Friday, July 30, 2010

Untitled

Taken from DCI Consulting's Bog with permission

On July 23, 2010, Administrative Law Judge Larry W. Price supported Frito-Lay on an issue that is critical to all DCI clients. The facts in this case are as follows. The OFCCP selected the Frito Lay Dallas Baked Snack facility for a compliance review and sent the standard scheduling letter. Item 10 of the scheduling letter specifically asks for information pertaining to applicants and hiring. More specifically, Item 10 requests: Data on your employment activity (applicants, hires, promotions and terminations) for the preceding AAP year and, if you are six months or more into your current AAP year when you receive this listing, for the current AAP year.

Because Frito Lay was six months or more into its plan year, it sent the required 12 months (June of 2006 through May of 2007) of applicant flow data for the annual plan and the required six months of update data (June of 2007 through December of 2007). OFCCP conducted a desk audit review and identified “adverse impact” in the supplied applicant flow data. As a result, on November 10, 2009, OFCCP requested that Frito Lay supply more recent applicant and hire data from January 1, 2008 through October 31, 2009. Frito-Lay refused and the OFCCP filed an administrative complaint.

As stated in the ALJ Price’s ruling: The issue before the Court is whether the temporal scope of the desk audit phase of a compliance review can be extended beyond the date that the contractor received its Scheduling Letter

Short and Sweet --- the answer is NO!!!. In the words of ALJ Price: In summary, I find that the EO, regulations, case law and the FCCM contemplate that the temporal scope of the desk audit phase of a compliance review cannot be extended beyond the date that the contractor received its Scheduling Letter. Accordingly, Frito-Lay‟s Motion for Summary Decision should be granted.

Here’s wondering if they can re-open the Bank of America case.

Some potential implications of this significant ruling include the following:

1. This ruling makes it clear that OFCCP can go back two years from the receipt of the scheduling letter. However, OFCCP cannot ask for additional data going forward once the scheduling letter has been received. This is a significant ruling for federal contractors as requests for additional data going forward have been a common practice for OFCCP in recent compliance evaluations.

2. The decision reduces potential back pay exposures in pending audits to the two year period preceding the audit notice.

3. Frito Lay cited language from OFCCP’s Federal Contract Compliance Manual (FCCM) as its justification for NOT submitting the additional data going forward. The OFCCP basically said that the FCCM is “old and outdated” and did not have to abide it. The judge thought otherwise and stuck to guidance in the FCCM. Note that OFCCP is currently reviewing and revising the FCCM, so it will be interesting to see what changes are made to relevant data-related sections.

4. It is important to note that OFCCP could open a new audit for the “post-audit” period, but that location would have to be selected again from the ‘neutral’ FCCS system

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Dept of Labor Releases June Employment Cost Index

Compensation costs for civilian workers increased 0.5 percent, seasonally 
adjusted, for the 3-month period ending June 2010, the U.S. Bureau of Labor
Statistics reported today. Wages and salaries (which make up about 70 percent
of compensation costs) increased 0.4 percent while benefits (which make up the 
remaining 30 percent of compensation) increased 0.6 percent.

Civilian Workers 
Compensation costs for civilian workers increased 1.8 percent for the 12-month
period ending June 2010. This was the same as the 12-month period ending in June
2009. Wages and salaries increased 1.6 percent for the current 12-month period, 
compared to a 1.8 percent increase for the 12-month period ending in June 2009.
Benefit costs rose 2.5 percent, up from a 1.8 percent increase for the 12-month
period ending June 2009.

Private Industry Workers
 
Compensation costs for private industry workers increased 1.9 percent for the
12-month period ending June 2010, higher than the 1.5 percent increase for the
12-month period ending June 2009. The wage and salary series increased 1.6 percent
for the current 12-month period, the same as for the period ending June
2009. The cost of benefits increased 2.5 percent for the 12-month period ending
June 2010, higher than the June 2009 increase of 1.3 percent. Employer costs for health benefits
rose 5.0 percent for the 12-month period ending June 2010. In June 2009, the 12-month percent
change was 4.4 percent.

