CPEhr http://www.cpehr.com/blog Your human resource partener Tue, 31 Aug 2010 21:30:18 +0000 en hourly 1 http://wordpress.org/?v=3.0.1 “The onslaught of wage and hour litigation continues unabated” – how will you protect yourself? http://www.cpehr.com/blog/the-onslaught-of-wage-and-hour-litigation-continues-unabated-how-will-you-protect-yourself.html http://www.cpehr.com/blog/the-onslaught-of-wage-and-hour-litigation-continues-unabated-how-will-you-protect-yourself.html#comments Tue, 31 Aug 2010 21:30:18 +0000 admin http://www.cpehr.com/blog/?p=839 As companies continue to find their footing in this slippery and unpredictable economy, you shouldn’t lose sight of the importance of solid HR practices in your company. Despite the desire to cut costs – and perhaps cut corners – solid HR is critical in protecting your company against lawsuits, and in weathering the economic storm. We ask our prospects the following five questions when considering, How does their HR bottom line look?

  1. Is your employee handbook up-to-date?
  2. Do your managers understand and comply with progressive discipline practices?
  3. Do you have detailed job descriptions to hold employees to objective standards?
  4. Do your Human Resources practices reduce your liabilities as an employer?
  5. Are you prepared to adapt to changes in Human Resources/Benefits regulations?

If you answered No, or I’m Not Sure, to any of the questions above, you may be placing your company in jeopardy. Recent reports support the tale that during an economic downturn, employment lawsuits rise. A recent overview of the legal landscape by The Legal 500, a 20-year old publication providing comprehensive worldwide coverage on legal services providers, confirmed this fact:

The onslaught of wage and hour litigation continues unabated, although the focus has now turned to cases of greater complexity or those relating to specific industries such as pharmaceuticals or construction. The other main development in this area is the increase in litigation resulting from widespread reductions in force. As the hostile economic climate of 2009 forced workers to scrutinize the reasons for their termination in more detail it made them more likely to pursue claims of wrongful termination when they couldn’t secure employment elsewhere. Along with these trends, new legislation continues to fuel changes in the employment landscape.

What are you doing to protect yourself?

In our next post, we will discuss two cost-effective ways employers can protect themselves from the ever-growing tide of employment lawsuits.

]]> http://www.cpehr.com/blog/the-onslaught-of-wage-and-hour-litigation-continues-unabated-how-will-you-protect-yourself.html/feed 0 Workplace Violence – Why it Happens, and How to Prevent It http://www.cpehr.com/blog/workplace-violence-why-it-happens-and-how-to-prevent-it.html http://www.cpehr.com/blog/workplace-violence-why-it-happens-and-how-to-prevent-it.html#comments Mon, 30 Aug 2010 13:43:17 +0000 admin http://www.cpehr.com/blog/?p=835 Earlier this month, a troubled employee fatally shot nine people (including himself) and wounded eight others when he arrived to the warehouse where he worked for the last two years. He was there to meet his manager for a disciplinary hearing.

This tragic case is reflective of the startling statistic that homicide is the second leading cause of job-related deaths following vehicular accidents. There are approximately 2 million employees (annually) who are victims of workplace violence. While homicide is an extreme case, workplace violence has been reported to include assault, robbery and rape.

Why Workplace Violence?

Linda Robinson, CPEhr’s Training Manager, cites many reasons for violence in the work environment. These include:

  • Pressure and stress of modern life—economic, social, and psychological challenges that can build up over time and drive people over the edge
  • Individuals who may view violence as a way to deal with their frustrations and solve problems
  • Cultures that tolerate and glorify violence
  • Access to weapons

While these are some of the reasons that workplace violence exist, according to Robinson, there are “undoubtedly many other causes that contributes to this act. As an employer, it is your duty to create a safe environment for all employees.” While there is no way of knowing if violence will occur in your organization, here are proactive steps and follow-up intervention items that you can make before violence erupts:

Proactive Steps:

  • Address threatening behavior right away
  • Review your workplace policy with employees that are causing problems
  • Educate your employees to report any disruptive, aggressive or violent acts
  • Refer employees that have exhibited violent behavior to counseling (EAP or private)

Follow-up Intervention:

  • Monitor the employee’s behavior
  • Use progressive discipline as needed
  • Assess the violent potential of terminated employees

While intervention is a proactive approach to address violence in the workplace, the number one prevention, according to Robinson, is to define, require and measure professional conduct across all-levels of the organization. This will create an environment that establishes a protocol that sets forth a tone for professional conduct within the workplace. When a professional environment is a part of the culture, employees who are disruptive and/or acting violently will be identified much faster than in a chaotic environment that has no professional standard.

