Recruiting, Selection & Onboarding February 21, 2018 Arlene Odagiri

Recruiting, Selection & Onboarding February 21, 2018 Arlene Odagiri Shareen Poynter Trisha Gibo envision, strategize and actualize

DISCLAIMER The information and materials provided herein and the training sessions conducted today do not constitute legal advice or a warranty of any kind. ES&A provides these for informational purposes only. Please consult an attorney if you have specific legal issues. 2 Copyright 2018 ES&A, Inc. All Rights Reserved Confidential and Proprietary February 21, 2018

OVERVIEW OF TOPICS RECRUITING Basics of Equal Employment Opportunity & Perceptions Recruiting in Hawaii Preparation for Recruitment Reality Recruiting SELECTION Interviewing & Selection ONBOARDING Differs from an Orientation 7 Steps to Improve Your Onboarding Program 3 Copyright 2018 ES&A, Inc. All Rights Reserved Confidential and Proprietary February 21, 2018

WHAT ARE PROTECTED CLASSIFICATIONS? State Only Federal & State – – – – – – – – – Race Color National origin Ancestry Sex (including transgender) Religion Age Disability Union sentiment Federal Only – – – – – – – – – Marital status Sexual orientation Gender identity & expression Arrest & court record Victims of domestic violence or sexual abuse Work injury Garnishment Credit history Whistleblower – Citizenship – Veteran’s status – Genetic information 4 Copyright 2018 ES&A, Inc. All Rights Reserved Confidential and Proprietary February 21, 2018

UNLAWFUL DISCRIMINATION Disparate Treatment – Similarly situated persons treated differently because of protected classification Disparate Impact – Facially neutral policy has adverse impact on a protected classification Duty of Reasonable Accommodation – – – – – Religion Disability Pregnancy Victims of domestic violence or sexual abuse Gender identity and expression 5 Copyright 2018 ES&A, Inc. All Rights Reserved Confidential and Proprietary February 21, 2018

WHEN THINGS GO WRONG EEO Lawsuits – No-win situations Long & timeconsuming Expensive Emotionally draining – Legal representation may be complicated Insurance coverage limited Multiple attorneys often required 6 Damages in the Event You Lose – Reinstatement – Back Pay – Front Pay – Emotional distress – Punitives – Attorneys’ fees & costs Copyright 2018 ES&A, Inc. All Rights Reserved Confidential and Proprietary February 21, 2018

DID YOU KNOW? Unemployment rate as of : Location State of Hawaii Dec. 2017 1.7% Nov. 2017 2.0% Dec. 2016 2.6% Honolulu 1.7% 1.9% 2.4% Big Island 2.0% 2.4% 3.1% Kauai 1.7% 2.0% 2.8% Maui (includes Maui, Molokai & Lanai) 1.8% 2.1% 2.7% Source: Hawaii Workforce Infonet – LAUS, Local Area Unemployment Statistics Data not seasonally adjusted 7 Copyright 2018 ES&A, Inc. All Rights Reserved Confidential and Proprietary February 21, 2018

MORE TO KNOW Hawaii’s unemployment rate (seasonally adjusted) as of: – December 2017 2.0% – Number of unemployed 19,850 Source: Hawaii Workforce Infonet – LAUS, Local Area Unemployment Statistics U.S. unemployment rate as of: – December 2017 4.1% – Hawaii ranked #1 with lowest unemployment rate Source: United States Bureau of Labor WHAT DOES THIS MEAN TO YOU? Copyright 2018 ES&A, Inc. All Rights Reserved Confidential and Proprietary February 21, 2018

REALITY CHECK Recruiting is not for “newbie” HR Must be highly resourceful and innovative Legal compliance is a must High cost to a company 68 days to fill a white-collar job in the US vs. 42 days in 2010* 407 average company loss each day a job remains open * What *Source: Corporate Executivecompany’s Board 2017 study is your average? Copyright 2018 ES&A, Inc. All Rights Reserved Confidential and Proprietary February 21, 2018