 
Among occupational groups, compensation cost increases for private industry 
the 12-month period ending June 2010 ranged from 1.5 percent for management,
professional, and related occupations to 2.3 percent for sales and office 
occupations. The sales and office increase was primarily due to a 2.9
percent increase among sales and related occupations, which rebounded from 
a 1.6 percent decrease a year earlier. The other component of sales and 
office occupations--office and administrative support--increased
2.0 percent.
 
Among industry supersectors, compensation cost increases for private industry
workers for the current 12-month period ranged from 1.0 percent for construction
to 2.6 percent for trade, transportation, and utilities.

State and Local Government Workers
 
Compensation costs for State and local government workers increased 1.8 percent
for the 12-month period ending June 2010. Since this series began in June 1982, 
published values ranged from 2.0 percent in March 2010 to 9.6 percent in June 1982.
Wages and salaries increased 1.4 percent. This series also began in June 1982. 
Prior published values ranged from 1.8 in March 2010 to 8.5 percent in June 1982. 
Benefit costs increased 2.6 percent. Prior published values for this series, 
which began in June 1990, ranged from 1.2 percent in December 1997 to 8.3 percent
in June 1990.

U.S Department of Labor Releases June Employment Cost Index

Compensation costs for civilian workers increased 0.5 percent, seasonally adjusted, for the 3-monthperiod ending June 2010, the U.S. Bureau of Labor Statistics reported today. Wages and salaries (which makeup about 70 percent of compensation costs) increased 0.4 percent while benefits (which make up the remaining30 percent of compensation) increased 0.6 percent.Civilian Workers     Compensation costs for civilian workers increased 1.8 percent for the 12-month period ending June 2010.This was the same as the 12-month period ending in June 2009. Wages and salaries increased 1.6 percent forthe current 12-month period, compared to a 1.8 percent increase for the 12-month period ending in June 2009.Benefit costs rose 2.5 percent, up from a 1.8 percent increase for the 12-month period ending June 2009.Private Industry Workers     Compensation costs for private industry workers increased 1.9 percent for the 12-month period endingJune 2010, higher than the 1.5 percent increase for the 12-month period ending June 2009. The wage andsalary series increased 1.6 percent for the current 12-month period, the same as for the period ending June2009. The cost of benefits increased 2.5 percent for the 12-month period ending June 2010, higher than theJune 2009 increase of 1.3 percent. Employer costs for health benefits rose 5.0 percent for the 12-monthperiod ending June 2010. In June 2009, the 12-month percent change was 4.4 percent.     Among occupational groups, compensation cost increases for private industry workers for the 12-monthperiod ending June 2010 ranged from 1.5 percent for management, professional, and related occupations to2.3 percent for sales and office occupations. The sales and office increase was primarily due to a 2.9percent increase among sales and related occupations, which rebounded from a 1.6 percent decrease a yearearlier. The other component of sales and office occupations--office and administrative support--increased2.0 percent.     Among industry supersectors, compensation cost increases for private industry workers for the current12-month period ranged from 1.0 percent for construction to 2.6 percent for trade, transportation, andutilities.State and Local Government Workers     Compensation costs for State and local government workers increased 1.8 percent for the 12-month periodending June 2010. Since this series began in June 1982, published values ranged from 2.0 percent in March2010 to 9.6 percent in June 1982. Wages and salaries increased 1.4 percent. This series also began in June1982. Prior published values ranged from 1.8 in March 2010 to 8.5 percent in June 1982. Benefit costsincreased 2.6 percent. Prior published values for this series, which began in June 1990, ranged from 1.2percent in December 1997 to 8.3 percent in June 1990.

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Thursday, July 29, 2010

FLSA fines continue to mount

Following an investigation by the U.S. Department of Labor's Wage and Hour Division, GeoPharma Inc. has agreed to pay $1,360,098 in back wages to 187 employees for violations of the Fair Labor Standards Act.

"Employees have the right to expect that they will receive full pay on time for their work, and the Labor Department will not sit by while employers attempt to evade their responsibilities," said Secretary of Labor Hilda L. Solis.

The investigation, conducted by the Wage and Hour Division's district office in Tampa, determined that the company missed or was in arrears for 14 payroll periods from late 2009 through 2010. The FLSA requires that covered employers pay employees at least equal to the federal minimum wage for each hour worked, and wages are due on the regular payday for the pay period. In this case, the investigation revealed that the employer broke both provisions of the law at different times by not paying some wages at all and by not paying employees on time.

