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Tuesday, September 23, 2025

Ten common HR mistakes highlighted by Small Business Association of Michigan

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Brian Calley President and Chief Executive Officer at Small Business Association of Michigan | Official website

Brian Calley President and Chief Executive Officer at Small Business Association of Michigan | Official website

Human resources professionals are often at risk of making mistakes that can lead to problems for their organizations. A recent overview highlights ten common errors seen in HR departments and provides suggestions on how to avoid them.

One mistake is ignoring employee feedback. Gathering input from staff without following up or acting on the results can erode trust between employees and management. Sharing findings and planned actions is recommended.

Inconsistent enforcement of company policies is another frequent issue. Uneven application can result in employee relations problems or even legal claims. The advice is to train managers to ensure all rules are applied equally.

Failing to document performance conversations also creates risk. Verbal discussions alone may not be sufficient if a situation escalates, so keeping written records of performance reviews and action plans is important.

Another pitfall involves overlooking updates in compliance requirements. Employment laws, including those governing wages, leave, and labor practices, change regularly. Missing these updates can result in compliance gaps that could prove costly for organizations.

Onboarding new employees only on the first day rather than over a longer period can negatively affect retention. Extending onboarding through the first 90 days with a focus on culture, training, and mentorship increases the likelihood that new hires will stay.

Weak communication during periods of organizational change is also problematic. Failing to keep employees informed during reorganizations or leadership changes can foster rumors and uncertainty.

Skipping "stay interviews"—which help identify what keeps employees engaged before they decide to leave—is another common oversight. Conducting these interviews allows companies to address issues proactively.

HR processes that are too complex or rely on cumbersome forms can frustrate both employees and managers. Simplifying procedures and ensuring technology supports HR work instead of hindering it is advised.

A lack of manager training is also cited as a significant problem since ineffective supervisors contribute to higher turnover rates among staff members. Investment in leadership development programs helps managers better support their teams.

Finally, not aligning HR strategies with overall business goals limits effectiveness. When HR functions as a partner supporting organizational growth and long-term objectives, it delivers greater value.

Heather Nezich writes: "Whether you’re just starting out or growing your team, the SBAM HR Toolkit is your all-in-one resource for managing people with confidence—without the high cost of an HR consultant."

The Small Business Association of Michigan (SBAM) offers this toolkit as a resource designed specifically for small businesses seeking practical guidance on human resources management.

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