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Gas prices changing business practices

For most employers, where their employees live has never been a concern, but soaring gas prices may be changing that.

The Hartford Courant reports that companies nationwide have begun asking applicants a different type of question: Are you driving to work and what’s the length of your commute? It’s part of any conversation, says one employer. Making an investment in an employee who’s going to leave after a short time because of commuting costs hurts the bottom line. Anything beyond a 20- to 30-minute commute is dicey. 

 Many employers are also looking for ways to reduce the commute for current employees, some by shifting to a four day workweek.  Others have begun to shift their supply chain around and are using local suppliers. Larger-than-expected raises to cover the cost of gas may also become necessary for employers worried about losing employees to competitors. 

Job ads: Watch that language

In an informal discussion letter the Equal Employment Opportunity Commission (EEOC) has offered guidance on the legality of using particular wording in “help wanted” advertisements.

Asked whether employers can legally use phrases such as “women and minorities encouraged to apply,” the EEOC said they knew of no case where an employer had been held liable for using such language in their job advertisements. To develop an applicant pool that reflects the demographics of the qualified workforce, it may be necessary to encourage members of underrepresented groups to apply, said the agency.

The agency was also asked whether use of the phrase “and others” makes an otherwise discriminatory advertisement -- as in “seeking stay-at-home moms and others” or “seeking retirees and others" -- nondiscriminatory. According to the EEOC, “seeking” a particular kind of applicant indicates a preference for that group; it is not just "encouraging” people to apply. Therefore, using the phrase “and others” likely would not redeem such an ad.

Another issue brought a mixed response from the EEOC. Asked whether it had a definitive policy for the use of gender-specific job titles, the agency said using a narrow term such as “waitress” in a job ad implicates federal anti-discrimination law because the term is likely to deter members of protected groups — in this case, men — from applying for such jobs. The term “journeyman,” however, is considered gender-specific but its use does not implicate antidiscrimination laws because it is a term of art designating a particular skill level. However, the agency added that it has not taken a formal position on whether “journeyman” or “journey level” is appropriate.

In the letter, the EEOC cautioned that the guidance was general in nature and not a legal assessment. The legality of particular employment practices can only be determined when specific charges of discrimination are filed, said the agency.

Federal contactors must use E-Verify

Under an executive order issued recently by President Bush, federal contractors will be required to use E-Verify — the Department of Homeland Security’s (DHS) voluntary electronic employment verification system — to confirm the employment eligibility of workers on all future government contracts.

DHS operates E-Verify in partnership with the Social Security Administration (SSA). The system compares employee information from the I-9 form against records in the Social Security Administration’s database and in the DHS immigration database. While some states have mandated use of the system for certain employers, voluntary adoption by employers has been slow

The DHS and the attorney general of the U.S. are charged with enforcement of the executive order, and DHS is authorized to issue implementing rules. Among other things, the rules are expected to clarify whether the Office of Federal Contract Compliance will have an enforcement role; the order applies to all federal contracts, regardless of size; and subcontractors are also covered.

Google top choice for MBAs

For the second year in a row, MBA students responding to a survey by Universum have chosen Google as their ideal employer.

The global employer branding consultants Universum polled nearly 58,000 students from 52 MBA programs for its annual survey. Nearly 24% of the students named Google as the workplace of choice. Rounding out the top five were McKinsey and Company (16%); Goldman, Sach (15%); Apple (14%); and The Boston Consulting Group (12%).

The survey also found management consulting to be students' desired industry (30%), followed by financial services (19%), marketing/advertising (13%), consumer goods (12%), and investment banking (8%).

MBA students said they expect a $90,000 salary, on average, one year after graduating and $180,000 after five years.

Boomers not eager to retire

Baby boomers are no more eager to retire than their predecessors were, according to a survey of more than 2,500 senior HR executives by Novations Group, a consulting and training services firm based in Boston.

When asked how the baby boomers in their organization feel about retirement, the HR execs responded:

• Our baby boomers seem eager to retire – 14%
• Our baby boomers seem no more eager to retire than previous groups – 42%
• Our baby boomers do not seem eager to retire – 19%
• Not sure – 25%

Novations warned that the ambivalence of boomers toward retirement has left many employers in a vulnerable position. A majority of them (56%) either don’t expect, or don’t know if there will be, a large loss of talent. Only 26% are taking steps to mitigate the loss, for example, by creating ways for baby boomers to gradually reduce their hours. These 26% will have a competitive edge over other companies that don’t have plans to address the issue, says Novations.

DOL proposes H-2B changes

The U.S. Department of Labor (DOL) has proposed rules to modernize the H-2B application process and strengthen worker protections under the temporary labor certification program.

When there is a shortage of skilled U.S. workers, the H-2B program enables employers to apply for temporary, nonagricultural workers from outside the country to fill temporary or seasonal needs. The proposed rules would streamline the process and eliminate duplication of effort by state workforce agencies (SWAs) and the DOL’s Employment and Training Administration (ETA). Instead of applying first with their SWAs, employers would file their H-2B applications directly with the ETA. Employers would also obtain the applicable prevailing-wage determinations for their job opportunities from the DOL, rather than from their SWAs.

The proposed rules also prohibit employers from passing along any related costs to foreign workers who participate in the H-2B program. In addition, the DOL proposes to debar for up to three years any employer, attorney or agent who commits fraud or willful misrepresentation concerning the H-2B employment-based immigration program, or fails to cooperate in DOL audits or investigations.

Public comments on the proposal will be accepted until July 7.

HSA limits for 2009

 The U.S. Treasury Department and Internal Revenue Service have issued new guidance on the maximum contribution levels for Health Savings Accounts (HSAs) and out-of-pocket spending limits for High Deductible Health Plans (HDHPs) that are required with HSAs. These amounts have been indexed for cost-of-living adjustments for 2009.

New annual contribution levels for HSAs:

• For 2009, the maximum annual HSA contribution for an eligible individual with self-only coverage is $3,000
• For family coverage, the maximum annual HSA contribution is $5,950
• Catch-up contribution for individuals age 55 or older is increased by statute to $1,000 for 2009 and all subsequent years
• Individuals eligible on the first day of the last month of the taxable year (which is December for most taxpayers) may make the full annual contribution (plus catch-up contribution if 55 or older by year-end), regardless of the number of months the individual was eligible in the year. For those people who are no longer eligible on that date, both the HSA contribution and catch-up contribution apply pro rata based on the number of months of the year a taxpayer is eligible.

New amounts for out-of-pocket spending on HSA-compatible HDHPs:

• For 2009, the maximum annual out-of-pocket amounts for HDHP self-coverage increases to $5,800 and the maximum annual out-of-pocket amount for HDHP family coverage is $11,600.

Minimum deductible amounts for HSA-compatible HDHPs:

• For 2009, the minimum deductible for HDHPs increases to $1,150 for self-only coverage and $2,300 for family coverage.

In addition, a fiscal year plan that satisfies the requirements for an HDHP on the first day of the first month of its fiscal year may apply that deductible for the entire fiscal year.

High court backs workers in retaliation cases

 In separate decisions, the U.S. Supreme Court has ruled that two federal laws prohibiting employment discrimination also allow employees to sue for retaliation, even though neither law specifically mentions it.

