside that fulfill their purpose. A survey reveals that lack of opportunities accounts for 37.1% of employee departures. 

3. Enhanced Job Satisfaction 

Employees who see a lot of growth potential in their jobs are more satisfied and committed to their company. 

4. Increased Productivity 

Employee development plans are not only for the benefit of employees but also for the organization's success. When equipped with top-level skills and knowledge, employees will perform better and be more productive. 

5. Improving Business Performance 

Providing development opportunities to your current employees is far better and cheaper than hiring new people every other day. Continuous learning and upskilling help build a strong team that actively participates in your company's success. Reports reveal that 66% of employers have seen higher ROI within one year of investing in upskilling their workforce.

Source: LinkedIn Talent Solutions

Top 10 Employee Development Plan Examples

A tailored employee development plan is crucial to meet the organization's unique needs. This approach addresses the various aspects of professional growth to create a skilled and valuable team. Here are the top 10 employee development plan examples to help your team grow: 

1. Skill-based Employee Development Plan Examples 

A skill-based development plan focuses on enhancing employees’ technical and soft skills. Examples of skill-based employee development plans include learning new software, improving communication skills, problem-solving skills, time management, and project management. These can be done through certification programs, hands-on training, or workshops led by experts. 

With a detailed development plan for skill enhancement, employees feel a sense of satisfaction and confidence to meet new challenges. Furthermore, interacting with colleagues from different departments can help them exchange ideas, best practices, and insights, leading to a collaborative workforce. 

2. Leadership Skills Development Plan 

A key goal of a leadership development plan is to spot top and skilled talent and prepare them for future leadership roles within the organization. According to a Gartner survey,  60% of HR executives prioritize building leadership and management competencies for their company. 

 Employee development plan examples in leadership include team building, emotional intelligence, conflict resolution, and communication. These plans are implemented via seminars, workshops, coaching sessions, and mentorships under already skilled individuals. While training and knowledge are essential, hands-on practice helps grow your leadership skills.  

‍ Source: Gartner.

3. Goal-Based Employee Development Plan Examples 

A goal-based development plan empowers employees to set and meet certain milestones, objectives, and key results (OKRs). 

It begins with identifying long-term goals, which are then broken down into smaller ones. Then, small goals are turned into individual objectives and key results. Next, employees are given to-do lists and resources to reach their goals.

Goal-based employee development plan examples encompass task prioritization, multitasking, deadline management, and productivity. Conduct seminars or some one-on-one effective training programs to help your employees excel at these tasks. Above all, collaboration between managers and employees is vital for the success of a development plan. 

4. Performance-Based Employee Development Plan Examples 

A performance-based development plan focuses on improving employees' existing skills that directly influence their performance. To achieve this, incorporate workshops, seminars, professional conferences, certification programs, and mentorships to help your employees develop expertise. 

Regular feedback for performance is imperative to helping employees enhance their skills. For instance, if a sales manager struggles with communication, a development strategy should be devised to close this gap. According to a survey, 83% of employees appreciate receiving feedback from their managers to improve their work performance. 

‍ Source: TRUELIST

5. Individual Employee Development Plan Examples (IDPs)

An Individual development plan is tailored to meet each employee’s needs, skills, and interests. It outlines a personalized roadmap for career advancement through courses, specific training programs, mentorship opportunities, and e-learning development services . Individual development plans enhance employee retention, engagement, and business performance and empower them to work confidently.

6. Ad Hoc Employee Development Plan Examples 

An ad hoc growth plan is suitable for employees who want to learn unique skills and pursue degrees or certifications to increase their competitive advantage in career roles. This development plan is tailored to each employee's needs, improving job performance, satisfaction, and better career prospects. For example, an employee aspiring to take a degree in leadership while continuing his job can achieve this only through an ad hoc development plan.

By offering such plans, companies showcase their interest in their employees' growth, gaining long-term benefits in the form of employee retention and commitment to the company. 

7. Cross-Functional Employee Development Plan Examples 

A cross-functional employee development plan brings people from different departments together, allowing them to broaden their perspectives and experience. It's especially helpful to potential executives, as it gives them insights about what skills they need for career advancement. Creating this development plan involves coordinating with colleagues, rotations in different departments, organizing projects, and brainstorming sessions. 

To evaluate what employees have learned, utilize assessment tools and take quizzes to better understand their performance. Assessing performance is not difficult with Coursebox.ai . You can use an AI quiz generator to create quizzes, and even your learners can get instant feedback based on your set criteria. 

8. Objective-Based Employee Development Plan Examples 

An objective-based development plan is based on the specific goals of the team and is aligned with the company's objectives. The team manager understands job goals or objectives and what employees are expected to do. Then, after identifying areas that need improvement, the manager creates a development plan for employees. By doing so, employees feel more motivated and empowered. 