]]> http://www.cpehr.com/blog/workplace-violence-why-it-happens-and-how-to-prevent-it.html/feed 0 Understanding PTO Policies, Part 2 – Sick Pay http://www.cpehr.com/blog/understanding-pto-policies-part-2-sick-pay.html http://www.cpehr.com/blog/understanding-pto-policies-part-2-sick-pay.html#comments Tue, 24 Aug 2010 19:49:28 +0000 admin http://www.cpehr.com/blog/?p=830 In our last post we discussed vacation policies, from both the best-practices and legal standpoints. In today’s post we take a quick look at Sick Pay.

What is required by law?

Like vacation, sick pay is not required under Federal or State statutes. However, there are a number of localities passing measures requiring employers to provide sick pay to their employees. If sick leave is offered, up to 50% of the time must be permitted to care for immediate family members (“Kin Care”).

Unlike vacation, sick pay does not need to accrue or vest, and employers are not required to payout sick leave at termination. This flexibility allows them a certain level of creativity when it comes to implementing a sick pay policy.

“Use it or Lose it” Policies

Employers MAY implement a “use it or lose” policy, but need to be aware that such policies may lead to sick leave abuse. Statistics vary as to the percentage of employees who abuse sick leave, with estimates ranging from 15% to 30%. [1]

Instead of “use it or lose it” sick pay, it is recommended to roll the accrued time over to the next year, with a cap. This policy eliminates the need for an employee to call in sick, lest they lose a benefit they view as “coming to them”.

The most common sick day policies grant between 5 and 10 sick days off per year.

If you need assistance reviewing your sick, vacation, or other PTO policies, please give us a call – one of our Human Resources Consulting experts will be sure to help.

Source: [1] USB Leaders Lab, “A Cure For Sick Leave Abuse:”, August 2008.

Disclaimer

]]> http://www.cpehr.com/blog/understanding-pto-policies-part-2-sick-pay.html/feed 0 Understanding PTO Policies, Part 1 – Vacation Pay http://www.cpehr.com/blog/understanding-pto-policies-part-1-vacation-pay.html http://www.cpehr.com/blog/understanding-pto-policies-part-1-vacation-pay.html#comments Wed, 18 Aug 2010 20:56:47 +0000 admin http://www.cpehr.com/blog/?p=825 As the tight economy continues with no foreseeable end in sight, employers are challenged to find ways to compensate, motivate and reward employees while adding minimal costs to their bottom line.  As health insurance premiums continue to skyrocket, many employers are utilizing  paid time off (PTO) as a recruiting tool to entice qualified applicants to join their company.  PTO policies such as paid vacation, sick,  holiday, and jury duty are common-place within the workforce; however, state regulations restrict how employers may implement such policies.  Non-compliance with these regulations may result in wage and hour lawsuits that can be costly for employers. In the next two posts, we review some important PTO rules and guidelines.

Vacation Pay

The most common form of PTO is vacation pay. According to Salary.com, 86% of employers offer some form of vacation pay. According to the California Chamber over Commerce, of 90% do. However, contrary to popular belief, vacation is not required under any Federal or State statutes. If offered, it is contractual in nature, meaning it becomes an employer policy that must be adhered to. As a result, many states impose restrictions on vacation pay. For example, in California, vacation pay is considered a vested, earned benefit which accrues over time and must be paid out at the time of termination.

“Reasonable Cap”

Vacation pay cannot be forfeited, and a  “use it or lose it” policy may not be enforced. However, employers are entitled to impose a “reasonable cap” to the amount of vacation an employee may accrue. A general guideline would be a vacation accrual equal to double (2x) their annual amount. As an example, if an employee accrues 40 hours of vacation per year, a reasonable cap would be 80 hours. After the employee has earned 80 hours of vacation, their accrual would stop.  The DLSE (the Division of Labor Standards Enforcement)  has determined that an employee must have at least nine months after the accrual of the vacation within which to take  the vacation before a cap is effective.
Accrual Methods

Accrual methods are flexible. Most commonly, vacation days are accrued by the day, week, or pay period. According to the CalChamber, the most common vacation policies are:

• Two weeks after one year
• Three weeks after five years
• Four weeks after eleven years

While some employers enjoy using their vacation policy to show off their corporate creativity, they are cautioned to avoid making policies overly complicated or difficult to track. At best, errors in calculations may occur. At worst, disparate policies may result, leading to potential discrimination violations. Additionally, the vacation accrual rate cannot decrease from one year to the next.