In one of the cases, a black employee filed suit against his employer, claiming he was fired because of his race and because he complained about alleged racial discrimination against a co-worker. The lawsuit included discrimination and retaliation claims under Title VII of the Civil Rights Act of 1964 and Section 1981, a Reconstruction-era civil rights statute that prohibits, among other things, race discrimination in employment contracts. A lower court dismissed all but the 1981 retaliation claim, which made its way up to the high court.

The other case involved the provision in the Age Discrimination in Employment Act (ADEA) that covers federal employees. It prohibits age discrimination against federal employees, but unlike the ADEA provision covering the private sector, does not prohibit retaliation.

The race bias ruling is particularly significant for employers because Section 1981 has a much longer statute of limitations — four years — than Title VII has. It also does not require an employee to first file a complaint with the EEOC, and does not limit the amount of punitive and pain and suffering damages that can be awarded

Staffing employment edges down

Staffing industry employment declined slightly in the first quarter of 2008 compared with the same period last year, according to survey data from the American Staffing Association(ASA).

America’s staffing companies employed an average of 2.8 million temporary and contract workers per day from January through March, down 1.7% or 48,000 jobs from the first quarter of last year. This marks only the fourth time since the second quarter of 2002 that the industry’s quarterly employment decreased from the same period of the previous year.

Demand has softened for lower-skilled labor, says ASA, but there continues to be growing demand for higher-skilled talent.

In addition, the ASA Staffing Index — which measures weekly changes in staffing industry employment — has been flat since the beginning of the year. This suggests that the staffing industry has remained more resilient than in previous periods when the economy had slowed, says ASA.

U.S. sales of temporary and contract staffing totaled $17.7 billion in the first quarter of this year, an increase of 1.5% over the same quarter of the previous year, and a new first quarter record.

New degree: A.S. in finance, insurance

A new academic degree, associate of science in insurance and financial services, was recently approved by the Board of Governors of the Connecticut Department of Higher Education. The degree is one of the first of its kind in the country.

The Insurance and Financial Services Center for Educational Excellence developed the new degree with extensive industry participation and in collaboration with faculty at Capital Community College in Hartford and Norwalk Community College

Gov. M. Jodi Rell’s office called the degree a significant step toward meeting the needs of the state’s insurance and financial services companies for skilled workers.

The degree will be offered for the first time in the fall of 2008 at Capital Community College and Norwalk Community College. Registration begins in June. For more information, go to

http://www.ct.gov/governorrell/cwp/view.asp?A=3293&Q=416140

Competing for talented younger workers? Get an edge with telecommuting

Connecticut companies are facing a shortage of skilled workers that’s being caused by an aging employee population. Because businesses must continually compete for younger workers, talented young people whose skills can contribute to the success of any business are in high demand. Is your company doing all it can to attract and retain them?

Younger workers often expect flexibility in their work schedules, so offering the ability to telecommute is an easy way to reach this age group. Employees between the ages of 18 and 34 are twice as likely to prefer flexible working conditions as older employees, according to one recent study. In fact, 70% of survey respondents agreed that they would welcome the opportunity to work from a remote location.

Telecommuting is a good option because employers with telecommute programs (1) attract the best and brightest candidates to the hardest-to-fill jobs, (2) reduce the cost and time of recruiting and retraining replacements and (3) help employees achieve work/life balance and reduce their costs and stress.

Many younger workers also have the characteristics that make good telecommuters, including being self-motivated, independent self-starters.

Telecommute Connecticut provides employers with free consulting assistance to design, develop and implement telecommuting programs including HR policies and teleworker agreements and training. For more information, visit www.telecommuteCT.com or call 1 -800-255-7433.

2008 college class largest in state’s history

 Connecticut’s public and independent colleges are expected to graduate some 36,000 students this spring, the largest number in the state’s history.

According to a profile by the state Department of Higher Education, about half of the students will receive their bachelor’s degree, 26% will get a master’s degree, and 14% an associate’s. Most will have majored in one of five fields that have been the most popular choices over the past 10 years: business; health; education; social science/history; and the liberal arts. The class will include more than 1,000 new nurses, more than 3,600 new teachers, and about 3,500 with degrees in the sciences — biology, physics, engineering, and computer science.

Nearly 18% of the students are from minority groups, reflecting the state’s increasing diversity, but still lagging their representation in the general population. Sixty percent are women, retaining their majority status first reached in the late 1970s.

Immigration agents arrest 300

Looking for evidence of aggravated identity theft and fraudulent use of Social Security numbers, agents of U.S. Immigration and Customs Enforcement (ICE) recently arrested more than 300 individuals at a meatpacking plant in Iowa.

The worksite raid was the largest enforcement operation of its type ever in Iowa. All of those taken into custody during the operation are being interviewed to determine if they have health, caregiver, or other humanitarian concerns, says ICE. So far, 40 individuals have been released on humanitarian grounds under supervision, but will be required to appear before an immigration judge. Anyone discovered to be in the United States illegally eventually will be placed into administrative removal proceedings.

ICE has not indicated whether the employer will face charges.

Few companies dealing with language issue

A survey by The Conference Board of senior human resource, training and development executives finds that 66% of companies do not provide English language skills in their training programs.

Among this group, more than half said they “have not found a need to warrant such training,” even though more than 80% report employing English-deficient employees. Some of these companies have found alternative means for accommodating such employees; for example, one in five report using bilingual supervisors.

Companies that don’t provide English language skills in their training programs say they would if it would result in increased productivity and employee engagement.

As foreign workers make up a larger share of the U.S. workforce, more employers will be dealing with language limitations, says The Conference Board. Whether and how companies choose to accommodate these workers could have significant impact on the sustainability of success. The latest evidence suggests companies would do well to recruit and hire the best available talent, regardless of language limitations, and invest in language training.

$1M payout for sex bias against men

A Dallas-based restaurant chain has agreed to pay $1 million to settle a sex discrimination lawsuit that accused the company of refusing to hire male bartenders.

In the lawsuit, the Equal Employment Opportunity Commission (EEOC) claimed that Razzoo’s restaurants set up and communicated to managers by e-mail a plan for an 80 – 20 ratio of women to men behind the bar. Male applicants and servers were expected to testify at the trial — which will now be unnecessary because of the pre-trial settlement—that managers told them Razzoo’s wanted mostly “girls” working as bartenders. Male servers were generally denied promotion to bartender and the few men who were promoted were not allowed to work lucrative “girls-only” bartending events.

Some may say that sex sells drinks, said the EEOC’s lead counsel on the case, but gender ratios are illegal.

Razzoo’s agreed to pay $775,000 to be divided among a class of male applicants, male servers and male bartenders who were discriminated against. The chain also agreed to spend no less than $225,000 to retain the services of a human resources consultant or to develop an in-house human resources department.

Coming in June…. What Every Supervisor Needs to Know About Employment Law. Informed managers and supervisors can be a big help on the HR front. Be sure your company’s supervisors are up to date on the latest developments in discrimination law and related workplace issues. June 11 in Windsor or June 20 in New Haven.

Job seekers need a little help from their friends

Internet sites are helpful, but job seekers still rely most heavily on personal connections when looking for work.

In a survey by Gallup, people who had searched for work in the past six months were most likely to say they used family and friends (74%) and current employees at a company (70%) as resources. Forty percent also used referrals from the potential hiring company’s customers or vendors.

