Our Human Resources Blog

I blogged about “workplace violence” earlier this year, but given the recent tragedy at the Hartford Brewery in Connecticut -where 9 workers were killed by a disgruntled employee-  I think its worth looking at  the topic again...

Unfortunately, it is extremely difficult for employers to predict and avoid violence in the workplace.  However, employers can proactively approach this issue through education, training, and consistent workplace practices.

Many employers feel as if they are exempt from violence occurring in their companies, especially, smaller, entrepreneurial or family owned businesses.  Many smaller companies pride themselves in fostering a close and personal work environment.  However, this can be a mix for disaster, if the appropriate steps to mitigate retaliation aren’t taken.

Companies should train their employees and managers on how to recognize potentially violent employees and dangerous employee situations (i.e. an abusive relationship).  Written policies should be put in place to educate employees on how to handle threats of violence, or what to do in a life threatening situations.  Companies should also follow consistent workplace practices and general rules for progressive discipline, which can help eliminate hostile situations upon termination. 

Below are some tips to help reduce the risk of violence occurring in the workplace:

• Always try to terminate an individual in the earlier part of the week.  This gives them time to file for unemployment, look for another job, or take care of finances.
• Make sure that you have all of their information ready for termination (i.e. COBRA paperwork, unemployment information, last paycheck)
• Try to use progressive discipline, as much as possible, in order to give them time to improve on poor performance. (Employee's who are not notified of their deficiencies may assume they are complying with company policies. To suddenly be terminated without warning, can provoke anger towards the company or other individuals within the company.)
• If you do need to let an employee go immediately for gross misconduct, be aware of their behavior as they leave.  Have they expressed  signs of violence or verbally made threats to the company or co-workers in the past?  These could be potential signs of an individual who might act violently. 
• Make sure to notify all necessary staff that the individual is no longer employed and is not to be let onto the property.  If need be, request security from a private firm or local police force, if you feel that a termination might become violent.

Gary Ross, a veteran and resident of California, has suffered from chronic back pain for over 20 years as a result of injuries he sustained during military service. As traditional treatments and medications were unsuccessful in controlling his pain, his physician in accordance with CA law, prescribed marijuana as medical treatment.

In 2001, Ross was offered a position with a company as a lead systems administrator. Company policy mandated that he take a pre-employment drug test. He tested positive for marijuana. Before taking the test, Ross provided the company and the clinic with a copy of his physician’s recommendation. He was terminated from his position.

To date 14 states, plus the District of Columbia have legalized medical marijuana. Two additional states, Maryland and Arizona, have passed laws that are favorable towards medical marijuana use. At the federal level, marijuana use remains illegal.

As more and more states make it legal for people/employees to use marijuana for medical purposes, employers are faced with how to address this issue in the workplace. How do employers continue to enforce drug-free workplace policies and still comply with federal and state laws?

In general, the courts have ruled in favor of employers who enforce drug free workplace policies. An employer’s right to prevent medical marijuana users from using drugs in the workplace, to terminate them for being under the influence at work and to terminate them for testing positive has been upheld.  However, even though the courts have supported employers in the past, given the number of states who are adopting medical marijuana laws- this trend may not continue.

So What Should Employers Do?

First employers should carefully review their drug & HR policies to ensure they include provisions addressing medical marijuana use. Second, employers should make certain their policy complies with state and federal laws. Third, employers need to educate their managers and supervisors about their policies and make certain they know how to respond to medical marijuana issues in a professional and consistent manner. 

Good news- the number of employees that resigned from their jobs in the past 3 months was greater than the number laid off. After 15 straight months in which layoffs exceeded voluntary departures, this is definitely a sign of better economic times.

As the economy rebounds and job opportunities increases employees who were once focused on solely keeping their jobs are beginning to explore their options. During the recession, employees were hesitant to resign from their positions not only because jobs were scarce, but also because some feared accepting a new position would leave them vulnerable to a layoff.