The dietary supplements and pharmaceutical manufacturing company operates six facilities in Largo, Fla. Employees affected by this investigation were involved in production, inventory control and shipping.

The FLSA requires that covered employees be paid at least the federal minimum wage of $7.25 for all hours worked, plus time and one-half their regular rates of pay, including commissions, bonuses and incentive pay, for hours worked beyond 40 per week. Employers must also maintain accurate time and payroll records.

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Department of Justice releases new rules regarding ADAA implementation

On July 26th, in conjunction with the celebration of the anniversary of the American's with Disabilities Act, the U.S. Department of Justice has rleased regulations to clarify some terms under the Act. Among these are :

  • Major changes include a new definition for the term "service animal." Dogs and miniature horses individually trained to mitigate the effects of a disability are now the only animals that qualify as service animals.
  • The rules also now require entities to allow individuals with disabilities to use Segways wherever pedestrians and wheelchairs are permitted, unless it would fundamentally alter the entity's services or pose a threat to safety. New requirements for event ticketing and reservations at hotels are also included in the rules.
  • The rules provide a general safe harbor for elements in covered facilities that were built or altered in compliance with the previous standards. Those elements will not need to be brought into compliance with the new standards until they are subject to a planned alteration, according to DOJ.
  • Entities that previously had the option to comply with either the ADA Accessibility Guidelines or the Uniform Federal Accessibility Standards no longer have that option. All entities subject to Titles II or III of the ADA must now comply with the new accessibility standards.
  • In addition to the new final rules, DOJ issued an advanced notice of proposed rulemaking (ANPRM) regarding its intention to regulate websites, movie captioning and 911 services, among other things. Notably, the department has requested public input on which web standards it should adopt in requiring entities covered by Titles II and III to make their websites accessible: the Web Content Accessibility Guidelines or the section 508 standards.

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Wednesday, July 28, 2010

20th Anniversary Meets Technology

We promised you an update on the terms of the legislation working its way through Congress regarding new access standards for the disabled to modern technology. Thanks to the staff at SHRM nad a press release from the Associated Press, I was able to determine that the bill calls for:

The bill, which passed 348-23 and now moves to the Senate, takes such steps as making it easier for the blind to access the Internet from smart phones, providing deaf people with the ability to watch new TV programs online with captions included, and requiring that telecom equipment used to make calls over the Internet be compatible with hearing aids.

The measure also:

_Gives the blind a fuller TV experience through audible descriptions of on-screen action.

_Makes cable TV program guides and selection menus accessible to people with vision loss.

_Mandates that remote controls have buttons or similar devices to easily access the closed captioning on broadcast and pay TV.

_Provides financial support to help the low-income disabled buy accessible Internet technology.

The legislation does not require manufacturers and service providers to install particular technology, but it does set new federal standards that the telecommunications industry will follow.

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Sometimes dreams do come true

Did you hear about the California painter's dream of a life time? He stopped by a garage sale and negotiated with the homeowner over a $70 box of glass photograhic negatives. Convinced the homeowner to reduce the price to $45.

As the late Paul Harvey would say, here is the rest of the story. The negatives were long lost Ansel Adams photographs and today they are worth $200,000,000. So you never know where your next opportunity is going to come from.

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Tuesday, July 27, 2010

20th Anniversary mets the Technology World

Yesterday, July 26, marked the annivereasry of one of the best pieces of civil rights legislation in the history of the United States with the signing of the Americans with Disabilities Act. As part of the recognition of the  day, the US House of Representatives passed legislation creating federal standards for the ramping of the internet and other forms of technology for the handicapped. The legislation now goes to the Senate. As we learn more about the standards we willpass it on.

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Monday, July 26, 2010

Have we lost our Way Part 2

For those of you who would like more information on the survey, the survey creators sent me a link to the executive summary of their findings. It can be found at http://www.lma.biz/Decade_of_LEAD_Exec_Summary_15-07-10.pdf

 

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Have we lost our way?