Nearly two-thirds (62%) used online databases to look for work. Smaller percentages of jobseekers relied on other Web-based resources, such as specific organizations’ Web sites (56%), search engines such as Google and Yahoo (39%), professional or trade associations’ Web sites (36%), online networking tools (29%), online job ads (28%), and their college’s career center or Web site (16%).

Job seekers also found referrals and personal interaction more effective than other types of search tools, including web-based databases and search engines. About two-thirds of jobseekers said referrals from an organization’s current employees are effective when searching for work, while half rated family and friends as effective resources. One-third of jobseekers considered an organization’s Web site to be a somewhat effective tool. One quarter said online job databases are somewhat effective, while no more than 20% rated any of the other cyber-search resources as somewhat effective.

State’s high court breaks new ground

Employers must reasonably accommodate employees with disabilities and identify potential accommodations, even though the state Human Rights and Opportunities Act does not explicitly require them to, Connecticut’s Supreme Court has ruled.

In officially recognizing an employer’s duty to accommodate, the high court adopted the position the state Commission on Human Rights and Opportunities (CHRO) has long held on the issue. Its interpretation, said the court, is consistent with the state statute’s legislative history and intent, federal disabilities law, and the law of other states.

The court’s decision revives the accommodation claim of an employee whose employer temporarily moved him from a job as a driver to working in a warehouse after he hurt his back. But the company refused to reassign him on a permanent basis.

10 hardest jobs to fill

In an annual survey by Manpower, Inc., U.S. employers identified the following 10 jobs as the hardest to fill for 2008:

1. Engineers
2. Machinists/Machine Operators (ranked 10th in 2007)
3. Skilled Trades
4. Technicians (4)
5. Sales Representatives (1)
6. Accounting and Finance Staff (8)
7. Mechanics (3)
8. Laborers (9)
9. IT Staff
10. Production Operators

Sales representatives, technicians, accountants/finance staff and machinists appeared on the hardest-to-fill list for the third consecutive year, confirming that job seekers with specific skill sets are still in demand.

Engineers appeared second on the list in 2006 and first this year, after dropping off completely in 2007. Employers are also finding it difficult to fill openings for skilled trades people, IT staff and production operators, all new to the 2008 list.

Although job categories have shifted on the list, it’s clear that all types of companies need to plan how they will transition from baby boomers to younger generations, says Manpower. Companies must balance attracting and retaining aging workers with developing innovative recruiting programs that target young professionals, especially those interested in technical and trade careers.

• To learn more about attracting and retaining older workers, join us for a day long conference in June.

New drug-free workplace kit

The Substance Abuse and Mental Health Services Administration (SAMHSA) has developed a Drug-Free Workplace Kit, suitable for all sizes of workplaces.

Nearly 75% of current illicit drug users and 79% of heavy drinkers aged 18 or older are in the workforce, says SAMHSA. Substance abuse is expensive and dangerous for American businesses, costing them estimated billions of dollars a year.

Available in print or online, the free kit offers practical, evidence-based information, resources and tools for developing and maintaining drug-free workplace policies and programs.

The new kit includes nine brochures, 13 fact sheets, a bumper sticker and two posters for display in workplaces. The materials cover a range of topics, including how to assess your company’s needs; understanding the legal issues related to substance abuse; developing a policy; prevention education; training your supervisors; and creating an employee assistance program. The kit also includes information on how to set up systems for evaluating the program’s effectiveness.

Up to five printed copies of the kit can be ordered by calling 1-877-726-4727. It can be downloaded online at http://www.workplace.samhsa.gov/WPWorkit/index.html.

Bigger paychecks for summer hires

Twenty-four percent of employers plan to pay their summer hires more this year than they did last year, according to a survey by CareerBuilder.com. Nearly half plan to dish out $10 or more per hour; 7% will pay $20 or more per hour.

The hospitality and retail industries lead in the number of hiring managers planning to recruit summer help, at 40% and 39% respectively. Most-offered summer positions are office support, customer service, and landscape maintenance.

Nearly two-thirds of employers say they will consider their summer recruits for permanent placement within the organization.

Summer jobs can also be rather … unusual. When asked about the most unusual or memorable summer jobs they’ve ever held, workers identified chicken wrangler, clown in an underwater theatre; cast member in a haunted house; gopher hunter; eraser of marks in used books; and scrubber of rubber ducks for a national rubber duck race.

Women in the workforce

A record 68 million women were employed in the U.S. in 2007 — 75% of them in full-time jobs, according to the U.S. Department of Labor (DOL).

The largest percentage of employed women (39%) worked in management, professional, and related occupations, accounting for 51% of all workers in these occupations. They outnumbered men in such occupations as financial managers; human resource managers; education administrators; medical and health service managers; accountants and auditors; budget analysts; property, real estate, and social and community association managers, physical therapists; and nurses.

The DOL’S figures also show that 34% of employed women worked in sales and office occupations; 20% in service occupations, 6% in production, transportation and material moving occupations; and 1% in natural resources, construction and maintenance occupations.

For more data from DOL on women in the workforce, go to http://www.dol.gov/wb/stats/main.htm.

H-1B visa cap reached

The U.S. Citizenship and Immigration Services (USCIS) says it has received enough H-1B petitions to meet the congressionally mandated cap for Fiscal Year 2009. The agency has also received more than 20,000 H-1B petitions filed on behalf of people who are exempt from the cap under the “advanced degree” exemption.

USCIS will randomly select the number of petitions needed to meet the caps of 65,000 for the general category and 20,000 for the advanced degree exemption. The agency will conduct the selection process for advanced degree exemption petitions first. All advanced degree petitions not selected will be part of the random selection process for the 65,000 limit.

Current holders of H-1B visas are not affected by the cap.

Safety at the office

While office settings usually lack drill presses, band saws and other obvious risks that everyone equates with workplace safety, thousands of working Americans are injured in offices every year, says the National Safety Council (NSC). Perhaps the biggest risk in the workplace is not being aware of risks -- not realizing the potential dangers associated with some common office features that can lead to injuries or even death.

According to the NSC, the most common office hazards include file cabinets and other obstacles; electricity and fires; falling down and sitting down; and ergonomics and working postures. For tips on how to assess your office workspace for these hazards and prevent or correct potential problems areas, visit

http://www.nsc.org/cubicle_safety.aspx

More Connecticut commuters using trains

Nearly 1.4 million new riders traveled on Connecticut’s commuter rail service in 2007.

The Connecticut Department of Transportation (DOT) recently released its annual rail ridership report for calendar year 2007 and first two months of 2008, showing across-the-board increases. The New Haven Line had more than 1.3 million new passengers in 2007, a nearly 4% increase over 2006. Shore Line East (SLE) ridership increased 5.5%, or 25,000 more passenger rides in 2007. In January and February of 2008, rail ridership continued to experience strong increases.

New stations, more parking and better equipment are all encouraging more people to choose the train, says Gov. M. Jodi Rell. A modern rail system with convenient and reliable service is an important part of a 21 st century transportation infrastructure Connecticut needs to support our economy and quality of life.

Connecticut intrastate ridership—those customers who do not begin or end their commute in New York City’s Grand Central Terminal — had the highest percentage increase in 2007. More than 3.9 million passengers traveled on the New Haven Line within Connecticut, a 7% increase over 2007. The Waterbury Line experienced a 6.9% increase; the New Canaan Line increased 3%.