9. Succession Development Plan

A succession growth plan involves helping employees advance to higher positions within the organization. This development strategy is about identifying skilled members for future critical roles. To achieve this, take a holistic view of your organization's goals, ensuring you have talent available in the coming months or years. 

According to a SHRM report , only 21% of HR professionals have a formal succession plan, while 24% have an informal one. Neglecting proper succession plans can damage the company's reputation and instill confusion and uncertainty among employees. A global survey showed that 53% of companies didn't have CEO succession plans, leading to significant disruption.

‍ Source: HBR

10. Skill Gap-Focused Employee Development Plan Examples 

According to the McKinsey Report, 87% of companies know they have a skill gap or will have one in the coming years. That's why companies must work on filling these gaps through tailored skill gap-focused development plans. 

It involves identifying areas your organization lacks and skills needed to meet future challenges. After that, create a plan to upskill your team to improve their performance. To make it successful, educate employees on the purpose of the training and how it's going to help them in the future. 

‍ Source: Mckinsey

4-Step Employee Development Plan Framework 

Creating a practical employee development plan needs a lot of planning. The key to it is setting SMART learning objectives (specific, measurable, attainable, relevant, time-bound) that align with the company's goals. Here is a four-step framework to help your employees: 

Step 1: Analyze Goals and Conduct a Thorough Self-assessment  

The first, and most crucial, step is to analyze the goals and objectives of the company. Then, identify which skills are required in the future. Next comes the main part, where you assess employees’ skills, determine which areas need improvement, and start working on staff development ideas. 

Step 2: Collaborate on Goal-setting 

Collaboration between managers and employees is the key to creating a proper development plan. In fact, working on a goal setting collectively gets them on the same page. Employees feel a sense of ownership and are motivated to fulfill the goals they help in setting. On the other hand, managers get to know what it takes to achieve goals and support employees in reaching those goals. 

Step 3: Identify Development Activities

Once the goals are set, the next step is identifying the necessary resources to help employees reach them. This may include certifications, diplomas, or degrees to help them achieve higher positions. 

You can also consider connecting them to a senior mentor for one-on-one training or enrolling them in mentorship programs. Apart from these, consider online workshops, webinars, and online e-learning courses to turn their goals into reality. 

Step 4: Monitor Progress and Review 

When employees have started learning, the next step is to monitor their progress alongside. The best way is to utilize learning management systems like Coursebox to create, manage, and track online learning and improvement. You can also review where they stand through assessments and automatically issue achievement certificates. 

Conclusion 

Thus, a solid employee development plan is a win-win for both employees and managers. Managers get a highly skilled team, while employees excel in their career goals. But that's only possible when a company provides suitable resources, such as an environment, and learning platforms like Coursebox AI , to help its employees reach their full potential. 

Coursebox AI is an all-in-one learning platform that can transform your team's learning experience into a super smooth and enjoyable one. You also don't need to worry about assessment, as it helps create quizzes and questionnaires instantly without any hassle. 

Your company's future is in your hands; let Coursebox be your ally! 

How to write a development plan for employees?

To write an employee development plan, first, you need to identify your organization's development plans or goals. After this, assess employees’ skills and  check what’s lacking and needs attention. This leads to creating an individual development plan aligned with employees and the company's mutual interests. 

What are your development plan examples?

Development plan of any company varies based on their preference and goals. At Coursebox.ai, our development plan examples include providing companies with e-learning development services, course creation using AI, quizzes and video generation and AI assessment. 

What should we write in our development plan?

In a personal development plan, only you are responsible for your decisions, so accountability from your end is important to reaching your goals. First thing first—set your goals and prioritize them based on your needs. Set deadlines for yourself to reach them, keeping in mind all the distractions or threats you encounter along the way. Keep learning and improving your skills side by side and track your progress. 

CMO at Coursebox AI

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The full list of major US companies slashing staff this year, from Tesla and Lucid Motors to Google and Paramount

• Last year's job cuts weren't the end of layoffs . Further reductions continue in 2024.
• Companies like GM, Tesla , Google, Microsoft, Nike, and Dell have announced plans for cuts.
• See the list of companies reducing their worker numbers in 2024.

After a brutal year of layoffs in 2023 , companies this year have continued to cut jobs across tech, media, finance, manufacturing, and retail.

Tech titans like IBM, Google , and Microsoft; finance leaders like Goldman Sachs, Citi, and BlackRock; entertainment behemoths like Pixar and Paramount; and corporate giants like Tesla, Dow, and Nike have all announced layoffs. In August, automotive companies Stellantis and GM joined the mix, with the latter laying off more than 1,000 employees, primarily in its software business.