According to a post on Google News today,  in a new book entitled A Decade of L.E.A.D. (the Leadership, Employment and Direction survey), which charted workplace attitudes in Australia in the past decade, revealed that while the ranks of HR managers had swollen, the number of staff who believed their needs were being met by them had fallen.Researchers, analysing data from four big workplace surveys dating to 2003, found the proportion of employees who believed the HR department was addressing their concerns had fallen from 60 per cent to less than 50 per cent. In the most recent results, about 40 per cent of employees said HR had a poor or very poor awareness of what their issues actually were. ''HR departments are plagued by contradiction - they are trying to meet employee needs and expectations on one hand, and the needs and expectations of managers and shareholders,'' Sydney University workplace expert Professor John Shields said. A Decade of L.E.A.D. suggested human resources departments were leaning more towards their paymasters than general employees, and a much larger proportion of managers professed to be happy with their activities.Grant Sexton, the managing director of the Leadership Management Australasia, which commissioned the surveys and compiled the book, said HR departments did not give employees the right training. ''So often internal training is determined by a very narrow conception of what the organisation needs rather than what the individual needs,'' he said. ''There's not enough focus on soft skills - communication, goal-setting, time management.'' He said decisions about training and other HR functions were often taken out of the hands of HR managers themselves. ''How many HR departments do you know that have a seat on the board of their company?'' Mr Sexton said. ''Too often leaders see HR departments as a way to deal with staff issues but then don't give them any power to actually change anything. ''They end up being the meat in the sandwich.'' The chairman of the Human Resources Institute of Australia, Peter Wilson, said human resources departments were not meant to be trade unions. ''HR is about reconciling the interests of staff and management and in our view they do that very successfully,'' Mr Wilson said.

DBAI Strategic Take: The culture of human resources in today's workplace is all dependent on how you look at the human capital within your organization. If, as Russ Moen from Express Personnel states, that your human capital assets are nothing more than a line in your expense log, then the human resource function will not look at the employees for what they truly are. If we were still in the industrial age, which many of us have forgotten we exited from awhile back, then I would agree that your employees were a line item on the balance sheet. But we have moved on. Depending on who you talk to we are now in the knowledge or creative age where your service or your product is based on what it is in the minds of your human capital. If they leave your knowledge base goes with them. I have heard of situations whre the knowledge drain was enough to pull an organization under. So what doe we need to change? Here are some suggestions we would like to offer:

1. Take a page from the plate of the new generation and where feasible make decisions based on the collaborative efforts of all employees through the involvement of cross functional teams.

2. Human Resources should not only earn but demand a seat at the decision table. HR is not just baout keeping the organization out of legal trouble, but is directly responsible for providing guidance how to best utilize the human capital asssets of the organization.

3. Human Resources must remove themselves from the silo mentality of many organizations and ensure that their efforts are utilized across the entire organization.

4. Management must come to the realization that they are not there solely to act as the lord high master. The day of the overbearing manager wnet by the wayside the day the first millennial showed their face in the workplace.

5. Management must in short order remove from their space the belief that the employees are there primarily to see what they can get away with. Consider flexible work environments which may benefit the employee in the short run, but may benefit the organization in the long run.

As one of the final parts of my e-mail signature is the statement that the world is a better place because of those who refuse to believe they cannot fly. Our employees can be the key to the success of an organization as long as we treat them as they would like to be treated.

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Friday, July 23, 2010

Relocation Announcement

Vermillion, Inc. (Nasdaq: VRML), a molecular diagnostics company, today announced that it is relocating its corporate headquarters from Fremont, California to Austin, Texas.  Vermillion has executed a two-year lease for a new principal place of business at 12117 Bee Cave Road, Building Two, Suite 100, Austin, TX 78731.  Vermillion will continue to operate research and development, regulatory and quality operations in California.  All other functions will be conducted at the Austin offices.

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Did You Know?

As human resource professionals we are all concerned with the impact of the new health care reform law, but buried on  Page 600 of the law is a revision to the Fair Labor Stabdards Act and many of our peers that I have talked with are not aware of it. This past week the Department of Labor released a fact sheet dealing with the issue.

As of March 23, 2010 employers are no longer able to tell a female employee that if  she needed to express breast milk she needed to go use the facilitiy's restrooms. In fact the legislation specifically prohibited this action.