The New Haven Line is one of the busiest commuter routes in North America, carrying more than 36 million passengers in 2007.

Watershed benefits case

The U. S. Supreme Court has agreed to hear a case that could have widespread ramifications for employee benefit plans and insurers nationwide.

In the case, the justices will consider how courts should weigh an apparent conflict of interest when the same benefits administrator is authorized to both determine eligibility for benefits and pay those same benefits. The decision would pertain to ERISA-covered plans, such as health, life and disability coverage.

The case involves a benefits administrator who approved an employee for long-term disability, but terminated the benefits after two years, saying the employee had improved to the point of no longer being eligible. Meanwhile, a Social Security judge had ruled that the employee was totally disabled and entitled to Social Security disability benefits.

The employee sued, and a federal appeals court ruled in her favor, finding that the decision to terminate benefits was not the result of a principled reasoning due to the benefits administrator’s conflict of interest.

Depending on the outcome of the case, say experts, companies may find that they have to completely reorganize the way they handle benefit claims. Oral argument at the high court is set for April 23.

Obesity costs employers billions

Obese employees cost U.S. private employers an estimated $45 billion annually in medical expenses and lost productivity, according to a report from the Conference Board.

Obesity is not solely a health and wellness issue, says the Conference Board. Employers need to pay attention to their workers’ weights, for the good of the company’s fiscal health as well as for the good of the employees’ health.

Among the reports’ findings:

• Obesity is associated with a 36% increase in spending on health care services, more than smoking or problem drinking.
• More than 40% of U.S. companies have implemented obesity-reduction programs, and 24% more said they plan to do so in 2008.
• Estimates of return-on-investment (ROI) range from zero to $5 per $1 invested. ROI aside, these programs may give companies an edge in recruiting and retaining employees.
• Employers need to weigh the risks of being too intrusive in managing obese employees against the risks of not managing them.
• The jury is still out on the costs and benefits of paying for employees’ weight-loss surgeries, as some say companies are unlikely to recoup surgery costs before these employees leave for other jobs.
• How employers communicate a wellness or weight-loss program is as important as how they design it; companies should involve employees in planning health initiatives, rather than working from the top down, and should make sure personal privacy is protected.

Updated WC info packet

The Connecticut Workers’ Compensation Commission’s Information Packet has been updated and is available online.

The packet includes comprehensive “plain-English” information about Connecticut’s workers’ compensation system, its benefits and procedures, plus a number of sample forms. It carries a revision date of 4/8/08.

Telecommuting Works! Telecommuting from the Employer’s Perspective

This seminar presents the benefits of telecommuting from the employer’s perspective, including bottom-line benefits, and also focuses on human resources issues and technology considerations. Wednesday, April 30 in Stamford.

More about ‘no-match’ letters

The Department of Homeland Security (DHS) has released a supplemental proposed rule related to the agency’s controversial No Match Rule issued last August.

The August rule outlined the steps an employer should take if it receives a letter from the Social Security Administration indicating that the information the company submitted about an employee does not match the government’s records. That rule was later blocked by a federal judge, and the new supplemental rule aims to address the three issues cited by the judge for his decision.

Specifically, the judge questioned the agency’s change in position on what would constitute an employer’s “knowing violation” of immigration law. He also expressed concern that the DHS had exceeded its authority regarding anti-bias provisions in the rule and had failed to conduct a regulatory analysis as required by the Regulatory Flexibility Act.

DHS maintains that the supplemental rule adequately deals with the judge’s objections. The agency has also filed an appeal of the court’s decision and says it is pursuing the two paths simultaneously in order to resolve the situation as quickly as possible.

The public has until April 25, 2008, to comment on the supplemental rule.

• For an update on the DHS “no match” rule and other immigration issues, don’t miss CBIA’s next HR Council meeting on Tuesday, April 29 in Hartford. To register or for more information.

Onsite health clinics becoming popular

Workplace health centers providing care for employees are growing in popularity, according to a survey by the consulting firm Watson Wyatt Worldwide.

The 2007/2008 Onsite Health Center Survey found that nearly one-third of companies have or plan to have an onsite health center by 2009, up from 27% in 2006. Among companies that have already set up onsite clinics, the most common motivation was a desire to improve the productivity of their employees.

Other key survey findings about workplace health clinics:

• Preventive services such as immunizations and screenings are the most commonly available services. Many employers also offer wellness, disease management, lifestyle behavior change and coaching services.

• Nearly all employers make the onsite health center services available to employees enrolled in their health plan. Three-quarters of companies provide services to part-time employees, including those not eligible to participate in the plan.

• There are significant gaps in the integration of the onsite health center with other health and productivity programs. A number of companies cite this lack of integration as one of the top challenges in operating an onsite health center.

• Despite offering the clinics to help increase productivity, most surveyed companies do not measure their onsite health center’s return on investment.

High court turns down retiree health care case

Ending eight years of litigation, the U.S. Supreme Court has refused to review a federal appeals court ruling that upheld an employer’s right to reduce health care benefits for retirees when they become eligible at age 65 for Medicare.

The court’s action, in effect, leaves intact a rule adopted by the Equal Employment Opportunity Commission (EEOC) that permits “coordination of retiree health benefits with Medicare.” The rule allows employers to maintain a two-tier system of retiree health care benefits, with younger retirees receiving richer benefits than Medicare-eligible retirees. The American Association of Retired Persons (AARP) challenged the EEOC rule in court, claiming that lower benefits for older retirees violated the federal Age Discrimination in Employment Act.

Employer advocates and unions alike disagreed with AARP, saying the rule encourages employers to maintain health care coverage for retirees. Without a compromise rule, they said, employers might equalize retiree health care benefits by reducing benefits for younger retirees or decide to drop all benefits for their former employees.

• For an update on employment discrimination law and other legal and compliance issues, be sure to attend CBIA’s HR Conference in May.

Most employees take “mental health days”

Nearly one-third of employees say they take “mental health days” to tend to family or relationship issues.

ComPsych a provider of employee assistance programs, asked 1,036 employees at client companies: “What would most likely cause you to take a ‘mental health day’ to recover or recharge?” The responses:

• Family/relationship issues (30%)
• Work stress/workload (20 %)
• Personal issues such as legal, financial, other (15%)
• Lack of physical energy/well being (12%)
• Boredom, lack of motivation (5%)

With the growing complexities of family and personal life, it is not surprising that relationship and family issues top the list of reasons for checking out of work, says ComPsych. Whether the employee is married, a caregiver or single, relationship stress can be a major distraction at work. ComPsych says they see this every day in their work, with relationship problems consistently among the top reasons for calls to their employee assistance programs.

New rule on H-1B filings

U.S. Citizenship and Immigration Services (USCIS) has issued an interim rule that modifies the selection process for H-1B visas and prohibits employers from filing multiple H-1B petitions for the same worker. The agency says the goal of the new rule is to ensure that companies seeking H-1B visas subject to congressionally mandated numerical limits have an equal chance to employ an H-1B worker.

The H-1B visa program allows U.S. businesses to employ workers in certain occupations, such as scientists, engineers, and computer programmers, that require a minimum of a bachelor’s degree and the theoretical and practical application of highly specialized knowledge.