In summary, while vacation pay is a well accepted practice by a vast majority of businesses, it carries a range of obligations and rules that must be adhered to. If you have any questions or concerns about your current vacation policy, or would to create one, please contact one of our Human Resources Consulting experts who can assist you.

In our next post, we will review sick, holiday and personal days off.

Disclaimer

]]> http://www.cpehr.com/blog/understanding-pto-policies-part-1-vacation-pay.html/feed 0 CPEhr Named One of “Best Places to Work” in Los Angeles http://www.cpehr.com/blog/cpehr-named-one-of-%e2%80%9cbest-places-to-work%e2%80%9d-in-los-angeles.html http://www.cpehr.com/blog/cpehr-named-one-of-%e2%80%9cbest-places-to-work%e2%80%9d-in-los-angeles.html#comments Thu, 12 Aug 2010 21:14:52 +0000 admin http://www.cpehr.com/blog/?p=821 For the second consecutive year, we are proud to announce that CPEhr  was named one of the ‘Best Places to Work” by the Los Angeles Business Journal. Thousands of businesses participate in the annal “Best Places to Work” competition.

Employees working for Los Angeles organizations were surveyed anonymously early this spring by the LA Business Journal to measure their overall satisfaction with their work place. Key criterion used to determine the ranking related to leadership, corporate culture, work environment, training, development, communications, planning, pay and benefits.

Faith Branvold, CPEhr’s president, said,

“It is a tremendous honor to have been recognized by the Los Angeles Business Journal. It is our team of skilled professionals that makes CPEhr a great place to work.”

CPEhr offers a wide range of benefits and programs to its employees that promote a positive and productive work environment. These programs are also offered to the organizations to which CPEhr provides Human Resources services. Employees enjoy activities such as the CPEhr Olympics, corporate softball, weekly yoga classes, and monthly employee recognition and birthday celebrations.

Branvold continued,

“For nearly 30 years, we have worked hard to shape our company’s culture to a family environment. We believe that dedicated, happy employees will ensure employee retention while providing the best service possible to our clients,” said Branvold. “It has always been our philosophy that a strong team is based on respect, recognition, positive reinforcement and teamwork.”

If you would like to learn more about Human Resources Consulting, HR Outsourcing, or Professional Employer Organizations, please click the links above, or call us to speak with a Senior HR Business Consultant.

]]> http://www.cpehr.com/blog/cpehr-named-one-of-%e2%80%9cbest-places-to-work%e2%80%9d-in-los-angeles.html/feed 0 “Clothing” Now Defined Under FLSA http://www.cpehr.com/blog/clothing-now-defined-under-flsa.html http://www.cpehr.com/blog/clothing-now-defined-under-flsa.html#comments Thu, 29 Jul 2010 22:45:40 +0000 admin http://www.cpehr.com/blog/?p=814 In 1937, President Franklin D. Roosevelt passed the Fair Labor Standards Act (commonly referred to as the “FLSA”). The purpose of the Depression era legislation was to protect the individual employee against abusive employers and to ensure a minimum standard of living to the American worker. FLSA guarantees workers a federal minimum wage and overtime pay for employees who work over 40 hours a week.

Expanding FLSA Over the Years

Over the years, FLSA has been expanded to include other areas of employee protections, such as restrictions on employing children, and employee documentation and recordkeeping. In recent months, the US Department of Labor released an “Administrative Interpretation” (AI) to clarify the definition of “clothes” under the FLSA.

The Definition of “Clothing”

Currently, the FLSA excludes time spent “changing clothes or washing” at the start or end of a workday from compensable time, and the vague exemption has led to many lawsuits and conflicting court decisions on what constitutes ‘clothes.’ The AI provides clarity by stating that the time spent changing into or out of protective gear or equipment required by law, the employer, or the nature of the job, is indeed compensable.