A survey in late December of last year said nearly 40% of business leaders had expected layoffs this year, ResumeBuilder said . ResumeBuilder talked to about 900 leaders at organizations with more than 10 employees. Half of those surveyed cited concerns about a recession as a reason for potential layoffs.

Another major factor survey respondents cited was artificial intelligence. Around four in 10 leaders said they would conduct layoffs as they replace workers with AI . Dropbox, Google, and IBM have already announced job cuts related to AI.

Here are the dozens of companies with job cuts planned or already underway in 2024.

Nike's up-to-$2 billion cost-cutting plan will involve severances.

Nike announced its cost-cutting plans in a December 2023 earnings call, discussing a slow growth in sales. The call subsequently resulted in Nike's stock plunging .

"We are seeing indications of more cautious consumer behavior around the world," Nike Chief Financial Officer Matt Friend said in December.

Google laid off hundreds more workers in 2024.

On January 10, Google laid off hundreds of workers in its central engineering division and members of its hardware teams — including those working on its voice-activated assistant.

In an email to some affected employees, the company encouraged them to consider applying for open positions at Google if they want to remain employed. According to the email, April 9 will be the last day for those unable to secure a new position.

The tech giant laid off thousands throughout 2023, beginning with a 6% reduction of its global workforce (about 12,000 people) last January.

Discord is laying off 170 employees.

Discord employees learned about the layoffs in an all-hands meeting and a memo sent by CEO Jason Citron in early January.

"We grew quickly and expanded our workforce even faster, increasing by 5x since 2020," Citron said in the memo. "As a result, we took on more projects and became less efficient in how we operated."

In August 2023, Discord reduced its headcount by 4%. According to CNBC , the company was valued at $15 billion in 2021 .

Citi will cut 20,000 from its staff as part of its corporate overhaul.

The layoffs announced in January are part of a larger Citigroup initiative to restructure the business and could leave the company with a remaining head count of 180,000 — excluding its Mexico operations.

In an earnings call that month, the bank said that layoffs could save the company up to $2.5 billion after it suffered a "very disappointing" final quarter last year.

Amazon-owned Twitch also announced job cuts.

Twitch announced on January 10 that it would cut 500 jobs, affecting over a third of the employees at the live-streaming company.

CEO Dan Clancy announced the layoffs in a memo, telling staff that while the company has tried to cut costs, the operation is "meaningfully" bigger than necessary.

"As you all know, we have worked hard over the last year to run our business as sustainably as possible," Clancy wrote. "Unfortunately, we still have work to do to rightsize our company and I regret having to share that we are taking the painful step to reduce our headcount by just over 500 people across Twitch."

BlackRock is planning to cut 3% of its staff.

Larry Fink, BlackRock's chief executive , and Rob Kapito, the firm's president, announced in January that the layoffs would affect around 600 people from its workforce of about 20,000.

However, the company has plans to expand in other areas to support growth in its overseas markets.

"As we prepare for 2024 and this very exciting but distinctly different landscape, businesses across the firm have developed plans to reallocate resources," the company leaders said in a memo.

Rent the Runway is slashing 10% of its corporate jobs as part of a restructuring.

In the fashion company's January announcement, COO and president Anushka Salinas said she will also be leaving the firm, Fast Company reported.

Unity Software is eliminating 25% of its workforce.

Around 1,800 jobs at the video game software company will be affected by the layoffs announced, Reuters reported in January.

eBay is cutting 1,000 jobs.

In a January 23 memo, CEO Jamie Iannone told employees that the eBay layoffs will affect about 9% of the company's workforce.

Iannone told employees that layoffs were necessary as the company's "overall headcount and expenses have outpaced the growth of our business."

The company also plans to scale back on contractors.

Microsoft is reducing its headcount by 1,900 at Activision, Xbox, and ZeniMax.

In late January, nearly three months after Microsoft acquired video game firm Activision Blizzard , the company announced layoffs in its gaming divisions. The layoffs mostly affect employees at Activision Blizzard.

"As we move forward in 2024, the leadership of Microsoft Gaming and Activision Blizzard is committed to aligning on a strategy and an execution plan with a sustainable cost structure that will support the whole of our growing business," Microsoft Gaming CEO Phil Spencer said in a memo obtained by The Verge .

The cuts come a year after the tech giant announced it was reducing its workforce by 10,000 employees. It then slashed a further 1,000 roles across sales and customer service teams in July 2023.

Salesforce is cutting 700 employees across the company, The Wall Street Journal reported.

Salesforce announced a round of layoffs that the company says will affect 1% of its global workforce, The Journal reported in late January.

