Updated January 3, 2014

In the business world, most employees have a title. From customer service rep to sales manager to CEO, almost everybody has a title that shows the rest of the company what they do.

While titles are commonplace, there is a growing trend you need to be aware of: some small and large businesses are doing away with this altogether.

Companies with small numbers, such as 10 employees or less, are beginning to realize that titles are not necessary. Zappos, the online shoe retailer, also gave up on titles.

Before we go any further, remember this: just because employees don’t have titles doesn’t mean they have no responsibilities. Each person is still assigned to a set of responsibilities, they just don’t have a title attached to their name.

There are people on both sides of this debate. Some feel that every business, regardless of sizeTeamwork, should assign a title to every employee. Others, however, don’t see any point in doing this.

Benefits of Doing Away with Titles

  • Everybody feels like a bigger part of the team.
  • It doesn’t rope particular employees into thinking they can only handle specific tasks and responsibilities.
  • Employees empowered or discouraged based on a nameplate.

Downfalls

  • It can make the hiring process more complicated, especially when applicants want to know their title.
  • Confusion regarding who is in charge of what, especially if the owner does not step in to assign tasks and projects.
  • Some people may want a title associated with their job, as it will come in handy if they ever apply for positions outside the company in the future.

There is no right or wrong answer to this question. Some companies spend entirely too much time assigning “cool” titles, while others realize this is a waste and would rather opt for a more “open” environment.

Final note: you have to pick one side or the other. You cannot have titles today, get rid of them tomorrow, and then bring them back next month. The choice is yours. Just make sure it is the right one for your business.

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SurePayroll provides online payroll services for small businesses across the nation. SurePayroll files and pays your taxes while you can focus on your business.