The AI further clarifies that even if ‘changing clothes’ does not fall under a compensable activity or time, it may still trigger the ‘continuous workday rule’ if the subsequent activities after changing clothes would be compensable under FLSA, activities such as walking, waiting, or other travel time. Employers should review their compensation policies or practices to reflect this change to remain compliant with the law.

The guidelines covered by the FLSA can be confusing, and costly, if not adhered to. Speak with a CPEhr HR Consultant for an audit of your FLSA practices.

Source:  EPLI Pro News, July 2010

]]> http://www.cpehr.com/blog/clothing-now-defined-under-flsa.html/feed 0 4 Easy-To-Remember Interviewing Tips http://www.cpehr.com/blog/4-easy-to-remember-interviewing-tips.html http://www.cpehr.com/blog/4-easy-to-remember-interviewing-tips.html#comments Fri, 23 Jul 2010 20:20:14 +0000 admin http://www.cpehr.com/blog/?p=809 Last month, CPEhr’s Training Manager Linda Robinson presented a webinar entitled “How To Legally Interview Employees”. In this webinar she reviewed the entire interview process, from identifying candidates, to legally compliant interview questions, to proper follow-up etiquette (the webinar can be found on CPEhr’s corporate website). In this post we briefly list the top 4 tips to consider when interviewing and hiring the most qualified candidates:

1.Define Your Needs.  A Job Description will help you define the level of knowledge, skills and abilities that you are looking for in a candidate.

2. Evaluate Interview Criteria. This should be based solely on job-related criteria.  Does the candidate possess the skills as defined in the Job Description?

3. Know The Laws.  There are many city and state laws, as well as the Fair Employment and ADA Regulations that you should know before interviewing a candidate.

4. Think For The Future. Remember, the employees that you hire today are the leaders that you will employ tomorrow.

If you are looking to hire new employees in the near future, please contact our Recruiting Department for assistance in any aspect of the hiring process.

]]> http://www.cpehr.com/blog/4-easy-to-remember-interviewing-tips.html/feed 0 Children at Work: Employers May Face Stiff Fines for Employing Minors http://www.cpehr.com/blog/children-at-work-employers-may-face-stiff-fines-for-employing-minors.html http://www.cpehr.com/blog/children-at-work-employers-may-face-stiff-fines-for-employing-minors.html#comments Fri, 16 Jul 2010 17:30:49 +0000 admin http://www.cpehr.com/blog/?p=803 The summer is here and your kids are out of school. So, you invite your 13 year old son to help you out around the office, or your 14 year old daughter to take sales orders over the phone. Sounds innocent enough, right? Wrong!

Strict guidelines govern the employment of minors, with stiff fines imposed for non-compliance. Over 15 years ago, California passed the Omnibus Child Labor Reform Act (AB 1900) which details the working conditions under which minors may be employed. It addresses working hours, conditions, safety, schooling and parental permissions.

However, The US Department of Labor (DOL) recently announced on June 16, 2010, their decision to impose new penalties to employers who illegally employ minor workers. Specifically:

  • Employers who employ 12 or 13 year-old minors in violation of the Fair Labor Standards Act (FLSA) will be fined at least $6,000 per violation, more than 6 times the prior penalty.
  • Employers who employ minors under 12 years old will be fined at least $8,000, up nearly 10 times the prior penalty.
  • Penalties for employing minors under age 14 could be raised to $11,000 under certain conditions.

In light of these strict penalties, it is crucial that employers are informed and comply with child labor laws. For information on child labor laws in your state, please contact one of our Human Resources Representatives.

Source: www.EPLIPro.com July newsletter

Disclaimer

]]> http://www.cpehr.com/blog/children-at-work-employers-may-face-stiff-fines-for-employing-minors.html/feed 0 HR Outsourcing and the Corporate Personality http://www.cpehr.com/blog/hr-outsourcing-and-the-corporate-personality.html http://www.cpehr.com/blog/hr-outsourcing-and-the-corporate-personality.html#comments Wed, 14 Jul 2010 00:00:43 +0000 admin http://www.cpehr.com/blog/?p=794 What do people and businesses have in common? For starters, no two are alike. Just like individuals have their own personal challenges, likes, dislikes and personality traits, so too do organizations. Each has its own challenges, profit centers, strengths and weaknesses. It is for that reason that when a company is looking for a business solution – in any discipline – it is crucial to receive a customized program that matches their unique needs.

