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Why Biometric Time Clocks Are A Must-Have

The article argues that biometric time clocks are essential for small and medium-sized businesses because they prevent costly wage theft and human errors in timekeeping, which studies show can lead to overpayment of two to four hours per employee weekly, resulting in significant annual financial losses.

Many employers believe that biometric time clocks are too expensive for the average small or medium-sized business (SMB). However, this misconception can actually lead to higher costs, as not having a biometric time clock can inflate business expenses.

Any other type of punch-in device is prone to errors, and sloppy employee timekeeping can increase labor expenses in several ways:

1. Employee Wage Theft Costs You

  • Employees punching in before their authorized shift start time
  • Workers punching out after their authorized shift end time
  • Workers failing to clock out for unpaid breaks and meals
  • A worker punching in for another employee who is not working (this employee may end up coming in late or not show up at all)

If you think this isn't happening at your company, you must believe your employees are somehow different from others. Studies consistently confirm that wage theft is widespread among hourly employees. Paying wages for time not actually worked results in lost income, and payroll is likely already your biggest expense.

2. Human Error Also Costs You

  • Employees unable to recall previous shift times when filling out a time card several days later
  • Supervisors making math errors when reconciling time cards
  • HR managers miscalculating accruals
  • Data entry mistakes when entering employee hours in the payroll system

How Much Are You Losing?

Studies by the American Payroll Association and other industry experts estimate that employers overpay workers by two to four hours a week per worker. For example, if you are paying an extra three hours a week per staff member, with an average hourly wage of $10 and 30 employees, this totals $46,800 in extra wages each year.

Swipeclock offers WorkforceHub, a unified Human Resources portal designed to optimize the performance of supervisors, employees, and organizations. WorkforceHub includes features such as TimeWorksPlus, TimeSimplicity, and TimeWorks Mobile, as well as onboarding, benefits enrollment, performance reviews, and employee engagement tools. It is designed for busy employers who need to streamline scheduling, automate time and attendance tracking, maintain regulatory compliance, and decrease labor costs.

Contact Swipeclock to find the best biometric clock for your organization and start reducing labor costs.