The regulation informationm sheet released last week provides details about the requirements (See Fact Sheet #73)

General Requirements:

Employers are now required to provide reasonable break time for an employee to express breast milk for her nursing child for a period of one year EACH TIME THE EMPLOYEE HAS THE NEED TO EXPRESS MILK. In order to accommodate this the employer is required to provide "a place,other than a bathroom, that is shielded from view and free from intrusion from both co-workers and the public.

Time and Location of Breaks:

Employersare required to provide a reasonable amount of break time to express milk as frequently as needed by the nursing mother. DOL states that the duration and frequency will vary depending on the needs of the mother.

Coverage and Compensation:

Only employees who are NOT EXEMPT from the FLSA's overtime pay requirements are entitled to breaks to express milk. Employers are not required to provide the breaks to nursing motehrs whoa re exempt from the overtime pay requirements of Section 7 of the FLSA. Employers with fewer than 50 employees are not supject tot he FLSA break time requirement if compliance with the provision would impose an undue hardship.

The law also states that employers are not required under the FLSA to compensate nursing mothers for breaks taken for the purpose of expressing milk. However if you already provide compensated breaks, an employee may use the breast milk express break as part of that compensated time.

 

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Thursday, July 22, 2010

Sign of the Times

We all know that the marketplace is full of places to go for information on just about everything. But here is a new twist. Fast Company Magazine is reporting that a website that has been existence for sometime called eBossWatch has added a new service. The original services was to allow employees to rate their bosses good or bad. Tye then with help of a panle of workforce experts rank the worst bosses of the year. eBossWatch has now added a new service and it is a registry of those bosses in the workplace that have been the subject of a sexual harrassment complaint.

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Catch -22

In an effort to help employees who were confronted with serious medical related conditions, the Congress passed the Family Medical and Leave Act. Under the terms of the Act if an employee had worked for a period of twelv emonts and accumulated 1250 hours the employee was eligible to recieve 12 weeks of unpaid leave to care for themselves or a family member. Many human resource managers have operated for some time under the view that if at the end of the 12 weeks the employee does not return to work, then it is automatic grounds for termination of employment.

In a blog by Frerikson and Byron Attorneys it is now reported that the Equal Employment Opportunity Commission is saying wait a minute not so fast. Their feeling is that such a blanket policy may violate the terms of reasonable accommodations under the Americans with Disabilities Act.

Strategy: Review your current policies to see how you have worded those circumstances where extended leave is requested. It may no longer be sufficient to carry a blanket clause that says if you need more than 12 weeks 26 weeks if due to military reasons) then you have lost your job. Be sure to talk to your labor counsel to review what changes maybe needed to your policies. Further, review and take careful consideration of the changes to ADA so as not to place yourself in the position of violating the requirements. It is less expensive for you to make changes up front rather than when told you have to.

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Tuesday, July 20, 2010

IOMA exclusive survey results

The Institue of Management and Administration (IOMA) has released their compensation survey for 2011 and are forecasting merit raises will run around 2.7 percent. This is compared to an actual raye in 2010 of 1.9 percent.

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Monday, July 19, 2010

Social Media Best Practices

One of the blogs I read religiously is the Delaware Law Blog. In the current post they talk about a clause that can now be found in government applications for those considering applying for new positions with the Federal Government.The author suggests that in the name of full disclosure regarding the hiring process, you should not only consider using text in yoir policy that not only tells the applicant that you are going to check their social media networks but exectly what types of things you are going to be looking for. The wording of the clause is as follows:

As part of the agency’s review of your application, the agency may view and/or access publicly available information about you, including information publicly available on the internet, that is job-related and consistent with the merit system principles and prohibited personnel practices set forth in the Civil Service Reform Act, 5 U.S.C. 2301, 2302. No information from any source may be used to discriminate for or against an applicant based on race, color, national origin, gender, age, political affiliation, religion, disability, marital status, sexual orientation, gender identity, status as a parent, membership or non-membership in an employee organization.

Even more important if your organization does not currently have a social media policy it might be the time to create one. The conversation is now and you need ot be involved.

