HR News ArchiveGas prices changing business practicesThe Hartford Courant reports Job ads: Watch that languageIn 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-VerifyUnder 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 MBAsFor 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 retireBaby 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:
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 changesThe 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 2009The 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:
New amounts for out-of-pocket spending on HSA-compatible HDHPs:
Minimum deductible amounts for HSA-compatible HDHPs:
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 casesIn 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 downStaffing 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.
2008 college class largest in state’s historyConnecticut’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 300Looking 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 issueA 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 menA 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.
Job seekers need a little help from their friendsInternet 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 groundEmployers 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 fillIn an annual survey by Manpower, Inc., U.S. employers identified the following 10 jobs as the hardest to fill for 2008:
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.
New drug-free workplace kitThe 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 hiresTwenty-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 workforceA 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 reachedThe 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 officeWhile 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 trainsNearly 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 caseThe 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 billionsObese 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:
Updated WC info packetThe 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 PerspectiveThis 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’ lettersThe 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.
Onsite health clinics becoming popularWorkplace 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:
High court turns down retiree health care caseEnding 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.
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:
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 filingsU.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:
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 PerspectiveThis 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.
Poster insert for military FMLAThe U.S. Department of Labor (DOL) has issued a notice that describes employees’ rights under the new military amendments to the federal Family and Medical Leave Act (FMLA). Employers should print the notice from the DOL’s Web site and post it in the workplace until the agency revises its official FMLA poster to include the military amendments. The military amendments permit a spouse, son, daughter, parent, or next of kin to take up to 26 work weeks of leave to care for a member of the Armed Forces, including a member of the National Guard or Reserves, who is undergoing medical treatment, recuperation, or therapy, is otherwise in outpatient status, or is otherwise on the temporary disability retired list, for a serious injury or illness. This provision took effect on Jan. 28, 2008. The amendments also let eligible employees take up to 12 weeks of FMLA leave for “any qualifying exigency” arising out of the fact that the spouse, or a son, daughter, or parent of the employee is on active duty or has been notified of an impending call or order to active duty in the Armed Forces in support of a contingency operation. This provision is not effective until the Secretary of Labor issues final regulations defining “any qualifying exigency.” In the interim, DOL encourages employers to provide this type of leave to qualifying employees. Gen Y’s top concern: Financial securityTopping the career-concern list of Generation Y workers is their compensation and benefits, according to a survey by Robert Half International and Yahoo!HotJobs. The survey examined the professional priorities of 1,000 of the most senior members of Generation Y, also known as the “Millennials” (aged 21-28). Asked to name their No. 1 career concern for the future, 33% named salary and health care/retirement benefits, 26% named job stability, and 23% said career satisfaction. Gen Y workers want the best health care and retirement benefits employers can provide as well as defined career paths, says Robert Half. To recruit these professionals, firms should make these programs easy to understand, promote them in detail on the company’s Web site and highlight them during the interview process.
Record enforcement numbers for OFCCP
In Fiscal Year 2007, the Office of Federal Contract Compliance Programs (OFCCP) recovered a record $51,680,950 in back pay and annualized salary and benefits for a record 22,251 workers who had been subjected to unlawful employment discrimination. Of that record enforcement result, 98% was collected in cases of systemic discrimination — those involving a widespread discriminatory practice or policy that affects a significant number of workers. About 35% of the recoveries came from cases referred to the Office of the Solicitor for enforcement litigation. The nearly $52 million reflects a 78% increase over financial remedies obtained in FY 2001. This marks the third year that OFCCP has posted record enforcement numbers.
Sales survey: 4% raises expectedA survey from The Alexander Group shows 4% as the median increase in total target cash compensation planned for sales personnel in 2008. According to the 2008 Sales Compensation Trends Survey of 165 companies, the year is shaping up to be “steady as we go,” with moderate revenue growth to go along with the moderate pay increase. Other highlights from the survey findings:
The annual survey covers sales compensation budgets, staffing changes, program changes, quotas, equity plans, car allowances and more.
Drop in meth use among workersThe percentage of positive tests for methamphetamine among job applicants and workers in the general U.S. workforce dropped more than 22% between 2006 and 2007, says a report from Quest Diagnostics, a provider of employment-related drug testing services. The Quest data also show that positive tests for cocaine in the general U.S. workforce were down 19 percent between 2006 and 2007 and that overall drug use, among workers subject to drug testing, remains at an all-time low. While positive methamphetamine tests have decreased, the use of amphetamine in the general workforce has increased slightly, by about 5%. Methamphetamine and amphetamine are both types of stimulants typically used to increase alertness and relieve fatigue. Stimulants are also used for euphoric effects or to counteract the "down" feeling of tranquilizers or alcohol. Possible side effects of stimulants include increased heart and respiratory rates, elevated blood pressure, dilated pupils and decreased appetite. High doses may cause rapid or irregular heartbeat, loss of coordination or collapse. Indications of possible misuse may include excessive activity, talkativeness, irritability, argumentativeness or nervousness. The fact that the data show an increase in amphetamines suggests that some workers might be replacing one stimulant drug for another in the larger drug class of amphetamines, says Quest. The report is based on results from 8.4 million pre-employment, random, or for-cause workplace drug tests performed by Quest Diagnostics between January and December 2007.
Discrimination complaints upThe Equal Employment Opportunity Commission (EEOC) received a total of 82,792 private-sector discrimination charge filings last fiscal year, the highest volume of incoming charges since 2002 and the largest annual increase (9%) since the early 1990s. Allegations of discrimination based on race, retaliation, and sex were the most frequently filed charges, continuing a long-term trend. Nearly all major charge categories showed double-digit percentage increases from the prior year —a rare occurrence. The jump in charge filings may be due to a combination of factors, says the EEOC, including greater awareness of the law, changing economic conditions, and increased diversity and demographic shifts in the labor force. For the first time, retaliation was the second highest charge category (behind race), surpassing sex-based charges in total filings with EEOC offices nationwide. Historically, race has been the most frequently filed charge since the EEOC became operational in 1965. During FY 2007, pregnancy charges surged to a record high level of 5,587, up 14% from the prior fiscal year’s record of 4,901. Sexual harassment filings increased for the first time since FY 2000, numbering 12,510 —up 4% from the prior fiscal year’s total of 12,025. A record 16% of sexual harassment charges were filed by men, up from 9% in the early 1990s. The EEOC’s year-end enforcement data also show the agency recovered $345 million in monetary relief for job bias victims, up 26% from the prior year’s total of $274 million
Reminder: FMLA report due 4/1Companies that employed 75 or more employees during the payroll week that included Oct. 1, 2006, need to file their Annual Family and Medical Leave Experience Report before April 1. The form should be completed online at the Department of Labor’s Web site and transmitted back to the agency. Employers are required to report leaves of absence: for the birth or adoption of a child, to care for a seriously ill family member, or for the employee’s own serious illness. Leaves lasting fewer than five days or portions of leave exceeding sixteen weeks need not be reported.
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 resourceThe 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 wagesThe 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.
Most women work during pregnancyA 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:
EEOC guidance on vets with
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