RECRUITMENT Sources for finding applicants: – Employment Agencies – HireNet Hawaii, DLIR – Schools – Social media – Print media – Word of mouth – “Birds of a feather . . . flock together” – “Halo effect” – Employee recruiting 10 Copyright 2018 ES&A, Inc. All Rights Reserved Confidential and Proprietary February 21, 2018

QUESTIONS BEFORE YOU START RECRUITMENT What is your internal procedure process? Why do you need to know this? Who initiates the process? What is the role of HR? What is the role of the manager? Who authorizes the process? Who implements the process? Do you hire the same position? If not, then what position are you hiring? If new, who authorizes? Is there a job description? Is it in the budget? If not, then what? If all is a “go,” what are your sources? Copyright 2018 ES&A, Inc. All Rights Reserved Confidential and Proprietary February 21, 2018

RECRUITMENT PROCESS TO SELECT THE BEST What works best for your company? Does your company’s recruitment process encourage diversity and open evaluation of applicant’s skills? Who is involved in the recruitment/interview process? What value do they contribute to the process? What analysis has been done to determine/measure effectiveness of recruitment process? Do your recruiting efforts/actions reflect your AAP goals? Is what you are doing just good enough or could be better? What are your long-term strategic recruiting plans? 12 Copyright 2018 ES&A, Inc. All Rights Reserved Confidential and Proprietary February 21, 2018

RECRUITMENT IS A “TWO-WAY STREET” Awareness that recruitment is about “who you are . . . what is your company all about?” Are you just another company with an opening or are you sincerely looking for employees who can fit in and contribute to the right culture? The two-way mirror may be turned around. What impression do you present for your company? All applicants are existing or potential customers! 13 Copyright 2018 ES&A, Inc. All Rights Reserved Confidential and Proprietary February 21, 2018

KEY HR TOOLS – JOB DESCRIPTIONS Why are they important? – Describes purpose of the job – Documents legitimate business reasons – Required for medical examinations What must the job description contain? – – – – – – Essential job functions Physical requirements of the job Mental requirements of the job Education, work experience and/or skill requirements for the job Equipment that will be used Work environment 14 Copyright 2018 ES&A, Inc. All Rights Reserved Confidential and Proprietary February 21, 2018

KEY HR TOOLS – JOB DESCRIPTIONS How do you use job descriptions? – Guide your questions when recruiting & selecting new employees – Focus training & performance evaluations – Determine compensation levels & appropriateness of rewards – Determine whether discipline and/or discharge is appropriate Job Descriptions Recruitment Training & & Selection Evaluation Copyright 2018 ES&A, Inc. All Rights Reserved Confidential and Proprietary Compensatio n & Rewards Discipline & Discharge February 21, 2018

PROFILE OF THE PERFECT APPLICANT Start with the “perfect new hire” in mind What are the skills, knowledge and abilities you need to fill this position? What personality traits will best fit in the company culture and department function? What personal values will best match the company values? What contributions can this applicant bring to the company? 16 Copyright 2018 ES&A, Inc. All Rights Reserved Confidential and Proprietary February 21, 2018

INTERVIEWING & SELECTION Step 1: Screen applicants – Compare employment application to written job description for position – Reject applicants who: Do not have required qualifications, skills or experience Have questionable work history Whose “preferences” for work indicate they may not be suited for the position (e.g. don’t want to work overtime, don’t want to work on weekends, don’t want to work under particular conditions) – If any applicant indicates (on the application or resume) that he or she needs “reasonable accommodation,” refer the application to HR immediately 17 Copyright 2018 ES&A, Inc. All Rights Reserved Confidential and Proprietary February 21, 2018

INTERVIEWING & SELECTION Step 2: Prepare for the interviews – Plan out what you will ask & write it down – Questions should relate to essential job functions & other requirements on job description – Ask open-ended questions – Review Hawaii Civil Rights Commission Guidelines ( http://labor.hawaii.gov/hcrc/publications/) 18 Copyright 2018 ES&A, Inc. All Rights Reserved Confidential and Proprietary February 21, 2018