Employees are People Too
When it comes to employment challenges, the differences between companies becomes even more pronounced. We are now dealing with people WITHIN companies, carrying their own personal lives into the workplace. It is for that reason that when a company is considering a Human Resources Outsourcing solution to assist them with their employment and HR challenges, they should only consider a firm that will customize a program to their individual corporate needs.

Flexible HR Services

CPEhr recognizes this individual need of each organization and has created a one-of-a-kind flexible service model.  There are no boxes, no one-size-fits-all. Each company can purchase the service level they need:

Professional Employer Outsourcing (PEO)

Professional Employer Outsourcing is a complete co-employment service. CPEhr becomes the “Employer of Record” while the client continues to function as the managing employer. CPEhr assumes certain employment responsibilities and shares in the liability of being an employer. Clients gain access to Human Resources Administration, Labor Law Compliance, Management Training, Safety and Risk Management, Employee Benefit Packages, Workers’ Compensation Insurance, Payroll and Tax Administration, and Employee Practices Liability Insurance (EPLI).

Human Resources Partnering (HRP)

Human Resources Partnering is a flexible alternative to co-employment wherein the client remains the “Administrative Employer.” The clients have access to some of the same services offered under the PEO arrangement, but with the ability to maintain their existing benefits and/or workers’ compensation insurance. The services included in this plan are Human Resources Administration, Management Training, Safety and Risk Management, Payroll and Tax Administration.

HRO (Human Resources Outsourcing)

Human Resources Outsourcing is a service model in which CPEhr designs a customized plan for the specific area(s) selected by the client. This option provides administrative services and strategic human resources functions, but does not include payroll administration.

“A-La-Carte” Services

CPEhr’s a-la-carte menu offers clients the ability to outsource short-term assignments. This model provides access to discounted rates for HR assignments that clients may not be able to manage in-house, for HR professionals that don’t have time to get to a specific task, and for those who want to partner with an outside firm to support their initiatives. You choose the assignment, we deliver the finished product, at a competitive rate, within an agreed upon timeline.

To learn more about these service models and to investigate which one makes the most sense for your business, please contact CPEhr for a complimentary HR analysis.

]]> http://www.cpehr.com/blog/hr-outsourcing-and-the-corporate-personality.html/feed 0 Heat Safety is Smart Business, and its the Law. http://www.cpehr.com/blog/heat-safety-is-smart-business-and-its-the-law.html http://www.cpehr.com/blog/heat-safety-is-smart-business-and-its-the-law.html#comments Mon, 12 Jul 2010 22:20:20 +0000 admin http://www.cpehr.com/blog/?p=789 With the summer in full swing, employees must prepare themselves for the heat. And we’re not just talking sun-hats and water bottles here. Incidents related to the heat account for one of the highest workplace injuries causes as reported by OSHA. OSHA (the Occupational Safety and Health Association) clearly outlines an employers responsibility to help protect their employees from heat-related injuries.

The Personal Protective Equipment Rule

The Personal Protective Equipment Rule under OSHA states that employers must provide both protective equipment and training to workers in certain situations, including environmentally hazardous conditions such as sunlight and heat. Some states are more at risk from this type of exposure than others, such as Arizona, which has the nation’s highest heat related death rate. Employers with outdoor workers in states with hot weather conditions must ensure that appropriate measures are in place to prevent heat related illnesses and/or deaths.

New Enforcement Initiative

OSHA has recently unveiled its new enforcement initiative, the “Severe Violators Enforcement Program” which increases penalties, and enhances the corrective measures that must be taken when an employer’s violation is intentional or repetitive. OSHA has issued a directive that state OSHA departments must adopt the Program or an equivalent program within six months of the effective date which is scheduled to be within 45 days of April 22, 2010. Given the increased enforcement initiative, employers should review and revise their safety policies, and procedures to ensure they are in full compliance.

Create a Heat-Safety Program for Your Company

If your business employs workers who work outdoors, or in hot indoor conditions, please contact CPEhr to schedule a complimentary on-site inspection of your workplace. Our experienced Risk Management team will assess your heat risk and create a customized safety program to both protect your employees, as well as keep your business OSHA compliant.

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