Under the new rule:

• USCIS will now either deny or revoke multiple petitions filed by an employer for the same H-1B worker
• USCIS will not refund filing fees for duplicative or multiple H-1B petitions
• In years when USCIS implements a random selection process for petitions, USCIS will include petitions in the random selection process that are filed during the first five business days available for filing H-1B petitions for a given year, rather than just the first two days
• If a petition incorrectly indicates that it is exempt from any of the H-1B numerical limits, the petition will be denied if no H-1B visa numbers are available; and filing fees will not be returned

The rule does not prevent related employers, such as a parent company and its subsidiary, from filing petitions on behalf of the same alien for different positions, based on legitimate business need.

Telecommuting Works! Telecommuting from the Employer’s Perspective

This seminar presents the benefits of telecommuting from the employer’s perspective, including bottom-line benefits, and also focuses on human resources issues and technology considerations. Thursday, April 17 in Gales Ferry or Wednesday, April 30 in Stamford.

High court defines ADEA “charge”

The U.S. Supreme Court has ruled that a group of former and current FedEx employees may proceed in court with their age discrimination lawsuit even though they did not first file a “formal” charge with the Equal Employment Opportunity Commission (EEOC).

In the case, a FedEx employee filed an Intake Questionnaire with the EEOC, rather than a Charge of Discrimination form, along with a six-page affidavit claiming age discrimination. The Age Discrimination in Employment Act (ADEA) requires the EEOC to provide employers with prompt notice of a charge, but the agency took no action on the questionnaire and did not notify FedEx. Several months later, the employee and some co-workers filed suit in federal court.

The ADEA requires that complainants file an EEOC “charge” — although the term is not defined — 60 days before filing a lawsuit. This gives the parties a chance to resolve the matter informally through mediation with the EEOC. The trial court ruled that the Intake Questionnaire was not a charge and dismissed the suit as untimely.

The appeals court reversed in favor of the employees, saying the questionnaire contained the information required by the EEOC interpretive regulations and therefore constituted a charge for purposes of the ADEA. The Supreme Court agreed and ruled that a filing constitutes a charge when, “taken as a whole, it can be construed as a request by the employee for the agency to take whatever action is necessary to vindicate her rights.” The Court pointed out that not every Intake Questionnaire will constitute a charge, but that this particular questionnaire, in conjunction with the affidavit, met the test.

The case has now been returned to the trial court for a decision on the merits of the discrimination claim, although the Supreme Court did indicate that the trial court might stay its proceedings to allow for the mediation process that should have taken place at the EEOC level. The ruling also urged the EEOC to revise its forms and procedures to avoid confusion in the future, a process that the agency has reportedly begun.

DOL introduces online retirement resource

The U.S. Department of Labor (DOL) has released a new online resource designed to make it easier for Americans to prepare for a financially secure future.

The agency developed a series of interactive worksheets as a companion to a 2006 publication entitled “Taking the Mystery Out of Retirement Planning.” Using the worksheets, individuals who are 10 to 15 years from retirement can calculate their income and savings as well as their projected expenses in retirement.

Although targeted to individuals approaching retirement, the worksheets and booklet are also useful for recent retirees, says DOL. The worksheets are available online at http://askebsa.dol.gov/retirementcalculator/UI/general.aspx

Free copies of the booklet are available by calling the Employee Benefits Security Administration toll-free at 866-444-3272 or online at www.dol.gov/ebsa/publications/nearretirement.html.

State seeks unpaid wages

The state attorney general’s office and the Department of Labor are taking steps to recover millions of dollars in unpaid wages and commissions for former employees of a national mortgage lending company.

The two agencies say they have filed a proof of claim in U.S. Bankruptcy Court in Delaware to recoup more than $2.6 million allegedly owed to more than 100 workers. The lending company filed for bankruptcy more than a year ago, laying off hundreds of employees in Connecticut and many more nationwide. More than 100 Connecticut employees claim they were never paid, in most cases thousands of dollars.

The attorney general’s office expects the unpaid wages and commissions to have priority among the company’s debts.

• To hear the latest on wage and hour and other labor and employment-related issues, be sure to attend CBIA’s annual HR Conference in May.

Most women work during pregnancy

A report from the U.S. Census Bureau shows that women today are more likely to work while pregnant, work longer into their pregnancies, and return to work sooner after giving birth than they did in the early 1960s.

The report compares employment and leave trends among women who were pregnant between 2001 and 2003 with data from earlier periods dating back to 1961.

Highlights from the report:

• Two-thirds of women who had their first child between 2001 and 2003 worked during their pregnancy compared with just 44% who gave birth for the first time between 1961 and 1965.

• Eighty percent of women who worked while pregnant between 2001 and 2003 worked until one month or less before their child’s birth compared with 35% who did so in 1961-1965.

• In the early 1960s, 14% of all mothers with newborns were working six months later, increasing to 17% within a year. By 2000 - 2002, the corresponding percentages had risen to 55% and 64%.

• In 2001 – 2003, 49% of first-time mothers who worked during pregnancy used paid leave before or after their child’s birth while 39% used unpaid leave. Twenty-five percent quit their jobs: 17% while they were pregnant and another 8% by 12 weeks after the child’s birth.

• Sixty percent of mothers with a bachelor’s degree or more received paid leave benefits compared with 39% of mothers with a high school diploma and 22% of those with less than a high school education.

EEOC guidance on vets with
service-connected disabilities

The EEOC has issued two question-and-answer (Q&A) guides providing technical assistance for employers and veterans on workplace issues affecting veterans with service-connected disabilities.

The new guide for employers explains how protections for veterans with service-connected disabilities differ under the Americans with Disabilities Act (ADA) and the Uniformed Services Employment and Reemployment Rights Act (USERRA). The document further describes how the ADA in particular applies to recruiting, hiring, and accommodating veterans with service-connected disabilities.

The other new publication answers questions that veterans with service-connected disabilities may have about the protections they are entitled to when they seek to return to their former jobs or look to find their first, or new, civilian jobs. The document also explains changes or adjustments that veterans may need, because of their injuries, to apply for, or perform, a job, or to enjoy equal access to the workplace.

Each guide also includes a list of resources on where to find more information on USERRA and the ADA; public and private organizations that can assist employers who want to recruit and hire veterans or can help veterans who are seeking employment; and organizations and agencies that can help identify specific reasonable accommodations for veterans with service-related disabilities.

HR managers and gens X, Y, Z

Mark your calendar for Tuesday, March 25, 2008 – Generational Issues: What the HR manager needs to know about Mr. Gen X, Ms. Gen Y and Baby Z. This CBIA-member program will take place from 8:30 10:00 a.m. (registration at 8 a.m.) at CBIA offices in Hartford.

Strategically addressing the staffing and retention needs of their company’s workforce is a key responsibility of the HR manager. Understanding the motivators or drivers of the different generation of workers is key to achieving this goal. This session will provide an understanding of the differences among Gen X, Y and Z and how best to incorporate these difference into your staffing needs.
Presenter: Melanie Sinche, career counselor, Center for Professional Development, University of Hartford

To register contact Lise Cliche at 860-244-1900 or registrar@vbia.com.

OPEN TO CBIA MEMBERS ONLY: Cost is just $15.

DOL proposes FMLA changes

 Long-awaited revisions to the federal Family and Medical Leave Act (FMLA) have been proposed by the U.S. Department of Labor (DOL), with members of the public invited to consider and comment on the changes by April 11, 2008.

