Archive for August, 2014

Q&A: 6 Things You Should Know About Affirmative Action Plans

Thursday, August 28th, 2014

CAI’s Manager for Affirmative Action Services, Kaleigh Ferraro, shares information on affirmative action plans from the OFCCP. Make sure you are compliant.

Kaleigh Ferraro, Manager, Affirmative Action Services

Kaleigh Ferraro, Manager, Affirmative Action Services

If your organization provides goods or services to the federal government either directly or indirectly, you may be subject to affirmative action regulations.  Just in 2014, regulation changes regarding affirmative action programs for protected veterans and individuals with disabilities became effective.  President Obama has also signed several Executive Orders affecting federal contractors.  Is your organization in compliance with these recent and proposed changes?

Q: Are you covered as an affirmative action employer?

A: If you have federal contractors or subcontracts of at least $10,000, you are covered under the affirmative action regulations.

 

Q: What are the affirmative action requirements?

A: One of the main requirements is to annually develop written affirmative action plans if you have federal contracts/subcontracts of $50,000 or more and 50 or more employees. There are a number of other requirements as well.

 

Q: What is the impact of the changes to organizations regarding protected veterans and individuals with disabilities?

A: Some of the major changes that became effective in 2014 require setting hiring benchmarks for veterans and utilization goals for individuals with disabilities.  They also require federal contractors to solicit self-identification of applicants for veteran and disability statuses prior to job offer.

 

Q: What type of data is needed to develop an affirmative action plan?

A: In order to develop an annual affirmative action plan, you will need a current listing of employees.  This employee listing will be used to determine if Placement Goals must be established for women and minorities.  This listing will also be used to determine if utilization goals for individuals with disabilities are met.  Contractors must also review employment decisions for hires, promotions and terminations for the 12 months prior to the employee listing.

 

Q: What is required of affirmative action employers other than the written affirmative action plan?

A: There are a number of additional requirements beyond an affirmative action plan.  These requirements include the following: record keeping requirements, tracking applicant data, annually filing EEO-1/VETS-100A reports, notifying subcontractors & vendors of obligations, specific language in covered purchase orders & subcontracts, listing jobs with state employment service delivery systems, outreach and recruitment efforts, etc.  CAI can provide additional information regarding these and other requirements.

 

Q: What are the recently signed Executive Orders and proposed regulation changes?

A: President Obama has signed several Executive Orders in 2014 that may lead to changes for federal contractors and subcontractors.  They include, establishing higher minimum wages for federal contractors, expanding affirmative action requirements to include gender identity and sexual orientation as protected groups, protect workers from retaliation when discussing pay with other employees.  The OFCCP also issued proposed regulations that would require contractors to submit compensation information annually in an expanded Employer Information Report EEO-1

CAI has a team dedicated to affirmative action and can assist with affirmative action questions.  Please contact Kaleigh Ferraro, Manager of Affirmative Action Services directly at 919-713-5241 or kaleigh.ferraro@capital.org  for additional information or other affirmative action questions.

 

FMLA: Are You A Covered Employer?

Tuesday, August 26th, 2014

In today’s video blog, John Gupton, CAI’s General Counsel and HR Advisor on CAI’s Advice and Resolution team, discusses provisions in the Family and Medical Leave Act (FMLA) and whether an employer is covered.

John starts by explaining that FMLA allows eligible employees to take up to 12 weeks of unpaid leave in a 12-month period for certain family or medical reasons. He lists several protections the law grants employees, such as continuation of a group health plan.

He addresses employer coverage in the last portion of the video. John says public employers are covered without regard to the number of employees employed. Private employers must have 50 or more employees during 20 or more workweeks during the current or preceding calendar year. John also explains which employees you should count when figuring out FMLA coverage.

If you have additional questions regarding FMLA employer coverage, please give CAI’s Advice and Resolution team a call at 919-878-9222 or 336-667-7746.

Helpful Information from 3 Presentations at the 2014 Compensation and Benefits Conference

Thursday, August 21st, 2014

Comp Ben Save Date 2014 (2)CAI hosted its 2014 Compensation and Benefits Conference at the McKimmon Center on Thursday, August 14 and Friday, August 15. More than 200 HR professionals and company executives attended the two-day event to review and discuss emerging workplace trends surrounding compensation, benefits and total rewards, as well as the impact these trends leave on culture and profitability.

