Big 5 Sporting Goods is one of America’s top retailers of name-brand sporting goods and accessories. Big 5 has 400+ locations spread throughout 10 western states, and the company employs 9,000 workers throughout its retail stores, corporate office and distribution centers.
Our long-term partnership with ADP is built on trust. We always get what we need from ADP and the support they give us is phenomenal. We have never had any complaints because the relationship is stress-free, responsive and proactive — characteristics that make a relationship thrive.
Johnny Mirador,
HR Processes and Practices Manager
Big 5 Sporting Goods
| Challenge | ADP capability | What we did | Result |
|---|---|---|---|
| Manual WOTC screening forms increased onboarding and tax credit administration burden. | ADP SmartCompliance | Automated WOTC screening with ADP SmartCompliance for Tax Credits and moved screening into the applicant workflow. | Reduced manual form collection and helped Big 5 avoid missed tax credit eligibility caused by incomplete or late paper forms. |
| WOTC screening was often not completed before job offers, risking tax credit eligibility. | ADP SmartCompliance | Integrated WOTC screening into the job application process before offer letters were issued. | Improved compliance with required WOTC screening timing and helped Big 5 achieve close to a 100% WOTC screening rate. |
| Applicant screening was difficult to manage consistently across hundreds of retail locations. | ADP SmartCompliance | Automated applicant WOTC questions in the application process using ADP SmartCompliance for Tax Credits. | Created consistent on-time applicant screening, with close to 100% of job applicants completing WOTC questions. |
| High weekly and seasonal hiring volume made it harder to capture every eligible work opportunity tax credit. | ADP SmartCompliance | Automated WOTC screening so applicant eligibility information was completed on time during regular and seasonal hiring. | Helped Big 5 receive tax credits for which it was eligible across 20-30 hires each week and higher seasonal hiring volumes. |
| WOTC form collection consumed HR time that could support store operations. | ADP SmartCompliance | Shifted tax credit administration burden to ADP SmartCompliance for Tax Credits. | Reduced tax credit administrative burden, giving HR more time to support store timekeeping, HR and applicant tracking questions. |
| Tax credit administration required responsive support to resolve questions quickly. | ADP SmartCompliance | Provided responsive account management support with immediate answers and proactive follow-up. | Improved client support experience through 100% immediate answers to questions and proactive follow-up from the account manager. |
Automating WOTC screening was a slam dunk
Before Big 5 automated Work Opportunity Tax Credit (WOTC) screening in 2013, they were using paper 8850 forms for WOTC screening. New hires completed this form along with 10-15 other forms as part of their onboarding at the store level. Oftentimes, store managers were challenged to complete Form 8850 forms on time with their new hires. Other times, the managers didn’t mail them to the corporate office in time, so they would lose tax credit eligibility.
Big 5 automated the WOTC screening process with ADP SmartCompliance for Tax Credits in 2013, and it made a huge difference. Applicants complete WOTC screening prior to receiving an offer letter. This complies with the requirements for WOTC screening. Now, they have close to 100% of job applicants completing the questions because the screening is included in the application process. No longer do they have to look back to see if forms were completed, and they’re compliant in terms of meeting the required dates for WOTC screening.
How does automated tax credit screening help employers capture WOTC eligibility?
Automated tax credit screening helps employers capture WOTC eligibility by prompting applicants to complete screening questions at the right time in the hiring process. Big 5 Sporting Goods used ADP employment tax credits capabilities through ADP SmartCompliance to replace paper 8850 forms that store managers sometimes skipped or mailed too late. The automated workflow moved WOTC screening into the application process before offer letters were sent, helping Big 5 meet the required timing for screening and achieve close to a 100% completion rate. Employers with frequent hiring can use this model to reduce missed eligibility caused by manual handoffs.
When should WOTC screening happen during hiring?
WOTC screening should happen on or before a candidate receives a job offer. Big 5 Sporting Goods moved WOTC screening into its job application process using ADP SmartCompliance for tax credits, so applicants completed the required questions before offer letters were issued. This timing helped Big 5 comply with WOTC screening requirements and avoid the late or missing paper forms that had previously caused eligibility loss. Employers with similar hiring workflows should place screening early enough to support compliance before offers are finalized.
How can retailers reduce manual WOTC screening work?
Retailers can reduce manual WOTC screening work by moving tax credit questions out of paper onboarding packets and into a digital applicant workflow before offers are issued. Big 5 Sporting Goods, a sporting goods retailer with more than 400 locations and 9,000 employees, used ADP SmartCompliance for tax credits after paper 8850 forms were often missed or mailed late. By automating screening in the application process, Big 5 no longer had to chase forms after hiring, which reduced administrative burden and improved completion consistency across stores. This approach is especially useful for retailers with distributed hiring teams and high-volume hourly roles.
Why is WOTC screening harder for multi-location retailers?
WOTC screening is harder for multi-location retailers because hiring often happens across many stores, managers, and seasonal workflows, which increases the risk that forms are missed or delayed. Big 5 Sporting Goods operates more than 400 locations across 10 western states and hires 20-30 people each week, with even more during seasonal hiring. Before using ADP SmartCompliance for tax credits, paper forms depended on store managers knowing what to collect and mailing documents to corporate on time. Centralizing screening in the applicant workflow made the process more consistent at scale. This model is relevant for retailers with distributed store-level onboarding.
