How Biometric Time Clocks Reduce Employee Turnover

The Current Dilemma

Inputting a password or personal ID code in order for an employee to clock in for work has now become a dated form of timekeeping. Many employers still opt for this punch in/out method because they prefer convenience over security.

It's time to get rid of stone age time clocks and incorporate biometric technology in your attendance and time tracking system. The technology provides authentication, which is both convenient and secure.

The biometric time clock uses the unique physical attributes such as iris recognition or fingerprint scanning to keep track of the attendance of your employees.

Apart from adding a layer of security, biometric time trackers reduce the payroll cost, which will also reduce the overhead costs. When the overhead costs are lower and within you budget, you will not be forced to consider other areas to cut down on spending, like employee layoffs for example.

According to a study by ADP, companies pay anywhere between $1,400 to $2,000 per employee per year to administer payroll, time & attendance management, and workforce management.

Obviously, this number can grow to be quite costly, which makes monetary sense as to why many companies resort to cutting spending, beginning with their employees.

As an alternative, we're here to offer some advice that will not only stay on track when it comes to budgeting but also save your business tons in labor costs. Here are the reasons why your restaurant should convert to digital timekeeping, using biometric data for employees.

Eliminates Payroll & Accounting Errors

Do you calculate your employee payroll manually? Well, you're not the only one because a whopping 40% of small business owners still do their payroll by hand.

Humans visually make an average of 10.23 errors for every 30 datasheets compared to zero errors when the same data is pulled from an automated system.

If your employees are making mistakes recording their time worked on their timesheets, your payroll team, in turn, will make errors when tallying the numbers, resulting in huge financial losses to your eatery not to mention avoidable waste.

In relation, if an employee isn't paid according to the time they spent working, you might default the minimum wage clause set by the labor laws.

A web-based time clock works as digital timekeeping records that can be accessed from anywhere. It accurately tallies and provides error-free data to your payroll team, ensuring accuracy and efficiency.

Avoids Employee Time Theft

Employee theft is the most significant area of concern for a small business, especially a restaurant.

Your employees can steal time in many ways, such as time card padding, which is adding additional minutes before and after a shift on a paper timesheet.

Another form of time theft is buddy punching. Buddy punching is when one employee asks another employee to clock in on their behalf, even though the requesting employee is not present to work. This is usually accomplished by sharing passwords and usernames.

According to the U.S Department of Commerce, time theft and dishonest employees cost more than $50 billion annually to American businesses. Both buddy punching and time card padding can cost your eatery hundreds of dollars every month.

A biometric time clock will put an end to this form of theft because only the collection biometric data will permit an employee to punch in/out.

Reduces High Administrative Costs

When you invest in a web time clock, you not only eliminate the practice of maintaining manual timesheets, you also save hundreds of dollars on administrative costs.

A time tracking app decreases the staff overhead by automating the payroll system, removes the requirement to reset passwords, thereby saving time and reduces the need for lost or stolen ID cards.

Minimizes the Risk of Non-Compliance

Some of the best time tracking web apps empowers your staff to update their personal information and tax information.

It helps in staying compliant with both the state and federal laws. The clock accurately tracks the working time of the staff, which eliminates the chances of an employee claiming overtime.

Also, the clock saves businesses money by notifying you before the occurrence of a labor law violation, allowing you to take the necessary steps to avoid non-compliance.

With the help of the time clock, you can monitor when employees clock in/out and take meal breaks, as well as when an employee is nearing their overtime violations. Today, being compliant with labor laws is essential; otherwise, you will have to face costly lawsuits and pesky labor law fines.

Works Toward the Collective Goal of the Business

Your chefs, servers, and other staff members are not hired to fill out time cards and chase you down for correct payroll compensation. They're hired for cooking delicacies, inventing exquisite culinary, and delivering fantastic customer service.

The time spent calculating hours worked, along with the other details relating to employee payroll can add up for both parties, employers and employees. This amount of time can be better utilized and not spent on such areas.

This is where a web based time clock comes into the picture as it provides all the details with a single click of a button.