INTERVIEWING & SELECTION Step 3: Conduct the interviews – Stick with your planned questions – Do not ask questions that relate to protected classifications – Take notes carefully Write interviewee’s responses down Do not describe what the individual looks like Do not write down something you will be embarrassed about if others see it later – Do not make a job offer on the spot 19 Copyright 2018 ES&A, Inc. All Rights Reserved Confidential and Proprietary February 21, 2018

INTERVIEWING & SELECTION Step 3: Conduct the interviews (cont’d) – Four assessments during the interview: Is this applicant a great interviewee but not much more? Is this applicant the best fit based on experience and temperament for this position? Will this applicant contribute and “add to” the team s/he will be joining? Which applicant really wants the position and can excel in it? Copyright 2018 ES&A, Inc. All Rights Reserved Confidential and Proprietary February 21, 2018

INTERVIEWING & SELECTION Step 4: Make your selection – Selection should be based on who is best qualified to meet the job functions listed on job description – Do not make decision based on any protected classifications – particular problem areas are: 21 Race, color, national origin Pregnancy Religion Age or disability (including workers’ compensation injuries) Gender identity or expression Copyright 2018 ES&A, Inc. All Rights Reserved Confidential and Proprietary February 21, 2018

INTERVIEWING & SELECTION Step 5: Make conditional job offer – Once you have made your selection: Notify HR of your selection Work with HR to send out conditional job offer (pending completion of reference & criminal background check) Do not contact applicant directly Do not make any verbal job offers 22 Copyright 2018 ES&A, Inc. All Rights Reserved Confidential and Proprietary February 21, 2018

INTERVIEWING & SELECTION Step 6: Conduct reference and background checks – Purpose of checking Verify & supplement information provided by applicant Show that the Company was careful in hiring an employee – If the reference and background check shows a problem, there are procedures that must be followed under federal law – you may need to go to your second choice – If the reference and background check is passed, work with HR to send out written job offer Written offer must be carefully drafted to avoid creating a contract If you want to have a contract, then you should work with HR and lawyer to prepare appropriate documents 23 Copyright 2018 ES&A, Inc. All Rights Reserved Confidential and Proprietary February 21, 2018

INTERVIEWING & SELECTION Step 7: Document the entire hiring & selection process – Purposes: Required by federal and state laws (documents must be kept for 3 years) Constitutes evidence in discrimination or wrongful termination complaints – Documents that must be kept: Job announcement & postings Job descriptions Applications & resumes Interview notes & reasons for selection Testing results (If you are doing any testing, contact HR. Testing is heavily regulated by federal & state laws.) Job offers Any other communications to applicants and the selectee 24 Copyright 2018 ES&A, Inc. All Rights Reserved Confidential and Proprietary February 21, 2018

REMEMBER Be Careful What you Say Prepare for your Interviews Inadvertent unlawful inquiries Failure to get relevant information Inadvertent promises regarding terms and conditions of employment Plan out what you will ask & write it down Questions should relate to essential job functions Ask open-ended questions Use HCRC Guidelines Take notes carefully 25 Copyright 2018 ES&A, Inc. All Rights Reserved Confidential and Proprietary February 21, 2018

ONBOARDING How is Onboarding different from Orientation? – They both start with “O” and that is the only similarity – Orientation basic steps of getting new employees acclimated to the job. Paperwork, do’s & don’ts, entrance & exit, bathroom, work area . – Usually covers personnel policies and handbooks – Orientation is only one piece of a real Onboarding program – 26What kind of first impression of the Company does February it 21, 2018 Copyright 2018 ES&A, Inc. All Rights Reserved Confidential and Proprietary

Onboarding Onboarding: – Introduces your Company culture – Integrates the new hire into the Team – Shows the new hire how the Company operates and how their position fits into the “bigger picture” – Sends the message that the Company “cares about them” – Promotes efficiency & productivity . . . allows the new employee to “hit the ground running” – Onboarding enhances retention 27 Copyright 2018 ES&A, Inc. All Rights Reserved Confidential and Proprietary February 21, 2018

7 Ways to Create or Improve Your Onboarding Program One: Start Early Two: Provide a “Road Map” Three: Have Fun Four: It Takes a Team Five: Show & Tell Six: Meet the Boss Seven: Tell Me About It 28 Copyright 2018 ES&A, Inc. All Rights Reserved Confidential and Proprietary February 21, 2018