The proposal addresses several key areas of the FMLA, including:

• Employer and employee notice requirements
• The definition of “continuing treatment”
• Substitution of paid time
• Intermittent leave
• Fitness for-duty certification and recertification.

In a major victory for employers, the proposal allows an employer to contact an employee’s health care provider directly without permission from the employee. The DOL has also completely revamped the WH-380 medical certification form, which had been a source of dissatisfaction among employers.

A section of the proposal also identifies several issues related to the recently enacted legislation that provides for expanded military FMLA leave and invites public comment.

Bored workers more damaging

Bored employees have a greater negative effect on an organization than employees who say they are overworked, according to Sirota Survey Intelligence, specialists in attitude research.

In a survey of more than 1 million employees, Sirota found that bored employees (those reporting “too little work”) are often doing work for which they are ill-suited or have jobs that are poorly designed. As a result, they are less satisfied with their jobs, finding them less challenging and poorer matches for their skills. Bored employees are also less proud of their employers, less innovative, and feel less valued compared with all other workers.

The survey also found that:

• Feeling overworked is more prevalent (22% of workers) than feeling bored (14%).
• Employees’ perceptions of having too much work spike during their second through fifth years with an employer, with 27% of employees with those years of experience saying they are overworked.

Sirota cautions that the complaints of both overworked and bored employees should be taken seriously. Complaints about being overworked can be an indication of poor work quality or work processes. It can also be difficult in certain circumstances to retain employees who feel they are overworked. But bored employees pose more serious consequences for a business, says Sirota, lowering morale and productivity, and draining resources.

• Do your employees trust you? If they don’t, it’s likely affecting your business. Find out with CBIA’s Employee Opinion Survey.

Change in travel documents

The U.S. Department of Homeland Security is reminding the traveling public that U.S. and Canadian citizens are no longer permitted to enter the U.S. on the basis of an oral declaration of citizenship. Instead, travelers will be asked to prove their identity and citizenship by presenting documentation from a specified list of documents.

U.S. and Canadian citizen children ages 18 and under will need a birth certificate.

Travelers unable to produce appropriate documentation may be delayed as U.S. Customs and Border Protection officers attempt to verify identity and citizenship. The change took effect on Jan. 31.

EEOC’s anti-bias video spots

The Equal Employment Opportunity Commission (EEOC) has partnered with jazz great Wynton Marsalis to produce two public service announcements (PSAs) about workplace discrimination.

The two 30-second PSAs featuring Marsalis focus on the value of diversity in the workplace and the dangers of discrimination. The PSAs were produced in cooperation with Jazz at Lincoln Center and shot at their New York facility. The EEOC plans an aggressive push to air the PSAs, which are closed captioned for the hearing-impaired, on television and cable stations, on Web sites and on radio.

Racism continues to be the most frequent claim filed with the EEOC. The announcements should help heighten awareness of race and color discrimination as the agency advances its national initiative to bring a fresh approach to combating racism. Says the agency, the participation of Wynton Marsalis ensures that a broad audience will be apprised of our message.

NY finds misclassified workers

 The New York Department of Labor says a task force has found more than 2,000 workers misclassified as independent contractors, a situation that has been costing the state millions of dollars in lost revenue.

In its first four months, the Joint Enforcement Task Force on Worker Misclassification conducted 15 enforcement sweeps primarily targeting construction and restaurant worksites. These efforts revealed more than $19 million in unreported wages, another $3 million in underpayments owed to workers, and $1.2 million owed to the state Unemployment Insurance Trust fund. Asbestos, recordkeeping, and child labor violations were also uncovered.

The task force was created in September 2007 and is charged with reporting on its findings each February. Its first report recommends establishing a statewide standard for determining whether an individual is an employee or independent contractor.

EBSA guidance on wellness program rules

The U.S. Department of Labor’s Employee Benefits Security Administration (EBSA) has released a field assistance bulletin (FAB) that provides guidance to the agency’s national and regional offices about the department’s final wellness program rules.

In December 2006, the department issued final regulations relating to the wellness provisions of the Health Insurance Portability and Accountability Act (HIPAA). Since then, the department has received numerous questions about what types of health promotion or disease prevention programs must comply with those regulations and how a group health plan determines whether such a program is in compliance.

FAB 2008-02 provides further guidance in the form of a checklist. The checklist includes examples and tips on the applicability of the wellness program rules and, if the rules apply, five compliance criteria for determining whether a particular program complies.

FABs are part of the department’s ongoing compliance assistance program to help employers, plan officials and service providers, and others comply with ERISA. They are available on the Internet at www.dol.gov/ebsa.

How to build a 21st century skilled workforce

As an HR professional, it's imperative for you to be aware of the latest workforce development programs and practices, as well as significant challenges Connecticut educators face in producing skilled, educated workers that companies like yours need to thrive and survive.

To help equip you, CBIA, The United Illuminating Co., Capital Workforce Partners and The College of Technology Regional Center for Next Generation Manufacturing are presenting two conferences on the subject of Connecticut’s Challenge: Building a 21st-Century Skilled Workforce:

• Wednesday, Feb. 27 at the Crowne Plaza Hotel in Cromwell
• Thursday, March 6 at the Holiday Inn in Stamford

(For both conferences, 7:45 a.m. — Registration; and 8:15 a.m. – noon — Program)

This conference is worth 3.0 Strategic recertification credit hours toward PHR and SPHR recertification through the Human Resources Certification Institute (HRCI).

You'll see and hear the findings from CBIA’s latest survey on the availability of skilled workers in Connecticut, and examine challenges facing employers whose growth depends on a highly skilled workforce. Panels will focus on promising practices to close the educational achievement gap, reverse the trend known as “brain drain” and tap into nontraditional employment pools.

Special speakers:

• Feb. 27 -- Mark McQuillan, commissioner, State Department of Education and Patricia Mayfield, Commissioner, Department of Labor.
• March 6 -- Rae Rosen, assistant vice president and economist, Regional Affairs, Federal Reserve Bank of New York

Click here for more information or to register.

New military FMLA law

President Bush has signed a bill that amends the Family and Medical Leave Act (FMLA) to provide additional leave to families of service members, effective immediately.

The amendments are part of the National Defense Authorization Act of Fiscal Year 2008 (H.R 4986). The new provisions guarantee up to six months of leave for family members caring for military veterans injured while on active duty and up to 12 weeks of leave for family members of service members called up to active duty under certain circumstances.

The president had previously vetoed a similar bill (H.R.1585), but for reasons unrelated to the FMLA amendments. Seven states ( California, Illinois, Indiana, Maine, Minnesota, Nebraska, and New York) have passed state family military leave laws granting limited unpaid leave to the family members of service members.

Proposal on section 529 tuition programs

The Internal Revenue Service (IRS) has issued proposed rules to address the potential for abuse in Qualified Tuition Programs (QTP) under section 529 of the IRS Code. Comments from the public must be submitted by March 18.

The proposed rules provide a general anti-abuse rule that will apply when section 529 accounts are established or used for purposes of avoiding or evading transfer tax or for other purposes inconsistent with section 529 and the generally applicable income and transfer tax provisions of the code. The notice of proposed rulemaking also will include rules relating to the function and operation of QTPs and section 529 accounts.

