Your business is a success, and you cannot keep up with the work unless you hire at least two more employees. You have probably been very busy and focused on starting up and growing the business. You may not be ready to be your company’s human resource manager. The following are a few suggestions that can help you be prepared:

All prospective employees must fill out an Employment Application that includes basic information such as name, address, phone number, social security number, citizenship, past job history, job titles, key responsibilities, salary history, reasons for leaving the previous positions, and education through high school, college, post graduate work, and any special schooling. The application must include a paragraph that states that all statements made by the applicant are true and that the application does not constitute a contract between the applicant and the company. Lastly, the applicant should sign and date the application.

Each applicant should sign a release form that allows you to contact his or her references and former employers, and the release should state that the applicant will not start any legal action concerning any information you obtain while checking references.   Mail or fax a copy of the release to any references, or former employers and they will be more likely to give you complete and correct information.

Before you hire any new employees, write an employee handbook that includes information on retirement or pension accounts, insurance benefits, vacation and sick leave days, holiday schedule, performance reviews and pay increases, office conduct and dress code, personal use of email, fax, or other office equipment, and termination procedures. Place a copy of the handbook in a central location and give someone the responsibility of making sure it stays there and is updated whenever necessary.

Your state probably requires you to carry Worker’s Compensation Insurance for employees that are injured on the job. Most states have an agency that regulates Worker’s Compensation, and in my state it is called the Industrial Commission. Check with you state to find out the requirements and ask for suggestions for an insurance carrier.

Set up a procedure for each new employee and the date on which all elements of the procedure should be completed. For the most part, new employees should complete all of the following paperwork on the first day:

•    Have employees read and sign a receipt indicating that they have read the handbook.
•    Each employee must complete the IRS W-4 Form used to determine tax withholding.
•    Employees should sign up for any benefit programs and provide all necessary information in order to participate in insurance, retirement, or pension plans.
•    Each new employee should sign an agreement stipulating that all proprietary information will remain confidential and that the company owns all inventions or new processes created by the employee while employed by the company.
•    Employees should complete a personal information form that includes their address, phone numbers, names of immediate family, social security number, and emergency contacts’ name, phone numbers, and address.

It is strongly recommended that you review employment laws with your attorney. You can also find good advice on the internet and in libraries.