The cuts followed a wave of cuts at the cloud giant last year. In 2023, Marc Benioff's company laid off about 10% of its total workforce — or roughly 7,000 jobs. The CEO said the company over-hired during the pandemic.

Flexport lays off 15% of its workers.

In late January, the US logistics startup laid off 15% of its staff which is around 400 workers.

The move came after Flexport founder and CEO Ryan Petersen initiated a 20% reduction of its workforce of an estimated 2,600 employees in October.

Flexport kicked off 2024 with the announcement that it raised $260 million from Shopify and made "massive progress toward returning Flexport to profitability."

iRobot is laying off around 350 employees and founder Colin Angle will step down as chairman and CEO.

The company behind the Roomba Vacuum announced layoffs in late January around the same time Amazon decided not to go through with its proposed acquisition of the company, the Associated Press reported .

UPS will cut 12,000 jobs in 2024.

The UPS layoffs will affect 14% of the company's 85,000 managers and could save the company $1 billion in 2024, UPS CEO Carol Tomé said during a January earnings call.

Paypal CEO Alex Chriss announced the company would lay off 9% of its workforce.

Announced in late January, this round of layoffs will affect about 2,500 employees at the payment processing company.

"We are doing this to right-size our business, allowing us to move with the speed needed to deliver for our customers and drive profitable growth," CEO Alex Chriss wrote in a January memo . "At the same time, we will continue to invest in areas of the business we believe will create and accelerate growth."

Okta is cutting roughly 7% of its workforce.

The digital-access-management company announced its plans for a "restructuring plan intended to improve operating efficiencies and strengthen the Company's commitment to profitable growth" in an SEC filing in February.

The cuts will impact roughly 400 employees.

Okta CEO Todd McKinnon told staff in a memo that "costs are still too high," CNBC reported .

Snap has announced more layoffs.

The company behind Snapchat announced in February that it's reducing its global workforce by 10%, according to an SEC filing .

Estée Lauder said it will eliminate up to 3,100 positions.

The cosmetics company announced in February that it would be cutting 3% to 5% of its roles as part of a restructuring plan.

Estee Lauder reportedly employed about 62,000 employees around the world as of June 30, 2023.

DocuSign is eliminating roughly 6% of its workforce as part of a restructuring plan.

The electronic signature company said in an SEC filing in February that most of the cuts will be in its sales and marketing divisions.

Zoom is slashing 150 jobs.

The latest reduction announced in February amounts to about 2% of its workforce.

Paramount Global is laying off 800 employees days after record-breaking Super Bowl.

In February, Paramount Global CEO Bob Bakish sent a memo to employees announcing that 800 jobs — about 3% of its workforce — were being cut.

Deadline obtained the memo less than a month after reporting plans for layoffs at Paramount. The announcement comes on the heels of Super Bowl LVIII reaching record-high viewership across CBS, Paramount+, and Nickelodeon, and Univision.

Morgan Stanley is trimming its wealth management division by hundreds of staffers.

Morgan Stanley is laying off several hundred employees in its wealth-management division, the Wall Street Journal reported in February, representing roughly 1% of the team.

The wealth-management division has seen some slowdown in recent months, with net new assets down by about 8% from a year ago. The layoffs mark the first major move by newly-installed CEO Ted Pick, who took the reins from James Gorman on January 1.

Expedia Group is cutting more than 8% of its workforce.

Cutbacks part of an operational review at online travel giant Expedia Group are expected to impact 1,500 roles this year, a company spokesperson told BI.

The company's product and technology division is set to be the worst hit, a report from GeekWire said , citing an internal memo CEO Peter Kern sent to employees in late February.

"While this review will result in the elimination of some roles, it also allows the company to invest in core strategic areas for growth," the spokesperson said.

"Consultation with local employee representatives, where applicable, will occur before making any final decisions," they added.

Sony is laying off 900 workers

The cuts at Sony Interactive Entertainment swept through its game-making teams at PlayStation Studios.

Insomniac Games, which developed the hit Spider-Man video game series, as well as Naughty Dog, the developers behind Sony's flagship 'The Last of Us' video games' were hit by the cuts, the company announced on February 27.

All of PlayStation's London studio will be shuttered, according to the proposal.

"Delivering and sustaining social, online experiences – allowing PlayStation gamers to explore our worlds in different ways – as well as launching games on additional devices such as PC and Mobile, requires a different approach and different resources," PlayStation Studios boss Hermen Hulst wrote.

Hulst added that some games in development will be shut down, though he didn't say which ones.

In early February, Sony said it missed its target for selling PlayStation 5 consoles. The earnings report sent shares tumbling and the company's stock lost about $10 billion in value.

