Archive for June, 2010

Religion in the Workplace: Promote, Tolerate or Discourage?

Tuesday, June 8th, 2010

Given our increasingly diverse and complex culture, when faced with the question of what is considered fair and acceptable regarding freedom of religious expression and practice in the workplace, reliance upon the law is the best guide.  Title VII of the Civil Rights Act of 1964, requires that employers must make an attempt to reasonably accommodate its employees’ religious requirements as long as it does not create undue hardship, expense for the employer or erroneously convey a religious alliance with the company.

What is Included in Religious Accommodation?

Religious accommodation extends its reach into all aspects of religious freedom:

  • Expression and displays such as styles of dress
  • Wearing or displaying symbols of religious belief
  • Taking time off to observe religious holidays (including the Sabbath)
  • Allowing for prayer time
  • Sharing of one’s beliefs with others

The Prohibition to Discriminate

Following the events of September 11, the EEOC (Equal Employment Opportunity Commission) came out with a strong statement against religious discrimination, impressing upon employers the need to accept all religions and ethnicities. In the words of the EEOC:

Anger at those responsible for the tragic events of September 11 should not be misdirected against innocent individuals because of their religion, ethnicity, or country of origin. Employers and labor unions have a special role in guarding against unlawful workplace discrimination.

Title VII of the Civil Rights Act of 1964 prohibits workplace discrimination based on religion, national origin, race, color, or sex. At this time, employers and unions should be particularly sensitive to potential discrimination or harassment against individuals who are – or are perceived to be – Muslim, Arab, Afghani, Middle Eastern or South Asian (Pakistani, Indian, etc.).

The law’s prohibitions include harassment or any other employment action based on any of the following:

  • Affiliation: Harassing or otherwise discriminating because an individual is affiliated with a particular religious or ethnic group. For example, harassing an individual because she is Arab or practices Islam, or paying an employee less because she is Middle Eastern.
  • Physical or cultural traits and clothing: Harassing or otherwise discriminating because of physical, cultural, or linguistic characteristics, such as accent or dress associated with a particular religion, ethnicity, or country of origin. For example, harassing a woman wearing a hijab (a body covering and/or head-scarf worn by some Muslims), or not hiring a man with a dark complexion and an accent believed to be Arab.
  • Perception: Harassing or otherwise discriminating because of the perception or belief that a person is a member of a particular racial, national origin, or religious group whether or not that perception is correct. For example, failing to hire an Hispanic person because the hiring official believed that he was from Pakistan, or harassing a Sikh man wearing a turban because the harasser thought he was Muslim.
  • Association: Harassing or otherwise discriminating because of an individual’s association with a person or organization of a particular religion or ethnicity. For example, harassing an employee whose husband is from Afghanistan, or refusing to promote an employee because he attends a Mosque.

Imposing Religious Views in the Workplace

While laws governing proselytizing are presently a bit murky, the law to reasonably accommodate an employee’s religious views does not require an employer to support or allow an employee to impose his or her religious views on co-workers.  In light of this, care should be taken to ensure that lines are not crossed and that religious respect goes both ways.  Those who are decidedly non-religious or of a different faith should not be subjected to unwelcome discussion of another’s religion or criticized for their opposing beliefs.  Thus, balance and tolerance are imperative in an effort to create, maintain and accommodate an overall harmonious work environment.

Walking this tightrope can be tricky, if not downright dangerous. Contact one of CPEhr’s Human Resources Outsourcing experts to assist you in complying with religious accommodations in the workplace.

Disclaimer

Will Your Company Be the Next Million-Dollar Wage & Hour Lawsuit?

Monday, June 7th, 2010

Just about every day, it seems the Department of Labor wins or settles another expensive lawsuit based on the “simple” laws of wage and hour. Below are eight beyond-the-basics FLSA questions that address wage and hour questions. How knowledgeable are you?

1. Q. Can we give an extra week of vacation to cover any overtime?
A. Providing vacation rather than overtime is not legal under the Fair Labor Standards Act (FLSA).

2. Q. Do general standards exist for exempt employees who do work beyond the normal workweek? For example, if they travel during the weekend for work, is it expected that they would get a day off later in compensation?
A. It is not expected that an exempt employee receive a day off after working on a weekend. Exempt employees are expected to work when duty calls.

3. Q. Can an employer deduct paid benefit leave, such as sick leave or personal leave, in half-day increments from an exempt employee if it is a written company policy?
A. You can deduct less than a day’s time from an exempt employee’s allotted sick time, vacation time, or personal time. You cannot deduct from an exempt employee’s paycheck for less than a day’s absence for sickness, disability, or personal leave.