With the economy strengthening and employees more confident to make a job move, companies are looking for answers on how to retain and engage their employees? In a recent survey, 65% of employers responded that they are considering using compensation incentives to limit “employee flight”- merit increases, performance based bonuses, market/equity adjustments and lump sum payments. Other businesses are considering benefit increases.(46%)

As the competition begins to intensify for qualified talent, it’s important for employers to take a comprehensive look at employee incentives and benefits. Other retention strategies to consider include:

• Flexible work schedules
• Tuition reimbursement
• Competitive vacation and holiday benefits
• Employee morale programs- parties/events/non cash awards
• Career development programs
• Opportunities for growth
•  Implementing greater employee/management communications

Companies that recognize the importance of retaining valued employees understand that it is critical to the long term health and success of their business.

Last week the Department of Labor (DOL) announced it's Regulatory Analysis for Spring 2010. As always, the agenda includes plans to revise a number of regulations. It also includes a proposal that would require employers to prepare and adopt written plans that would explain how their business will comply with wage, safety and equal employment laws.

The proposal is, in part, a response to the DOL's inability to handle enforcement of the Fair Labor Standards Act (FLSA). The hope is that with the adoption of these compliance plans, the responsibility will be shifted away from DOL to the employers- so that the employers can find and fix problems on their own? (Not sure why DOL recently hired 250 new investigators. )

The new approach will require employers to prepare detailed records on every worker's status under the FLSA and document how that person is paid. In addition, it would require documentation of key employment decisions, such as why an employer has determined that an employee is exempt from overtime or why a worker is classified as an independent contractor. The documentation would be required to be provided to both the worker and the DOL- upon request.

The exact requirements are still being worked out and the proposal still has to go through a formal notice process. (Typically the rule making process can take up to a year.)

So even though there is some time, if businesses weren't taking wage and hour laws seriously before-- they may want to strongly consider it now.  If the proposal goes forward as expected, employers can get ready for a ton of additional paperwork that will essentially add another layer of record keeping for every employee in the US.

   

What's the first thing most people do when they sit down at their desks in the morning?  Most would answer- "check my emails".  How many times a day do you think the average employee checks their emails?  5? 10? 20 times a day?

Based on research done by RescueTime, a firm that develops time management software, a typical office employee checks emails 50 times a day and uses instant messaging 70 times a day. In addition to the email interruptions, employees are constantly distracted by buzzing BlackBerrys, ringing cell phones and incessant email alerts. With regular interruptions it's virtually impossible for employees to stay focused. Technology interruptions not only sidetrack workers from their jobs, they also undermine their attention spans and increase their stress. 

The average desk worker loses 2.1 hours of productivity everyday due to interruptions and distractions. Email volume is said to be growing at a rate of 66% a year. The interruption epidemic is reaching crisis proportions for some businesses. Experts estimate that email overload alone can cost large companies up to $1 billion a year in lost productivity.

So what can organizations do to help manage the constant interruptions and give employees the much needed time to concentrate and focus their attentions?  Here are a few suggestions:

• Set specific times to check emails. (3- 4 times a day at designated hours)
• Have employees turn off email notification sounds.
• Implement "quiet times" when message or phone contact is not allowed.
• Promote less email use and encourage more face to face contact. (Communicating by phone or face to face saves time and builds relationships.)
• Have employees respond immediately only to urgent issues.
• Put "no reply necessary" in subject line when you can and resist replying to emails with "Got it" or "Thank you".
• Have employees use automated out of office messages to create focused work times. "I'm on a deadline with a project- will be back on-line at 1pm"

While these suggestions won't work for all departments in an organization, such as customer service, I am willing to bet by implementing a few of these suggestions - employees will get a lot more done, be more in control of their calendars and feel much less stress. 

 

Identifying companies who misclassify employees has been a main focus for many state and local government agencies the last few years.  This year the Department of Labor has made it a top priority at the federal level as well. 

According to the Department of Labor (DOL), when employees are misclassified as "independent contractors" they are ineligible for benefits and protections in which they are legally entitled. Independent contractors by definition are self employed and are not covered by employment, labor and various tax withholding laws. Some employers classify workers as independent contractors to help cut costs-- costs that include taxes, payment of overtime & benefits and workers compensation liability.