Bumble is slashing 30% of its workforce

On February 27, the dating app company announced that it would be reducing its staff due to "future strategic priorities" for its business, per a statement.

The cuts will impact about 30% of its about 1,200 person workforce or about 350 roles, a representative for Bumble told BI by email.

"We are taking significant and decisive actions that ensure our customers remain at the center of everything we do as we relaunch Bumble App, transform our organization and accelerate our product roadmap," Bumble Inc CEO Lidiane Jones said in a statement.

Electronic Arts is reducing its workforce by 5%

Electronic Arts is laying off about 670 workers, equating to 5% of its workforce, Bloomberg reported in late February. The gaming firm axed two mobile games earlier in February, which it described as a difficult decision in a statement issued to GamesIndustry.biz. CEO Andrew Wilson reportedly told employees in a memo that it would be "moving away from development of future licensed IP that we do not believe will be successful in our changing industry." Wilson also said in the memo that the cuts came as a result of shifting customer needs and a refocusing of the company, Bloomberg reported.

IBM cutting staff in marketing and communications

IBM's chief communications officer Jonathan Adashek told employees on March 12 that it would be cutting staff, CNBC reported, citing a source familiar with the matter. An IBM spokesperson told Business Insider in a statement that the cuts follow a broader workforce action the company announced during its earnings call in January.

"In 4Q earnings earlier this year, IBM disclosed a workforce rebalancing charge that would represent a very low single-digit percentage of IBM's global workforce, and we expect to exit 2024 at roughly the same level of employment as we entered with," they said. IBM has also been clear about the impact of AI on its workforce . Last May, IBM's CEO Arvind Krishna said the company expected to pause hiring on roles that could be replaced by AI, especially in areas like human resources and other non-consumer-facing departments.

"I could easily see 30% of that getting replaced by AI and automation over a five-year period," Krishna told Bloomberg at the time.

Amazon is laying off hundreds in its cloud division in yet another round of cuts this year

Amazon is cutting hundreds of jobs from its cloud division known as Amazon Web Services , Bloomberg reported on April 3.

The reduction will impact employees on the sales and marketing team and those working on tech for its retail stores, Bloomberg reported.

"We've identified a few targeted areas of the organization we need to streamline in order to continue focusing our efforts on the key strategic areas that we believe will deliver maximum impact," an Amazon spokesperson told Bloomberg.

On March 26, Amazon announced another round of job cuts after the company said it was slashing 'several hundred' jobs at its Prime Video and MGM Studios divisions earlier this year to refocus on more profitable products.

"We've identified opportunities to reduce or discontinue investments in certain areas while increasing our investment and focus on content and product initiatives that deliver the most impact," Mike Hopkins, SVP of Prime Video and Amazon MGM Studios, told employees in January.

This year's cuts follow the largest staff layoff in the company's history. In 2023, the tech giant laid off 18,000 workers.

Apple has cut over 700 employees across its self-driving car, displays, and services groups

Apple slashed its California workforce by more than 600 employees in April.

The cuts came after Apple decided to withdraw from its car and smartwatch display projects.

The tech giant filed a series of notices to comply with the Worker Adjustment and Retraining Notification program. One of the addresses was linked to a new display development office, while the others were for the company's EV effort, Bloomberg reported .

Apple officially shut down its decadelong EV project in February. At the time, Bloomberg reported that some employees would move to generative AI, but others would be laid off.

Bloomberg noted that the layoffs were likely an undercount of the full scope of staff cuts, as Apple had staff working on these projects in other locations.

In late August, Bloomberg reported that Apple was slashing 100 jobs in its services group, citing people familiar with the matter.

The layoffs mainly involved people working on the Apple Books app and the Apple Bookstore, Bloomberg reported. Cuts were also made to other service teams like Apple News, the outlet added.

Representatives for Apple did not respond to a request for comment from Business Insider sent outside normal business hours.

Tesla is laying off over 10% of its workforce

Tesla CEO Elon Musk sent a memo to employees Sunday, April 14, at nearly midnight in California, informing them of the company's plan to cut over 10% of its global workforce.

In his companywide memo , Musk cited "duplication of roles and job functions in certain areas" as the reason behind the reductions.

An email sent to terminated employees obtained by BI read: "Effective now, you will not need to perform any further work and therefore will no longer have access to Tesla systems and physical locations."

On April 29, Musk reportedly sent an email stating the need for more layoffs at Tesla . He also announced the departure of two executives and said that their reports would also be let go. Six known Tesla executives have left the company since layoffs began in April.

Grand Theft Auto 6 publisher Take-Two Interactive is reducing its workforce by 5%

Take-Two Interactive, the parent company of Rockstar Games, said on April 16 that it would be "eliminating several projects" and reducing its workforce by about 5%.