This year’s conference speakers shared presentations on how to attract and motivate top talent, strategies to increase employee engagement, reinforcing a positive workplace culture, and more. Keynote presentations for the 2014 conference lineup included:

The Future of Attraction, Retention and Motivation: How Compensation Fits into the Process Anne Ruddy – WorldatWork

What Would Healthcare Look Like If Getting It at the Lowest Cost Was Your Key Priority? Skip Woody – Hill, Chesson & Woody Employee Benefit Services

Green Goldfish – 15 Ways to Drive Engagement & Reinforce Culture Stan Phelps – 9 INCH marketing

Leverage Marketplace Trends When Making Decisions about Compensation and Benefits Strategies Molly Hegeman – CAI

In addition to the keynote sessions, conference participants had the opportunity to attend several of the many breakout sessions. Why performance management fails, building high performing teams, work-site wellbeing, and understanding survey data are some of the topics of this year’s breakout sessions.

Below are three sets of insights conference speakers shared with last week’s audience:

–Anne Ruddy shared the changes in employee attitudes from recipients to consumers of rewards in her keynote presentation:

From:

Employer loyalty

Traditional work design

Pay = position

Retirement security

To:

Self-managed careers

Virtual, flexible environments

Pay = performance, market

Individual career management

 

–In the breakout session Why Performance Management Fails, Mike Maciekowich shared five reasons why companies need performance management systems:

  1. Help managers to observe their staff more closely and to do a better coaching job.
  2. Motivate employees by providing feedback on how they are doing.
  3. Provide back-up data for management decisions concerning advancement, transfers, dismissals, and so on.
  4. Improve organization development by identifying people with promotion potential and pin-pointing development needs.
  5. Establish a research and reference base for personnel decisions.

 

–CAI’s Sherry Hubbard-Bednasz explained the purpose of salary surveys in her presentation Taking the Mystery Out of Survey Data:

Salary surveys:

  • Provide a fair representation of pay practices occurring in the market
    • Sample reflects population
    • Consider source, methodology, transparency
  • Show how variables impact pay
    • Size of company
    • Industry/sector
    • Geography
  • Indicate trends in pay
    • Overall market movement
    • Movement in certain segments
  • Inform compensation decisions as a guide, not absolute

For additional information on CAI’s conferences, please go to https://www.capital.org/eweb/DynamicPage.aspx?site=cai&webcode=cai-training-conferences.

 

Survey Reveals Women and Millennials in Leadership Yield Greater Company Success

Tuesday, August 19th, 2014

women leadersMost companies strive to create a work environment that embraces diversity. Differences in age, gender and other characteristics benefit companies in numerous ways, such as various perspectives for problem solving or creating new business opportunities.

New research from DDI and The Conference Board highlights a critical difference between the top and bottom corporate financial performers—companies with more women in leadership roles perform better. Another finding from the survey indicates that millennials in leadership roles can also impact business success positively.

The Global Leadership Forecast (GLF) 2014/2015, Ready-Now Leaders: Meeting Tomorrow’s  Business Challenges is the seventh edition of the annual report that DDI has put together since beginning this research in 1999. This year’s report includes responses from 13,124 global leaders and 1,528 human resources executives within 2,031 organizations. Survey results represent 48 countries and 32 major industries.

Here are some insights the survey revealed:

  • Men and woman are equally competent workers. However, men tend to portray themselves as more effective leaders overall than woman do.
  • In comparison to men, women are not as likely to rate themselves as highly-effective leaders.
  • Women are also less likely than men to have completed international assignments, led across geographies or countries or teams spread out geographically.
  • Of the participating organizations, those in the top 20 percent of financial performance have 37 percent of their leaders as women and 12 percent of their leaders are high-potential women.
  • Organizations in the bottom 20 percent count only 19 percent of their leaders as women, and 8 percent of their leaders as high-potential women.
  • An organization’s rate of growth is directly linked to the number of millennials in leadership roles.
  • Companies that were more financially successful were also more likely to have a higher percentage of millennial leaders.

“To improve business outcomes, bolster current development programs so that all leaders, including women and millennials, can improve their skills,” said Evan Sinar, Ph.D., DDI Chief Scientist, Center for Analytics and Behavioral Research (CABER) Director and study co-author. “Development opportunities build confidence. Provide opportunities for stretch assignments, ensure formal practices are in place to facilitate those opportunities and fully-commit your support to mentoring programs to develop and prepare new leaders.”

