Nonprofits face a unique set of risks that can significantly impact their ability to achieve the organization’s mission. Leaders, including Board members and nonprofit executives, often find themselves taking on responsibilities in areas where they lack expertise, particularly in human resources (HR). Well-meaning Board members often believe their prior experience qualifies them to manage the organization’s HR responsibilities. However, this is not why they are on the Board. Taking on these tasks not only diverts attention from the organization’s core mission, it also exposes Board members to personal liability for any errors or compliance issues, which could result in significant legal and financial consequences.
Partnering with a professional employer organization (PEO) allows nonprofits to leverage expert support in HR, payroll, and benefits, enabling them to focus on their mission-driven work while leaving complex employer tasks to seasoned professionals. However, finding the right PEO to partner with makes all the difference. Many PEOs will advise you on what to do but leave the execution up to you. At Ataraxis, we believe in being a true business partner who will not only provide guidance but also handle the work for you. We take on the administrative burden so nonprofit leaders can dedicate their energy to the organization’s mission.
HR Risks for Nonprofits: A Leadership Concern
Nonprofit leaders are accountable for ensuring their organizations run smoothly and comply with various laws and regulations. Poorly managed HR practices can lead to significant risks, including:
- Non-compliance with employment laws, resulting in fines or legal action.
- Higher costs for employee benefits, due to a lack of negotiating power with vendors.
- Time and resources spent fixing errors, which could have been prevented by professional oversight.
Working with the Ataraxis team provides a streamlined approach to managing these risks. Our team of experts bring:
- Specialized knowledge to ensure legal compliance.
- Centralized and consistent processes to reduce confusion and inconsistencies.
- Customized solutions for improving employee morale and retention.
By allowing our team of professionals to handle employer administration, Board members and nonprofit leaders can avoid unnecessary stress and ensure their organization remains focused on its mission.
Limited Resources: Making Smart Choices
Nonprofits often operate with tight budgets and small teams, where employees are required to wear multiple hats. This can lead to burnout and inefficiency. We can help alleviate these challenges by:
- Reducing Administrative Burdens: By outsourcing HR, payroll and compliance tasks, nonprofit staff can dedicate more time to their programs and initiatives.
- Negotiating Better Benefits: We offer competitive benefits, such as affordable health insurance and a 401(k) plan which increases employee satisfaction and retention.
- Streamlining Processes: Our HR team can help minimize errors and simplify your operations.
Compliance and Risk Management
Employment laws and regulations are constantly changing, making it difficult for nonprofit leaders to stay informed. Non-compliance can result in financial penalties and reputational damage, which are particularly devastating for nonprofits. Ataraxis helps mitigate these risks by:
- Proven Expertise: Our team of subject matter experts will help you mitigate your business risk, manage a safe work environment, and reduce unnecessary expenses.
- Regulatory Compliance: Whether you are located in a single state or in multiple states, we work closely with our clients to ensure they are compliant with federal, state and local regulations.
- Risk Management: From beginning to end, we manage the entire workers’ compensation process, ensuring injury claims are handled in compliance with relevant laws while safely and efficiently managing an employee’s return-to-work process.
Enhancing Employee Engagement and Productivity
A motivated and engaged workforce is crucial for nonprofit success. Ataraxis offers resources that directly impact employee satisfaction, including:
- Employee Benefits: A range of affordable benefits programs that employees can choose from.
- 401(K) Plan: A first-class savings plan with excellent investment options at no cost to your nonprofit.
- Employee Assistance Program (EAP): Free benefit supporting employee mental health and wellness.
By fostering a supportive and well-managed work environment, we help nonprofits attract and retain top talent while reducing turnover.
We are Here for You
For Board members and nonprofit leaders, managing HR responsibilities effectively is essential to an organization’s success. By partnering with Ataraxis, nonprofits can reduce costs, streamline processes, and ensure compliance, all while staying focused on their mission. This collaboration not only safeguards the nonprofit from risks but also empowers its employees to thrive, ultimately enhancing the nonprofit’s impact in the community.
We are happy to talk through any challenges you are facing today and discuss how we can help your nonprofit succeed while reducing your risks.