The move — a part of its larger "cost reduction program" — will cost the video game publisher up to $200 million. It's expected to be completed by December 31.

As of March 2023, the company said it employed approximately 11,580 full-time workers.

Peloton is reducing its staff by 15% as the CEO steps down as well

Peloton CEO Barry McCarthy is stepping down, the company announced May 2. Along with his departure, the fitness company is also laying off about 400 workers.

McCarthy is leaving his role just two years after replacing John Foley as CEO and president in 2022. Peloton said the changes are expected to reduce annual expenses by over $200 million by the end of fiscal 2025 as part of a larger restructuring plan.

Microsoft-owned Xbox is cutting more jobs

Xbox is offering some employees voluntary severance packages in May after shutting three units and absorbing a fourth earlier in the month. Microsoft had already made cuts to the division at the start of 2024.

According to Bloomberg , the offers were extended to producers, quality assurance testers, and more staff at Xbox-owned ZeniMax. Others across the Xbox organization were told that more cuts are coming.

Xbox president Matt Booty told staff in a May 8 town hall that the studio closures are part of an effort to free up more resources, Bloomberg reported.

Indeed is cutting 1,000 workers after laying off 2,200 a year ago

Careers site Indeed says it will lay off roughly 1,000 employees , or 8% of its workforce, as it looks to simplify its organization.

CEO Chris Hyams took responsibility for "how we got here" in a memo in May but said the company is not yet set up for growth after last year's global hiring slowdown caused multiple quarters of declining sales.

Hyams said the latest cuts will be more concentrated in the US and primarily affect R&D and Go-to-Market teams. That's in contrast to last year's across-the-board reduction of 2,200 workers.

Walmart is axing hundreds of corporate jobs

Retail giant Walmart is cutting hundreds of corporate jobs and asking remote employees to come to work, The Wall Street Journal reported, citing people familiar with the matter.

Workers in smaller offices, such as those in Dallas, Atlanta, and Toronto, are also being asked to move to central locations like Walmart's corporate headquarters in Arkansas or those in New Jersey or California, the Journal reported.

Under Armour is slashing an unspecified number of jobs, incurring $22 million in severance costs

Under Armour confirmed it was conducting layoffs in its quarterly earnings report, which was released May 16.

The company said it will pay out employee severance and benefits expenses of roughly $15 million in cash-related and $7 million in non-cash charges this year related to a restructuring plan, with close to half of that occurring in the current fiscal quarter.

"This is not where I envisaged Under Armour playing at this point in our journey," CEO Kevin Plank told investors on the company's full-year earnings call. "That said, we'll use this turbulence to reconstitute our brand and business, giving athletes, retail customers and shareholders bigger and better reasons to care about and believe in Under Armour's potential."

Pixar cuts about 175 people in pivot back to feature films

Disney's Pixar Animation Studios is cutting 175 people, about 14% of its staff, Reuters reported .

The cuts started on May 21 as the studio returns to its focus on feature-length movies. Former Disney CEO Bob Chapek, who was axed in 2022, had increased staff across studios to create more content for the company's streaming service, Disney+.

Pixar cut 75 jobs last year , Reuters previously reported, part of a larger restructuring across Disney.

Lucid Motors is slashing around 400 jobs.

In a regulatory filing, Lucid Motors said it would lay off about 400 employees as part of a restructuring plan that should be complete by the end of the third quarter.

"I'm confident Lucid will deliver the world's best SUV and dramatically expand our total addressable market, but we aren't generating revenue from the program yet," CEO Peter Rawlinson said in an email to employees obtained by TechCrunch.

The cuts come ahead of Lucid's launch of its first electric SUV later this year. It comes over a year after the California-based company laid off 1,300 employees, TechCrunch previously reported .

Walgreens is planning store closures that could lead to job cuts

Drugstore chain Walgreens is planning to close unprofitable stores over the next three years, according to the Wall Street Journal.

CEO Tim Wentworth told the Journal that Walgreens hoped to limit job cuts by reassigning staff at closing stores to other locations. Walgreens is reviewing about one-quarter of its 8,600 US stores as it decides which to shutter, he said.

John Deere is laying off over 600 employees

John Deere, maker of the iconic green-and-yellow tractors, is laying off over 600 employees at factories in Illinois and Iowa, the AP reported July 1.

In May, John Deere said sales fell for the third consecutive quarter and projected that the declines would continue in the second half of its fiscal year.

Burberry is expected to cut 100s of jobs

London-based luxury retailer Burberry is expected to cut hundreds of jobs in the coming weeks, the Telegraph reported July 6.