Receive full access to the report on DDI’s website here.

 

 

 

In An Environment Of Uncertainty, Prepare To Comply With The ACA

Thursday, August 14th, 2014

The post below is a guest blog from Mike Beck who serves as Principal, Health & Welfare Consultant for CAI’s employee benefits partner Hill, Chesson & Woody.

hcw 8 14In the last few weeks, there’s been multiple Affordable Care Act (ACA) developments, ultimately impacting large employers with 50 or more employees. How and when will they occur is another story, and it is easy to see why some employers are perplexed. Predicating what the ACA will look like a year from now is very difficult with some saying the employer mandate may be delayed again. Let’s review the recent events and how they are contradictory in many ways.

On July 22, the United States Court of Appeals for the District of Columbia Circuit concluded that PPACA’s subsidies should only be available to individuals purchasing health insurance in exchanges operated by a state – calling into question all the subsidies that have been obtained to date through the Federal exchange. Hours later in Richmond, Va., the United States Court of Appeals for the Fourth Circuit decided that legislative intent was to make tax subsidies available to individuals purchasing health insurance through a federally funded exchange or a state-based exchange if the state failed to create one. These two conflicting rulings are likely to go to the Supreme Court. For now, subsidies/tax credits will continue to be granted on the Federal Exchange. If the D.C. Circuit’s decision is upheld, it could strike a serious blow to the employer mandate since receiving a subsidy is a primary trigger of the employer mandate.

On July 24, the IRS published draft forms for the Code 6056 employer Minimum Essential Coverage reporting and disclosure requirement to the IRS and to individuals. This reporting requirement has multiple purposes as it allows the IRS to enforce the employer mandate, enforce the individual mandate, and confirm eligibility for premium tax credits for coverage purchased through an Exchange. This reporting along with the associated forms take effect in 2015 and are due in January 2016.

So in the same week, we witnessed a decision by an appeals court that called into question the viability of the Employer Mandate and suggested a possible delay, and then actions by the IRS which seem to indicate the Employer Mandate is moving forward as scheduled.

Regardless, large employers need to be prepared to comply with the employer mandate in 2015 and the associated reporting requirements. This should include a review of current payroll and HRIS systems to ensure they will be able to meet the new reporting requirements. The safe play is to assume that the employer mandate will go into effect without another delay, and if a delay occurs, organizations will have more breathing room to implement.

Evaluating the Softer Skills of a Top Candidate

Tuesday, August 12th, 2014

In today’s post, Advice and Resolution team member Renee’ Watkins shares the importance of analyzing a job candidate’s soft skills to uncover ways he or she can help your organization succeed if hired.

Renee' Watkins, HR Advisor

Renee’ Watkins, HR Advisor

When seeking top talent for a current job opening, the first criteria we most often use to identify the right candidates is a combination of education, experience and skill. These factors can be used, in part, to predict whether or not a candidate has the ability to be successful in the role for which they are being considered.

While these factors are very important, the long-term success of a candidate within your organization can depend more heavily on their softer skills, which tend to come across during the interview process.

With limited resources, stiff competition for talent and smaller amounts of time for assessing candidates, HR has to use their opportunities wisely to drill very quickly down to these softer skills.

The following interview questions can be used to provide you with a deeper insight into exactly what this candidate can bring to the company in addition to their education and experience:

  • What can you tell me about our company? Give me your analysis of our business. Look for the candidate’s initiative, ability, values and confidence.
  • Tell me about the first five things you would do if hired. Look for the candidate’s thought process, prioritization and execution.
  • Name five things you need to be successful in this role. Name three things you consider obstacles to that success. Look for the candidate’s expectations from the company and their ability to overcome obstacles.
  • Discuss a time you took a risk and failed versus a time you took a risk and succeeded. Look for the candidate’s willingness to take risks and ability to accept failure.
  • What was one of your proudest moments at work? Look for the candidate’s preferred work style (team player, solo contributor).
  • Where do you see yourself in two more career moves? How will this position help you get there? Look for the candidate’s long-term thinking, motivation and expectations.

To be a successful hire, candidates need to be a great corporate fit for your organization. You also want individuals who are thinking long-term with confidence in their own abilities to succeed within your company. For additional guidance, please call a member of CAI’s Advice and Resolution team at 919-878-9222 or 336-668-7746.