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Saturday, July 17, 2010

Passing of an industry pioneer

I received in the mail this morning my copy of the new Mobility Magazine and on the credit page was the announcement that Meri Hill had passed away. Meri was one of the pioneers, having been the president of Maenner Relocation, of this industry we call home and was a true professional. I enjoyed every interaction I ever had with her and she was very instrumental in the background research for our book "Just Get Me There". Our heartfelt condolences are passed on to her family. Her daughter is still in the business today.

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Sign of the times

With a declining real estate market, some corporations are taking extreme methods to help needed executives relocate for the benefit of the organization. Medtronic has announced that in the fiscal year that ended in April the compensated an executive who is expected to become the next CEO, $1.7 million in relocation benefits to move from California to corporate headquarters in Minnesota. They estimated that he would have taken a loss on sale which would have acconted for the majority of the funds.

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Friday, July 16, 2010

Are You Planning an HR Audit?

If you are planning  to conduct an audit of your HR function, processes and procedures be sure to include a review of how you are classifying your positions. The missclassification occurs on two fronts. The first is that of independent contractor vs. employee. The second is that of whether they are exempt or non-exempt from the labor laws. The current administration and the US Department of Labor have made it known that the missclassification of employees will be a critical area of enforcement in the coming months. To possibly hit home the necessity to do this a subsidry of FedEx was just fined by the state of Massachusetts $3,000,000 for misclassifying its drivers as Independent Contractors.

 

 

 

 

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Thursday, July 15, 2010

Relocation Announcement

Saratoga Potato Chips LLC, a Brampton, Ontario-based producer of potato chips, kettle chips and popcorn, plans to locate its U.S. headquarters in Fort Wayne, Ind.by 2013.

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Wednesday, July 14, 2010

Site Selection Magazine releases th elist of the most sustainable programs

In their July issue, Site Selection Magazine rleased the 2010 list of both the most sustainable countries and cities in the world. Below is the lists:

Most Sustainable Nations

  1. Canada
  2. Brazil
  3. China
  4. Germany
  5. Norway
  6. India
  7. Japan
  8. Mexico
  9. Spain
  10. Sweden

Most Sustainable US Cities

  1. San Francisco-Oakland- Fremont, CA
  2. Portland-Vancouver-Beaverton, OR-WA
  3. Denver-Aurora, CO
  4. Chicago-Naperville-Joliet, IL-IND-WIS
  5. Los Angeles-Long Beach-Santa Ana, CA
  6. Pittsburg, PA
  7. New York-Newark- Edison, NJ
  8. Philadelphia-Camden-Wilmington, PA-NJ
  9. Grand Rapids-Wyoming, MI
  10. Dallas-Fort Worth, TX
  11. Phoenix-Mesa-Scottsdale, AZ
  12. Austin-RoundRock, TX
  13. Houston-Baytown-Sugarland, TX
  14. Charlotte-Gastonia-Concord, NC-SC
  15. Albuquerque, NM
  16. Boulder, CO

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Tuesday, July 13, 2010

Relocation Announcement

Globalstar is relocating its corporate headquarters from California to Covington, LA and is committed to relocating or creating more than 150 jobs in the area by the end of 2011, another 50 by the end of 2013 and another 300 by the end of 2019. The jobs will average an annual salary of $70,000 a year,

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Sign of the times

The US Treasury Department has indicated that US based employers have requested credits under the Hire One Act that 4.5 million unemployed workers have been hired since the credit became available.

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Friday, July 09, 2010

It could happen here

Awhile back we had posted an entry to our newsletter regarding the fact that in Europe the unions could put a snag in a corporation's plans to relocate their operations if they had grounds to feel that the move was not in the best interests of the employees. At the time I had talked with several labor attorneys as to whether we could have the same situation here in the United States. Their general consenus at the time was that  employees in the European Union had more rights then they do in the US, and so it was unlikely that it would happen here.

Fastforward to the current economic market and along comes a federal court decision regaring the planned relocation of Pratt & Whitney from Connecticut to Georgia. The 2nd U.S. Circuit Court of Appeals in New York upheld a federal judge's ruling that said the subsidiary of United Technologies Corp. failed to make every reasonable effort to avoid shutting two engine repair plants in the state. The ruling essentially stated that the planned move violated the union contract and therefore the corporation can not complete the move.