Employees learned about the cuts in late June when they were told in a Zoom meeting that their roles could be eliminated or that they would need to apply for other jobs, according to the Telegraph.

Intuit announced cuts on July 10

Intuit announced on July 10 that it's cutting its workforce by 10% . The layoffs will affect 1,800 employees nationwide, but the company plans to hire 1,800 new employees in "key areas" like engineering, InvestorPlace reports.

The refocus on other areas is following a shift in focus on AI within the company, according to the outlet.

Intuit's stock dropped by 4.01% on July 10 after the company announced the layoffs.

Tinder parent Match group plans to cut 6% of jobs

Tinder and Hinge parent company Match Group said on July 30 that it will reduce about 6% of its global workforce, or about 156 employees, because it is exiting the live streaming business.

Match will be removing the live streaming service in its app Plenty of Fish and will sunset the Hakuna app, which focuses on Korea and Japan.

The reduction in workforce is expected to save the company $13 million in annual costs.

Disney cuts 140 jobs across its TV division

Disney is making cuts across its TV division, Deadline and Bloomberg reported, to the tune of roughly 140 jobs — or 2% of the staff at Disney Entertainment Television (DET).

Layoffs will impact National Geographic, owned television stations, the marketing and publicity departments, and Freeform, per a source close to the matter, which notes no teams have been eliminated.

While Disney's cable TV business generates billions, it's on the decline, Bloomberg reports, and the company is seeking to cut costs.

Last year, Disney slashed 7,000 jobs across multiple rounds of layoffs as part of a strategy implemented by returning CEO Bob Iger.

Intel plans to eliminate thousands of jobs

Intel plans to cut thousands of jobs in response to a second-quarter earnings slump, Bloomberg reported earlier this week , citing unnamed people familiar with the move.

It was officially announced on Thursday, August 1, as it posted Q2 earnings. The company intends to reduce its workforce by 15% by the end of 2024.

"Our Q2 financial performance was disappointing, even as we hit key product and process technology milestones," Intel CEO Pat Gelsinger said in a statement. "Second-half trends are more challenging than we previously expected, and we are leveraging our new operating model to take decisive actions that will improve operating and capital efficiencies while accelerating our IDM 2.0 transformation."

Intel's stock was down following the lackluster earnings.

The layoffs come after the chip maker laid off about 5% of its workforce last year, bringing its head count down to around 124,000, Bloomberg reported.

During the last round of layoffs, announced in October 2022, Intel faced a drop in demand for processors for personal computers and estimated the layoffs would save $10 billion in costs by 2025, per Bloomberg.

Intel did not immediately respond to a request for comment.

WW International is cutting jobs in corporate

Diet program creator WW International, formerly WeightWatchers, plans to lay off employees, it said in an earnings call on August 1.

The company did not specify the number of jobs it will cut. But the layoffs will largely focus on corporate positions, including a 40% cut in roles above and at the vice president level.

The cuts are expected to save the company $60 million, the company's chief financial officer said.

Dell is cutting sales jobs in new focus on AI products

Dell is cutting jobs on its sales team, Bloomberg reported on Monday. It wasn't immediately clear how many jobs Dell planned to eliminate.

In a memo announcing the cuts, company executives said that the choice was part of a restructuring to focus more on selling AI products and data center services, Bloomberg reported.

Dell did not immediately respond to a request for comment from BI, but a spokesman told Bloomberg: "Through a reorganization of our go-to-market teams and an ongoing series of actions, we are becoming a leaner company."

Paramount Global announced it plans to slash 15% of its US workforce

Paramount Global is planning to cut about 2,000 jobs ahead of its merger with Skydance Media, CNBC reported.

The company identified $500 million in cost savings as it prepared to join forces with Skydance, totalling about 15% of its US workforce, according to the outlet.

The cuts will begin in a few weeks and will mostly be finished by the end of 2024. Paramount employees in marketing and communications, finance, legal, technology, and other support functions have been targeted, the company said in a Thursday earnings call.

The cuts come about a month after Paramount agreed to merge with Skydance. Paramount shares jumped more than 5% after hours on Thursday.

Stellantis is slashing white-collar and factory jobs

In August, the owner of Jeep and Dodge announced it is cutting 2,450 factory workers from its Warren Truck assembly plant outside Detroit.

The layoffs come because the company is ending production of the Ram 1500 Classic truck, Stellantis said. These factory cuts came after white-collar jobs were axed earlier this year.

On March 22, the company said it would lay off employees on its engineering, technology, and software teams in an effort to cut costs, CNBC reported .

Stellantis announced plans for another round of layoffs on July 30, according to Bloomberg. The company is offering voluntary buyouts to non-unionized US employees to "assist those interested in pursuing other career options or retirement," Stellantis said in a message seen by Bloomberg.