 

Wage and Hour Issues: Allowed Deductions From an Exempt Employee’s Salary

Thursday, August 7th, 2014

In today’s video blog, CAI’s Senior Executive of Government Relations and member of the Advice and Resolution team, George Ports, discusses allowed deductions from an exempt employee’s salary. George starts with a reminder: exempt employees are paid on a salary basis. Deductions are allowed but are limited. George shares an example in the video.

Another question that George explores is whether an employer is allowed to suspend an exempt employee without pay for violating a major work rule. He says the answer is yes, but the work rule must be major. He gives suggestions of what counts and what doesn’t.  George points out several scenarios that illustrate why you would have to pay an employee based on when he or she was suspended.

George offers additional deductions that can be made to an exempt employee’s salary in the video. One of the deductions he explains is the entire week concept. If there is not work completed by the employee in an entire week, the employer does not have to pay the employee for that week. Highlighting today’s technology, George emphasizes that if an employee is responding to emails or voicemails during this week, the entire work week exception is invalid.

Improper deductions from an exempt employee’s salary can destroy the exemption status for that employee and the exemption status of employees in that same classification, George says in the video. He also lists deductions that an employer is not allowed to take from an exempt employee’s salary.

If you have any questions about wage and hour regulations, please call CAI’s Advice and Resolution team at 919-878-9222 or 336-668-7746.

Your Employees Won’t Work Hard for a Robot

Tuesday, August 5th, 2014

The following post is by Bruce Clarke, CAI’s CEO and President. The article originally appeared in Bruce’s News and Observer Column, The View from HR.

Bruce Clarke, President and CEO

Bruce Clarke, President and CEO

Think about your best manager ever.

The one that you trusted, learned from, worked hard for, took problems to and even enjoyed. The one that managed you with both clarity and humanity. The one that knew you as an individual and took a genuine interest in your development. Do you have this person in mind?

Many managers are good communicators and handle workplace issues well. They might even be good teachers and technical geniuses. They may have regular meetings with you to be sure you are on the “same page.” But the human element that makes them truly impactful and inspirational is too often missing.

Somewhere along the way, managers (and some in HR) have lost sight of this important fact: nobody works hard for a robot or simply to earn revenue. They work hard for people who know them as individuals.

The great workplace leaders understand this human element. It builds bonds that allow your organization to solve big problems, face great challenges and obtain extraordinary results from all types of people.

Think again of your best manager ever. Would you work twice the hours for two weeks to get a big project done for that individual? Would you bring him or her your bestideas and best work every day? Would you accept and understand when you received an answer you did not like? Would that manager make your view of the company much more positive, making you much more likely to stay?

I bet your best manager even knew quite a bit about you as a person and showed it in appropriate ways. Maybe you both enjoyed discussing your family, your hobbies, common schools/teams, your dog or even political topics. Maybe you shared your feelings about free time, what you hope for or what you are concerned about.

What about the time your manager attended that awards ceremony on your behalf or that soccer game you played? How did you feel when a manager did something nice for your child? The point is, your manager knew what you cared most about in this world and showed that s/he cared, too.

It is not a great deal more complex than that, but managers tend to avoid the right kind of personal topics with employees, while a few spend too much time on the wrong personal topics. I’ve seen lawyers scare good managers away from positive personal conversations and relationships (with fears of lawsuits) while failing to sufficiently scare the harasser away from negative personal interactions.

The human element is key to maximizing both work performance and enjoyment. One of my favorite workplace authors is Patrick Lencioni (“The Three Signs of a Miserable Job”). He says this human element means taking a Genuine Personal Interest in employees and each other. Each of those three words was chosen carefully. The opposite might be called an Insincere Prying Irritation.

Other non-genuine interactions: asking the same question each day to the same people (“How ’bout them Heels?”), forcing the interaction, focusing on things you care about, doing the same thing for everyone or treating interaction as a one-way street. Employees, your manager would appreciate a Genuine Personal Interest from you as well.

Maybe this is natural to you. Keep it up! If it is unnatural or stressful to you, find ways to bring the human element into your workplace interactions. Observe what employees display in their workspace. Chances are they care deeply about those things and people.

Think about the power of a Genuine Personal Interest in improving conversations, building trust and creating a common language . . . and boosting performance.

The only person who wants to work hard for a robot is the technician who changes its oil.