Written comments should be sent to: Internal Revenue Service, Attn: CC:PA:LPD:PR (REG-127127-05), room 5203, POB 7604 Ben Franklin Station, Washington, DC 20044. Comments may also be sent electronically via the Federal eRulemaking Portal at www.regulations.gov (IRS-REG-127127-05).

Survey: Fewer workers would date co-worker

Thirty six percent of workers would consider dating a co-worker if they were single, down from 42% in 2005 and 39% in 2006 and 2007, according to a survey by the staffing firm Spherion. Female workers were less likely to consider dating co-workers, with only 28% saying they would, compared with 43% of men.

However, the fear that a workplace romance could jeopardize one’s career appears to be eroding alongside interest in doing so. Thirty percent of workers feel that openly dating a co-worker would jeopardize their job security or advancement opportunities, down from 41% in 2007. Of the 39% of workers who reported actually having had a workplace romance, 39% say it was conducted in the open.

An increasing number of employers have begun to acknowledge the potential for and existence of workplace dating and have put measures in place to properly manage these relationships, says Spherion. This includes training workers, and providing guidelines and written policies. As a result, workers view on-the-job dating as less damaging to their job security or career advancement as long as they follow the guidelines.

Among workers who have had a workplace romance, 17% say they dated for several years and 22% of the romances resulted in marriage.

Signing bonuses for college grads

Competition for new college graduate hires remains robust, and many employers expect to use signing bonuses to sweeten the deal, according to results of the Job Outlook 2008 survey by the National Association of Colleges and Employers (NACE).

Nearly 54% of the employers responding to the annual survey said they will offer signing bonuses to potential hires, a sizeable increase over the 47% who reported that they expected to offer bonuses in 2007.

Moreover, NACE studies suggest that employers tend to underestimate their need to use signing bonuses. Last year approximately 47% of employers said they planned to offer signing bonuses and ultimately, more than 54% used them. Similarly, in NACE’s 2006 survey, 44% of employers expected to offer bonuses and 47% ended up doing so.

If that pattern holds, says NACE, more than 60% of employers could use signing bonuses to attract and hire 2008 graduates.

The survey also showed that the size of the average bonus has increased, underscoring the level of competition employers are facing. Among respondents who plan to offer a bonus to all entry-level college hires, the average signing bonus is $4,450, a 25% increase over last year’s average of $3,568.
However, two-thirds of those using bonuses expect to offer them only to selected candidates, and the average bonus offers vary according to a number of factors, including the candidate’s academic degree and degree level.

Time to post injury summary

The Occupational Safety and Health Administration (OSHA) is reminding employers about the requirement to post the OSHA 300A summary of the total number of work-related injuries and illnesses that occurred last year. Only the 300A summary — not the OSHA 300 log — must be posted from Feb. 1 to April 30.

The form should be posted in a common area where other employee notices are usually displayed. A copy of the summary must also be made available to workers who move from worksite to worksite or who do not report to any fixed worksite on a regular basis.

The summary must include the total number of job-related injuries and illnesses that occurred in 2007 and were logged on the OSHA 300. To help calculate incidence rates, information about the annual average number of employees and total hours worked during the calendar year is also required. If a company recorded no injuries or illnesses in 2007, the employer must enter “zero” on the total line. The form must be signed and certified by a company executive.

Employers with 10 or fewer employees and employers in the retail, services, financial, insurance and real estate industries are normally exempt from OSHA recordkeeping and posting requirements. A complete list of exempt industries
can be found on OSHA’s Web site.

CBIA's On-site Training

Did you know that for five or more employees, CBIA can save you time and money by conducting on-site training at your facility or in combination with another company that has similar human resources training needs?

CBIA can tailor a training session for the size, makeup and needs of your supervisory or management staff. Because you pay a flat fee for each session, the more employees who attend, the more economical the cost per person. Fees vary based on the length and number of sessions requested.

The right training can keep your company out of trouble, minimize the number and severity of disputes, boost employee morale, and increase productivity. Our expertise covers a variety of key employment compliance issues.

Training topics include:

• Sexual Harassment Prevention
• Basic Employment Law Principles
• Drug and Alcohol Abuse Prevention and Intervention
• Ethics
• Family and Medical Leave

If you have fewer than five supervisors or managers who need training, consider the value of including nonsupervisory staff in training sessions. We have developed effective, shortened formats for mixed groups of employees.

For more information, contact Mark Soycher at 860-244-1138 or soycherm@cbia.com

What to Do About Personnel Problems in Connecticut

For the first time, CBIA is partnering with Connecticut Human Resource Reports LLC to offer members one of the most comprehensive sources on HR issues in Connecticut.

What to Do About Personnel Problems in Connecticut is a popular guide to employment law and HR practices that delivers clear, straightforward guidance for handling the Connecticut labor and employment laws that apply to your organization. The guide gives you Connecticut specific answers to all your questions and also tells you how our state law differs from the federal.  It’s a single resource that offers guidance in hundreds of key areas and is guaranteed to make your job easier.

Updated regularly, the guide offers information on relevant topics such as:

• Overtime pay
• FMLA leave
• Discipline and discharge
• Record keeping
• Safety and health
• Workers’ compensation

What to Do About Personnel Problems in Connecticut is available to CBIA members for only $350. That’s a $50 savings off the regular price. For more information or to order, contact Lise Cliche at 860-244-1977 or e-mail her at clichel@cbia.com.

$6.2M settlement in union bias case

A federal court has approved a $6.2 million partial settlement for black and Hispanic sheet metal workers who accused their union of discrimination.

The Equal Employment Opportunity Commission (EEOC) had sued Local 28 of the Sheet Metal Workers’ International Association in New York City for underpaying the workers for many years because of their race and national origin. The settlement will compensate minority workers for lost wages for the years 1984 to 1991, while litigation continues on behalf of workers claiming discrimination after 1991.

The parties have also agreed to significant changes in the union’s job referral program as well as monitoring systems aimed at equalizing union members’ access to job opportunities. The EEOC called the partial settlement “historic.”

Governor seeking business community's
input on CHRO

CBIA is participating on an advisory board appointed by Gov. Rell to review and possibly restructure the state’s Commission on Human Rights and Opportunities (CHRO).

The governor formed the panel because of widespread concerns about the agency’s backlog of complaints and high caseload volume for its investigators. CHRO is responsible for enforcing discrimination laws in Connecticut, with a budget of $8 million and staff of 103 full-time employees.

Made up of a diverse group of stakeholders with interest and dealings with CHRO and affirmative action in state agencies, the advisory board is seeking input from the business community about CHRO and its handling of employment discrimination claims

To comment, or for more information, contact Kia Murrell, CBIA’s representative to the advisory board, at 860-244-1931, or murrellk@cbia.com.

FMLA reporting form due 4/1

Employers subject to the state Family and Medical Leave Act (FMLA) are asked to complete the Labor Dept’s Annual Family and Medical Leave Experience Report and transmit it online by April 4, 2008.

The form asks for information about the types and total weeks of FMLA leave taken by a company’s employees during calendar year 2007. It should be completed by any employer that had 75 or more employees in Connecticut during the payroll week that included Oct. 1, 2006.

Leaves that need not be reported:

• Any family and medical leave lasting less than five days
• Portions of leave exceeding 16 weeks

Leaves that should be reported:

• All other FMLA time taken for the birth or adoption of a child or the serious illness of the employee or employee’s family member. Covered employers that had no reportable leaves must still complete the form and provide that information.