The job cuts, the total number of which remains unknown, come after a difficult first half of the year , with unit sales sinking by 16% in the US.

Sonos laid off about 6% of its workforce

The audio equipment company said it slashed roughly 100 jobs in August. The layoffs significantly targeted its marketing division, The Verge reported.

CEO Patrick Spence said in a statement to BI that the company is now focusing on departing employees and "ensuring they have the support they need."

"This action was a difficult, but necessary, measure to ensure continued, meaningful investment in Sonos' product roadmap while setting Sonos up for long term success," Spence said.

Sonos is also reducing some of its customer support offices and will close one in Amsterdam later this year, according to The Verge.

The company previously cut around 7% of its workforce in June 2023, a month after it announced a 24% revenue drop in the second quarter compared to the previous year.

Cisco announced two rounds of layoffs this year

In February, networking company Cisco announced it was slashing 5% of its workforce, upward of 4,000 jobs, Bloomberg reported.

The company said it was restructuring after an industry-wide pullback in corporate tech spending — which execs said they expect to continue through the first half of the year.

On August 14, in a filing, Cisco said it would further reduce its global workforce by 7% amid sales and revenue declines. Reuters reported earlier that the company was slashing around 4,000 jobs as it shifted attention to cybersecurity and artificial intelligence.

Per its latest annual filing, Cisco had about 85,000 employees as of July 2023.

General Motors laid off more than 1,000 workers

Car company General Motors, which is behind brands like GMC and Chevrolet, laid off more than 1,000 workers, or 1.3% of its workforce, multiple outlets reported August 19.

The layoffs primarily come from GM's software and services business, which it had bulked up over the past few years as it attempts to make its cars more advanced with more connectivity options and driver-assist technologies. Last year, the company brought on two former Apple executives to run the unit.

"As we build GM's future, we must simplify for speed and excellence, make bold choices, and prioritize the investments that will have the greatest impact," a General Motors spokesperson told The Wall Street Journal .

GoPro is laying off nearly 140 employees

Long-troubled GoPro is laying off 15% of its 925 current employees, the company said in a filing on Monday.

The action sports camera maker reported a net loss of nearly $48 million in the quarter that ended in June, adding to a streak of consecutive losses.

The company laid off 4% of its staff in March.

Shell is reportedly planning for major cuts in its oil exploration division

Oil giant Shell will slash its workforce in oil and gas exploration and development by 20%, according to an August 29 report from Reuters. Company sources reportedly cited intentions to cut costs in the highly profitable segments due to "deep cuts in renewables and low-carbon businesses."

Exploration, wells development, and subsurface units will face hundreds of layoffs globally, with offices in Houston, The Hauge, and Britain expected to take the biggest hit, the sources told Reuters.

A Shell spokesperson would not comment directly on the layoffs but told Business Insider that, "Shell aims to create more value with less emissions by focusing on performance, discipline and simplification across the business."

"That includes delivering structural operating cost reductions of $2-3 billion by the end of 2025, as announced at our Capital Markets Day event in June 2023," the spokesperson added.

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What We Know About Kamala Harris’s $5 Trillion Tax Plan So Far

The vice president supports the tax increases proposed by the Biden White House, according to her campaign.

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By Andrew Duehren

Reporting from Washington

In a campaign otherwise light on policy specifics, Vice President Kamala Harris this week quietly rolled out her most detailed, far-ranging proposal yet: nearly $5 trillion in tax increases over a decade.

That’s how much more revenue the federal government would raise if it adopted a number of tax increases that President Biden proposed in the spring . Ms. Harris’s campaign said this week that she supported those tax hikes, which were thoroughly laid out in the most recent federal budget plan prepared by the Biden administration.

No one making less than $400,000 a year would see their taxes go up under the plan. Instead, Ms. Harris is seeking to significantly raise taxes on the wealthiest Americans and large corporations. Congress has previously rejected many of these tax ideas, even when Democrats controlled both chambers.

While tax policy is right now a subplot in a turbulent presidential campaign, it will be a primary policy issue in Washington next year. The next president will have to work with Congress to address the tax cuts Donald J. Trump signed into law in 2017. Many of those tax cuts expire after 2025, meaning millions of Americans will see their taxes go up if lawmakers don’t reach a deal next year.

Here’s an overview of what we now know — and still don’t know — about the Democratic nominee’s views on taxes.

Higher taxes on corporations

The most recent White House budget includes several proposals that would raise taxes on large corporations . Chief among them is raising the corporate tax rate to 28 percent from 21 percent, a step that the Treasury Department estimated could bring in $1.3 trillion in revenue over the next 10 years.

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