4. Q. If an exempt employee calls in sick for a whole day and doesn’t have any accrued sick time on the books, can we dock his or her pay for the day?
A. Yes, as long as the deduction is made in accordance with a bona fide plan, policy, or practice of providing compensation for loss of salary caused by this type of sickness or disability. Remember, though, that you cannot deduct for less than 1 day’s absence.

5. Q. If an employee is exempt, can you still choose to classify him or her as nonexempt and pay him or her hourly with overtime?
Yes. You can classify any employee as hourly and pay the employee overtime, even employees who could otherwise pass the exemption tests.

6. Q. How do you distribute overtime among employees?
A. Distribution of overtime is a constant source of controversy in industry, both union and nonunion. Whether overtime is considered desirable because of the premium pay or undesirable because of the loss of free time, employees of similar skill should have equal opportunity or equal burden for overtime assignments.

A practical method is for the department supervisor to maintain a roster recording each employee’s overtime work. A properly kept roster will prevent unfair distribution of overtime and will help settle disputes. Ordinarily, in maintaining a roster, an employee who declines overtime is charged with a “time at bat,” and his or her name goes to the bottom of the roster.

7. Q. Our workweek is 35 hours, plus we pay lunch breaks of 1 hour each day, totaling 40 hours paid. If our employees work 36 hours and are paid for 41, is that extra hour considered overtime, or can we pay them straight time?
A. You can pay them straight time. The FLSA requires that overtime be paid for each hour worked in excess of 40 hours in a week. Since the lunch breaks are not “hours worked,” they don’t have to be counted toward overtime. Therefore, each employee’s total hours worked in that week would be only 36.

8. Q. All of our employees participate in a day of volunteering. Do we have to pay them on this day?
Charitable work performed at the employer’s request as part of the job or during work hours is considered hours worked. Charitable work will not be considered hours worked if:

  1. It is completely voluntary (even if the program is sponsored by the employer).
  2. It is performed outside of work hours.

If employees get the impression that their jobs would be in jeopardy or that they would receive fewer perks for failing to contribute to charity work, a court could say that the hours were not voluntary, but were coerced. This time could then be considered hours worked. In addition, employees cannot perform volunteer work for an organization that employs them if the work is similar to that for which they are paid.

(Source: The HR Daily Advisor, www.blr.com)

Disclaimer

Human Resources Outsourcing & Small Employers: A Perfect Match for a Tough Economy

Thursday, June 3rd, 2010

We are already approaching the mid-point of 2010, and the economic forecast remains unclear. While pundits in the first quarter predicted an economic  rebound, albeit with a few bumps along the way, the most recent economic indicators remain mixed, at best. Just this week, the ISM (Institute for Supply Management) reported that US supply sectors continued to grow in May, for the third consecutive month. At the same time, ADP released monthly employment figures well below analysts’ predictions.

As we continue to face an uncertain future, one thing is for certain – employers must remain focused on cost-containment and improving efficiencies. One way employers are addressing these employment challenges is through Human Resources Outsourcing.

How Does HR Outsourcing Work?

Like any outsourcing relationship, human resources outsourcing is the practice of using an outside expert to manage the day-to-day administration of non-essential employment tasks. Off-site specialists handle the non-core activities related to employment administration, payroll, benefits, taxes and workers’ compensation insurance. and other complex workplace regulations.

Primary Reasons to Outsource

There are many reasons why small companies outsource their HR functions. These can include:

  • Reducing employment cost and expenditures by accessing the HRO firm’s economies-of-scale
  • Increasing corporate efficiencies
  • Accessing more comprehensive and competitive health insurance plans
  • Reducing risks and exposures related to governmental regulations
  • Focusing internal resources on core business activities


The Value of Outsourcing HR

In a survey conducted by the Society for Human Resource Management, or SHRM, professionals in the industry were asked their opinions on HR outsourcing, and the majority listed “saving money” as the No. 1 reason. However, other reasons for outsourcing included:

  • Focusing on strategy
  • Improving compliance
  • Improving accuracy
  • Lack of in-house experience
  • Taking advantage of technological advances
  • Offering services they could not offer.

In that same SHRM report, HR professionals said the top function outsourced was 401k administration, along with training, health care and employee benefits administration, payroll, staffing, background checks, recruitment and policy writing.

Once HR and other operations are outsourced, many companies are showing a strong return on investment, according to a recent survey of American executives. A survey of executives at the IDC Midwest Conference showed nearly 85 percent of the respondents saved as much as they spent on outsourcing, with 26.4 percent reporting a savings of twice as much. And the savings, according to nearly 95 percent of the respondents, went toward operational performance and innovation, which improved shareholder value.

To investigate if HR Outsourcing is right for your company, please contact us for a complimentary HR Cost Analysis.