Strategy:If you are planning a relocation of your operations it is imperative that you dot all the "i's" and cross all the "t's" and make sure that all the stakeholders are involved in the planning process. You still are required to follow the terms of the WARN Act where applicable, but everyone has to be on board for the reasons regarding the move.

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Relocation Announcement

Solera Holdings Inc., which helps process car insurance claims, will move its corporate headquarters from San Diego to the Dallas-Fort Worth area by the end of August.

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Thursday, July 08, 2010

At Will Employment clarified

According to a posting by Normal 0 false false false EN-US X-NONE X-NONE Barker Olmsted & Barnier attorneys at law, in the case of Singh vs Southland Steel, in California at least At Will Employment applies to all employment actions including demotions and compensation decreases. According to the court ruling the tennant of at will emplyment means that either party may terminate the relationship at any time, with or without cause, for any lawful reason or no reason at all (assuming, of course, that there was no violation of public policy involved). There is no requirement that the party terminating an at-will employment act in good faith or with good cause. Based on this line of thought the employer may apply the same logic to demotions or compensation.

There is an old adage that says as California goes so does the rest of the country. In consideration that the majority of states operate under the At Will employment relationship, it would seem that the same arguement could be brought across the country. Would suggest that you talk to your labor counsel for further determination as to whether this applies in your state.

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Saturday, July 03, 2010

Relocation Announcement

Heartland Automotive Services, Inc, the owner of Jiffy Lube, is moving its corporate headquarters from Omaha to Dallas by December 2010.

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Friday, July 02, 2010

E-Verify Redesigned

The Immigration and Custom Service has posted a new design to the E-Verify website. The reuslt is upon your first sign in after June 13 you will be required to complete a 20 minute tutorial on the new system. Be sure that you do so promptly before you start to ramp up your hiring efforts.

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Is your Social Media Policy clear enough?

According to the Associated Press, Best Buy took disciplinary action against an employee who made two snarky online videos poking fun at zealots of the iPhone and the Evo phone, He thought it was just a good way to vent some of the frustrations inherent in selling smart phones. Best Buy, thought otherwise, even though the retailer, which sells both phones, isn't mentioned in either video. The company was mentioned, though, in videos the employee had made earlier.

The employee  who had been selling phones at a Best Buy store since 2007, said Friday he was suspended from his part-time job after posting two YouTube videos that slam fans of Apple Inc.'s iPhone 4 and HTC Corp.'s Evo 4G.

The employee was told Thursday he had a "choice to either quit or the HR people can decide what they want to do." He said he would not quit and was told he could be fired over the matter.

Strategy:In this globally connected world, it is critical that every corporation have in place a clear social media policy. The policy must explain to the employee that there are some expectations of how they will use social media both in the office and outside. It should also explain that in any situation where the employee makes any mention of your organization there is no expectation of privacy. Contact us for further guidance on what needs to be in your social media.

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Is it a sign of reality settling in?

The state of Oregon has implemented legislation which prohibits the use of credit checks as a factor in the process of hiring, firing, demoting or suspending employees, unless they can establish that it's substantially related to the job. This is an attempt to ensure that credit status is not used to discrimiante in the hiring process.

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Thursday, July 01, 2010

Are We Next?

According to CNN, as of today, the citizens of Finland have a legal right to receive reasonably priced broadband service. The rate will be established by the Finnish Communications Authority and these rates must be adhered to by the broadband providers in Finland. Could we be the next to eliminate the digital divide by liekwise saying it is our right as citizens to have access to the internet? The President either has or is about to put in place the requirement that the bandwith of the broadband services in the US be expanded.

There are trends which indicate that more and more employers are taking advantage of the growth of social media to find new ways to attract the talent they need. Access to the internet will expand the available talent opportunities to these employers.

Posted via email from hrstrategist@Net-Speed

May Cost of Funds Index

The Federal Home Loan Bank of San Francisco announced June 30, 2010, that the 11th District Monthly Weighted Average Cost of Funds Index (“COFI”) for May 2010 is 1.791%. The index for April 2010 was 1.825%.

Posted via email from hrstrategist@Net-Speed