The US Department of Labor FY 2011 budget request includes an increase of over $20 million. With this budget increase the DOL expects to hire more than 350 new employees, including 177 investigators and other enforcement staff. The initiative would improve the ability of agencies to identify misclassification through increased information sharing and audits in high risk industries.  

The consequences for employers could be harsh. Employers who are found to have violated labor laws would be required to pay- back taxes, back wages, unpaid workers compensation premiums and unemployment premiums. In addition to and depending on which laws were violated there would also be the potential for additional liability.

Now more than ever, it is crucial for employers to take a good look at their workers to make certain they are classified correctly. Employers who misclassify workers are at a huge risk of getting audited and the stakes associated with this misclassification are only getting higher and higher each year!

After a year of intense and controversial political debate, President Obama signed into law this week the Patient Protection and Affordable Care Act. Despite the over abundance of media attention and information, employers are still left scratching their heads wondering what the reality is and how the legislation will impact their business?

Although the total impact to businesses is still uncertain, the direct affect to employers with less than 50 employees will be minimal. The legislation will affect employers in several ways including:

• Employer Responsibilities. Beginning in 2014, the legislation will require an employer with more than 50 full-time employees to pay $2,000 per employee if the employer fails to offer health coverage and has at least one full-time employee receiving a premium assistance tax credit or cost-sharing reduction created by the legislation.
• Breaks for Breastfeeding. The legislation will amend the Fair Labor Standards Act to require that employers provide unpaid breaks for employees to express breast milk. The legislation will also require that employers provide a private location for employees to have these breaks.
• Automatic Enrollment. The legislation will require that employers with more than 200 employees automatically enroll full-time employees in health coverage. The legislation will allow employees to opt-out of the coverage after automatic enrollment.
• Tax Credits for Small Employers.For small businesses that choose to offer healthcare coverage to employees, the law offers tax credits beginning in 2010 of up to 35 percent The full credit will be available to firms with 10 or fewer employees with average annual wages of $25,000, while larger small employers will see smaller tax credits. In 2014, tax credits will be up to 50 percent of premiums for the smallest employers.
• Tax on "Cadillac" Plans. Beginning in 2018, there will be an excise tax on any "excess benefit" of employer-sponsored coverage. The legislation defines "excess benefit" as one that exceeds $10,200 for individual coverage and $27,500 for family coverage.
• Dependent Coverage.Beginning in six months, health plans that provide dependent coverage will be required to provide it up to age 26. In addition, the legislation prohibits health plans from excluding coverage of pre-existing conditions for children. This provision is effective six months after enactment and applies to all employer plans.
•  Ban on Annual Limits. In 2014, the use of annual limits will be banned for all employer plans. Before that ban goes into effect, there will be restrictions on annual limits for all employer plans.

In addition to these changes, employers should keep their eyes on the following:

• Changes to Flexible Spending Accounts (FSAs) - The first change to FSA plans is scheduled to occur in 2011, when over-the-counter medications will no longer be eligible for reimbursement from these plans. The more significant change to FSA plans takes place in 2013 when pretax contributions to health flexible spending accounts will be capped at $2,500 per year.
• Health Coverage Costs on W-2 Forms - Starting with W-2 forms prepared for 2011, employers will be required to include the cost of health insurance on employees' W-2s.
• High Earners to Pay Additional Payroll Tax - Starting in 2013, individuals whose wages exceed $200,000 (single taxpayers), or $250,000 (taxpayers filing a joint return) will pay an additional 0.9% in Medicare tax on wages over $200,000 (or $250,000).
• Increased Wellness Incentives - The new law allows employers to provide "rewards" of up to 30 percent of health plan costs to employees who participate in a wellness program. 

Needless to say there is still a great deal of confusion about this bill. Unfortunately, it doesn't look like clarity will be coming anytime soon, as the concrete implications of the legislation will take place years from now and oh yeah- there is also the potential for repeal!   

It's that time of year again- March Madness- hoop heaven for college basketball fans and the one week of the year when people who don't usually pay attention to college ball are suddenly avid fans.