Ads highlight importance of HR

The Society for Human Resource Management (SHRM) has launched a national communications campaign designed to highlight the growing business need for talented HR professionals.

The first installment is a 30-second TV spot called “Most Important Asset,” which is airing on CNN during the network’s election coverage and on select Fox business programming. The new ad underscores the fact that “people policies” — and the HR professionals who drive them — are more critical to business success than ever before. A print version will appear in business publications.

In today’s knowledge-based economy, people are the most important asset, says SHRM. It’s the job of the HR professional to manage what is now mission-critical — recruitment, training, and retention policies — to keep their organizations competitive in the global marketplace.

Report to feds: Hire more workers with disabilities

The federal government falls far short of being the “employer of choice” for individuals with serious disabilities, according to a report by the EEOC.

The report shows the percentage of federal employees with “targeted” disabilities has declined each year since reaching a peak of 1.24% in fiscal year 1994, despite initiatives from numerous administrations. In FY 2006, the participation rate of individuals with disabilities declined to 0.94% of the federal government’s total workforce, the lowest rate in more than 20 years. Targeted disabilities include deafness, blindness, missing extremities, partial or complete paralysis, convulsive disorders, mental retardation, mental illness, and distortion of the limb and/or spine.

The EEOC says the report offers practical solutions that federal agencies can implement immediately to improve their recruiting, hiring and advancement of people with severe disabilities. Among the recommendations:

• Establish hiring goals for persons with targeted disabilities
• Implement mandatory training for all management officials
• Develop procedures to ensure management accountability as well as verification that goals are met
• Include a diversity element in senior leaders’ performance appraisal

The report also highlights measures taken by agencies that have successfully embraced the issue, as well as policies and practices that may serve as barriers for individuals with disabilities.

Parental perks at work

A survey by the staffing firm OfficeTeam finds that 62% of companies have made policy changes in the past five years to better accommodate working parents.

The survey was based on telephone interviews with 150 randomly selected senior executives from among the nation’s 1,000 largest companies.

Programs that support work-life balance are attractive to employees, especially members of the “sandwich generation,” says OfficeTeam. For smaller companies that may not have as much flexibility in adjusting salaries as larger organizations, offering these types of benefits can level the playing field.

OfficeTeam also noted that working parents aren’t the only ones who benefit from perks such as telecommuting, flextime, extended family leave, and elder care. Many employees are juggling multiple priorities and appreciate these types of programs, says the staffing firm. Companies should actively promote these offerings to all prospective hires, both in job postings and during the employment interview.

New rule on coordinating retiree health care

The Equal Employment Opportunity Commission (EEOC) has issued a final rule that allows employers to coordinate retiree health benefits with Medicare without running afoul of the Age Discrimination in Employment Act (ADEA).

The EEOC proposed the rule in response to a decision in 2000 by a federal appeals court in Erie County Retirees Association v. County of Erie. In the case, the court ruled that the ADEA requires health insurance benefits received by Medicare eligible retirees to be the same, or cost the employer the same, as the health benefits received by younger retirees.

After the decision, labor and business groups told the EEOC that complying with Eric County would force companies to reduce or eliminate the retiree benefits they were providing.

According to the EEOC, employers who provide retiree health benefits generally “coordinate” those benefits with Medicare by supplementing the government health care or by offering a “bridge” benefit to retirees not yet Medicare-eligible. Until the 2000 court interpretation, employers believed the ADEA permitted them to coordinate with Medicare any retiree health benefits they provided without having to ensure that the benefits received by Medicare-eligible retirees were the same as those received by younger retirees.

The new regulation exempts this common employer practice from ADEA coverage.

• Q & A about the EEOC’s retiree health rule

DOL’s record wage recovery

The U.S. Department of Labor’s Wage and Hour Division (WHD) recouped more than $220,000,000 in back wages for workers in fiscal year 2007, the highest amount ever.

The recovered wages will go to 341,624 workers, the second largest number since 1993. Since FY 2000, WHD has recouped more than $1.25 billion for nearly two million workers.

The agency says it has placed a major focus on bringing very large employers into compliance. Numerous employers have made multi-million dollar payments, in two instances to more than 20,000 workers. Earlier this year, WHD obtained the largest private sector settlement in the agency’s history.

Ford, union to pay $1.6M in race bias case

Ford Motor Co., along with two related companies and a national union, will pay $1.6 million to a class of 700 African Americans to settle a lawsuit brought by the Equal Employment Opportunity Commission (EEOC).

The EEOC had charged that a written test used by Ford, Visteon and Automotive Components Holdings (ACH) to determine the eligibility of hourly employees for a skilled trades apprenticeship program had a disproportionately negative impact on African Americans. The National United Automobile, Aerospace and Agricultural Implement Workers of America (UAW) was also a defendant in the case because the test was used to select apprentices for the Ford-UAW Apprenticeship Program and the lawsuit settlement affects people covered by the union agreement.

The class members include individuals nationwide who have taken the test since Jan. 1, 1997, and were not placed on the Ford apprentice list. In addition to the monetary relief, the defendants have agreed to place 55 African American test-takers on the apprentice lists. They also will have a jointly selected expert develop a new selection method for the apprenticeship program, and will comply with detailed reporting and monitoring requirements.

The EEOC recently issued an Employment Testing Fact Sheet that cites the Ford case. The fact sheet does not break new ground, but reminds employers to use care when deciding what tests to use and how to score them.

More regs on Pension Protection Act

The Treasury Department and the Internal Revenue Service (IRS) have issued proposed regulations that provide guidance to employers sponsoring single-employer defined benefit plans regarding the measurement of pension assets and liabilities under the new funding rules enacted as part of the Pension Protection Act of 2006.

These new regulations — together with proposed regulations related to mortality issued in May, and those relating to funding balances and funding-based benefit limitations issued in August; yield curve guidance issued in October; and guidance on lump-sum determinations issued in November — will help plan sponsors determine the contribution requirements that apply to their defined benefit plans for the first year that the new funding rules apply.

Although the new funding rules are generally effective for plan years beginning on or after Jan. 1, 2008, these regulations are proposed to be effective for plan years beginning on or after Jan. 1, 2009. However, plan sponsors can rely on these proposed regulations for purposes of satisfying the requirements of section 403 for plan years beginning in 2008.

President vetoes FMLA amendment

 President Bush has vetoed a bill that would have expanded the Family and Medical Leave Act (FMLA) to provide additional leave to families of service members.

The FMLA amendments were part of the 2008 National Defense Authorization Act (H.R. 1585), which Congress approved overwhelmingly. The provisions would have guaranteed up to six months of leave for family members caring for military veterans injured while on active duty and up to 12 weeks of leave for family members of service members called up to active duty under certain circumstances.

Seven states ( California, Illinois, Indiana, Maine, Minnesota, Nebraska, and New York) have passed state family military leave laws granting limited unpaid leave to the family members of service members.

© 2003 Connecticut Business & Industry Association (CBIA). All rights reserved.

The articles, forms and other materials available through this Web site are for informational purposes only. They are not intended as legal advice or as a solution to an individual problem. You are encouraged to consult with appropriate legal counsel prior to relying on the materials in whole or in part.