7 Steps . . . One: Start Early Provide hiring paperwork, handbook and benefit information prior to date of start (DOS) Ensure the new hire's work area and equipment are set up for immediate use on DOS (email address and passwords are available) Send a welcome letter or email Two: Provide a Road Map Overview of the onboarding process Brief overview of planned acclimation to job in coming weeks and months No one-size-fits-all “road map” - less experience need more attention and time to acclimate Copyright 2018 ES&A, Inc. All Rights Reserved Confidential and Proprietary February 21, 2018

7 Steps Three: Have Fun Turn routine Company tours into a learning activity Turn unexciting compliance topics into a topic they won’t forget Four: It Takes a Team Involve the department employees to assist with the onboarding of their new peer Involve other departments the new hire will need to work with as well Team activities develop personal connections to fast-track the process of feeling welcomed and comfortable Copyright 2018 ES&A, Inc. All Rights Reserved Confidential and Proprietary February 21, 2018

7 Steps Five: Show & Tell Tell the story of the Company’s history - be creative Use visuals to tell the story of the Company’s culture, community involvement, activities, etc. Six: Meet the Boss(es) Offer creative ways to meet the executives of the Company — over lunch, or part of a scavenger hunt Seven: Tell Me About It Encourage feedback to improve the experience Follow through on suggestions, “full circle” - circle back. Copyright 2018 ES&A, Inc. All Rights Reserved Confidential and Proprietary February 21, 2018

Onboarding to Training Why train? – Training is the continuation of onboarding – Supports the employee in doing their job – Lets employees know what is expected; positive reinforcement – Enables employees to perform – Positive reinforcement encourages positive behavior – Prevents misunderstandings and frustration – It is a form of recognition – It enhances retention 32 Copyright 2018 ES&A, Inc. All Rights Reserved Confidential and Proprietary February 21, 2018

WHY DO IT? OUTCOMES: National average tenure is 4.2 year; Companies with onboarding programs exceed the average tenure. 20% of employee turnover occurs within the first 45 days of employment (research by O.C. Tanner) Close work friendships boost employee satisfaction by 50% (2013 Gallup poll) Companies with engaging onboarding programs retained 91% of their workers through their first year (2013 survey by Aberdeen Group) Enhances retention, embodies the Company culture, and reduces recruiting costs and time. Copyright 2018 ES&A, Inc. All Rights Reserved Confidential and Proprietary February 21, 2018

OUTCOMES: Recruitment Attracting applicants; Outreach and networking enhances opportunities. Selection Hiring the right applicants to fit and enhance the Company culture – Meet current and future needs – Have a process to hire the right applicant. Onboarding a reflection of the Company culture – Enhance the new hire’s experience – Impress and motivate to stay – Go beyond the traditional orientation and be creative – Experience the Company culture - involve multiple senses – The beginning of an employee’s work life cycle Copyright 2018 ES&A, Inc. All Rights Reserved Confidential and Proprietary February 21, 2018

THOUGHTS? WHAT’S ON YOUR MIND? 35 Copyright 2018 ES&A, Inc. All Rights Reserved Confidential and Proprietary February 21, 2018

DISCLAIMER The information and materials provided herein and the training sessions conducted today do not constitute legal advice or a warranty of any kind. ES&A provides these for informational purposes only. Please consult an attorney if you have specific legal issues. 36 Copyright 2018 ES&A, Inc. All Rights Reserved Confidential and Proprietary February 21, 2018

TAKE AWAYS What 2 important points “stick in your mind?” What 2 things will you do differently starting tomorrow? What 2 things do you want to change in the near future? What 2 things do you want management to do for you? WIIFM – WHAT’S IN IT FOR ME - It is up to you! 37 Copyright 2018 ES&A, Inc. All Rights Reserved Confidential and Proprietary February 21, 2018

Thank you for spending part of your day with us! Shareen and Arlene ES&A Envision Strategize & Actualize 38 Copyright 2018 ES&A, Inc. All Rights Reserved Confidential and Proprietary February 21, 2018