As employees check the web for latest updates, organize and monitor office betting pools and in some instances, watch games during company time--- many employers worry about how the "Big Dance" affects worker productivity. For most employers, March Madness doesn't significantly disrupt the workplace or have a major impact on productivity.  For others- March Madness is a fact of life. Although no one knows for sure the impact March Madness has on productivity, according to estimates, the event costs US companies approximately $1.8 billion in lost wages in the first week of the tournament alone.

So what should businesses do if they experience a productivity slump in the month of March? Why not embrace the tournament and use it as a team building experience. Set up a designated spot in break rooms where employees can get updates/check scores or organize company wide pools and offer gift certificates to local restaurants or a donation to a favorite charity to the winner.

Whatever the true costs in lost worker productivity may be- I would argue that after two years of a recession and a challenging few months of winter weather- a little distraction and fun might be just what some workplaces need to boost morale and camaraderie.

As kids, most of us couldn't wait for a snow day. NO school, sleeping in late, sledding and hot chocolate! As working adults, "snow days" take on a new meaning-- juggling schedules, shoveling sidewalks and driving to work in sometimes dangerous road conditions.

As employers, dealing with the winter months can be even more complicated. Many employers struggle with closing and delay decisions due to inclement weather and the impact it will have on their customers and employees.

As the threat of major snow storms loom over the country, it's a good time for companies to review their policies on inclement weather to make sure a solid and up-to-date plan is in place. There are no laws that govern what businesses should or must do during bad weather. It's simply a matter of policy for each business to decide for itself - keeping in mind both employee safety and financial productivity.

Like all HR policies good communications and planning are key to ensuring operations run as smoothly as possible. As businesses review or implement an inclement weather policy, there are certain questions they may want to address.

Closing Decisions- What circumstances will dictate when your office will close?

Communications- How will employees receive notification that your office is closed or has a delayed opening?

Wages & Salaries- If the business remains open and employees are unable to report to work, will they be paid for this time?  What if the business makes the decision to close, will employees still be paid?

Special Considerations- Will telecommuting or bringing children to work, if schools are closed, be an option for employees?

Every company is different and developing an inclement weather policy that is safe and cost effective requires many variables be taken into consideration. Whatever policy you ultimately decide to implement-- communicating this information to employees so they know what to expect is essential in avoiding difficulties down the road.

  Recently a dishwasher for a restaurant in Buffalo, NY open fired on his co-workers. The victims were a father and son. The father was the general manager of the restaurant. He was wounded. His son was killed.  In July of 2009, a mechanic for Penske Truck Rental in Atlanta was terminated from his job. He returned to his former place of employment last month and shot 5 people. Three of them were killed, 2 others remain in critical condition.

Workplace violence is a disturbing trend that appears to be on the rise. Many believe these horrific acts of violence can be blamed on the current economic environment? The downturn in the economy has caused many to lose their jobs, their homes and their savings.   Employees fortunate enough to survive layoffs have been faced with challenges related to reduced budgets and staff reductions. For some, these challenging economic times are enough to push them over the edge. Whatever the reasons - workplace violence is a growing concern for employers and employees a like.

Workplace violence takes many shapes and can vary in type from threats, intimidation & harassment to violence, physical assault and homicide.  Homicide, of course, is the most extreme form of violence and the most publicized.  No matter what the type of threat, it can happen in any organization and shouldn't be ignored.

So what should organizations be doing to address and promote workplace safety?  In many cases, investigators have reported that there were clear warning signs prior to workplace problems and violence that should have been noticed. Warning signs are important for employers to recognize, as they may signal that an employee is about to "lose it". Employees need a road map to identify the warning signs of a potential problem and techniques to diffuse them before they escalate. In addition to identifying potential problems, it's also critical to communicate to employees the importance of sharing any incidents or threats.  A "go to" person in the organization should be identified to communicate any problems.

Workplace violence is a very serious problem that employers need to identify, access, control and prevent. Organizations with both strong internal communications and supervisors who are trained to respond to inappropriate behavior are less likely to experience problems and will hopefully have healthier, safer workplaces.