Creating Great Workplaces

(from the Xenium July 2009 Newsletter)
By Cristi Jaksic

Highly successful organizations all have something in common: a willingness to respond to the needs of their employees, and a workplace culture that fosters employee engagement and yields high productivity.

The correlation between exemplary workplaces and dedicated, high-performing employees is indisputable, as is the direct connection between enlightened people policies and overall organizational success.

But despite the different business needs and issues of a variety of companies, survey results show that many of these organizations simply “get it”: They foster open communications; treat their employees fairly and with respect; value the contributions of all employees; and in return, reap the benefits of an engaged and conscientious workforce.

It’s easy to see the evidence of strong HR practices in those organizations. Undoubtedly there are many other companies on their way to being recognized as one of the “Top 25 Places to Work in Portland”, and just as certainly, there are numerous organizations whose workplace cultures could be improved. So, how do you perform a “culture transfusion” on an organization that doesn’t measure up?

This is where HR expertise and leadership comes in.

HR consultants and internal HR management lead by developing people strategies that leverage workforce talents to achieve organizational success; by linking those strategies to the organizations short and long-term goals; and by implementing programs that encourage employee identification with, and commitment to, those goals.

They support internal leadership and management by developing workplace policies and standards that attract and retain top talent, promote internal effectiveness, and enhance external competitiveness.

Turning negative or potentially ineffective workplace cultures into positive, productive ones represents a significant challenge and a major opportunity for HR consultants and professionals who must continue to underscore that human capital really is their client’s or organization’s most important asset – not just part of a feel-good slogan – and that becoming a better place to work produces better results at the bottom line.

Times Are Tough, But Don’t Cut Medical Coverage

By Brandon Laws

Layoffs, wage freezes and a depressed 401(k) account - it is all a reality in 2009. Employers may be cutting expenses wherever needed in order to get back the margin they lost and employees may be cutting personal expenses such as going out to eat, buying new items or even pulling back contributions on their 401(k) fund just to survive.

Heightened physical and emotional stressors are increasingly common amongst the working class. As financial means tighten, the temptation to cut corners grows stronger. In light of the heightened toll of stressors upon the body, people must take care of their bodies; which brings up the point - employees and employers should not drop their medical coverage. A person can contribute to their 401(k) all they want, but if they do not take care of their health, they may not be around long enough to enjoy their retirement savings.

Most of us have heard the expression “pay yourself first.” So do it! If you are an employee that doesn’t have medical coverage, make it a priority to set aside money to get coverage in place. If you are an employer and do not offer health insurance to your employees, get a plan together immediately. Having medical coverage should be a top priority in chaotic times. An employee’s health and welfare is important.

If premium cost is an issue and an employer does not offer a benefit plan, there are service providers that offer high deductible plans anyone can participate in that will cover catastrophic losses; both physical and financial. For employers looking to secure a medical plan for their employees but have found that cost is too high, look to a Professional Employer Organization such as Xenium – we offer a wide range of benefits which are often more affordable due to a larger pool of participants.

It is time to realize that wasteful spending can no longer be a part of who we are as Americans. We need to prioritize what is most important in our lives; one thing is for sure: medical coverage needs to be near the top of the list.

Federal Minimum Wage Increase

Federal Minimum Wage Increases Today to $7.25/hour:

The U.S. Department of Labor sent the following announcement this morning: “The U.S. Department of Labor’s Wage and Hour Division reminds employers and employees that the federal minimum wage increases to $7.25 on Friday, July 24, 2009. With this change, employees who are covered by the federal Fair Labor Standards Act will be entitled to be paid no less than $7.25 per hour. This increase is the last of three provided by the enactment of the Fair Minimum Wage Act of 2007. A revised Federal minimum wage poster is now available for viewing, downloading, and posting. Every employer of employees subject to the Fair Labor Standard Act’s minimum wage provisions must post, and keep posted, a notice explaining the Act in a conspicuous place in all of their establishments so as to permit employees to readily read it.” The link for the poster is: www.dol.gov/esa/whd/regs/compliance/posters/flsa.htm.

Oregon and Washington employers should note that their state minimum wages are still higher than the federal minimum wage.

** $8.40/hour in Oregon
** $8.55/hour in Washington


E-Alert from Bullard Smith Jernstedt Wilson
www.bullardlaw.com

Children in the Workplace

A binky on the boardroom table? Teddies on a teleconference? Gurgles and coos and a faint smell of baby powder floating from a cubicle? Though still rare and often controversial, some employers are welcoming “parenting in the workplace” on a continual or as needed basis in an effort to speed the return of and retain talented employees with newborns. More than 80 companies nationwide are allowing their employees to bring their baby to work.

Most commonly applied to six-month-olds and under, parents participating are allowed to bring their little one with them to work, provided they are getting their work done and not disrupting the workplace. Both can be difficult to manage, whether it be due to a screaming tot or the flood of other employees stopping by to snuggle the youngest of interns. The six-months-and-under rule is aimed at addressing the period from birth, when daycare costs are highest and many mothers are nursing, to when the baby becomes mobile, and thus harder to entertain in a small space.

Absenteeism in new parents tends to decrease amongst employees participating in such a program as many parents have to take the day off work when their nanny or daycare provider falls through. Many parents offered the option to bring their newborn to work return from leave much more quickly, balancing their desire to return to work with the reluctance to be apart from their baby. A “bring your baby to work” policy also decreases the chance that an employee will opt not to return to work on the heels of their parental leave, as the transition can be eased considerably by bringing the baby to work.

A major consideration is the workplace itself, its suitability and safety for babies. Offices better lend themselves to baby care and privacy than cubicles. The nature of the work performed by the parent and their office neighbors is another factor. Heavy in-person or phone customer service can become difficult when juggling a wailing five month old.

When it works, employers find they see increased loyalty from their staff; parents and non-parents alike who appreciate the efforts their company makes to assist in the balance of work and home life.

By Molly Kelley
Xenium

DHS Abandons Social Security No-Match Rule

Department of Homeland Security ("DHS") Secretary Janet Napolitano, on Wednesday, July 8, 2009, announced the DHS's intention to rescind the Bush-era Social Security No-Match Letter rule. The No-Match letter rule established a 'safe harbor' procedure that would have established a 90-day window for employers to resolve employment eligibility issues or terminate the employee in question. The No-Match rule has never been implemented due to a court order and legal challenge still pending in the U.S. District Court for the Northern District of California.

In addition to announcing the rescinding of the No-Match rule, Secretary Napolitano also announced the Administration's support for the federal contractor E-Verify rule that is due to be implemented on September 8, 2009. E-Verify is the free internet-based employment eligibility verification system operated by the U.S. Citizenship and Immigration Services ("USCIS") division of the DHS in cooperation with the Social Security Administration. For additional information regarding the federal contractor rule click here.

In commenting on this support for the federal contractor rule, Secretary Napolitano said, "E-Verify is a smart, simple and effective tool that reflects our continued commitment to working with employers to maintain a legal workforce. Requiring those who seek federal contracts to use this system will create a more reliable and legal workforce." This move to implement the federal contractor rule, in addition to the recently announced Immigration and Customs Enforcement I-9 audit initiative, continues to underscore this Administration's efforts to direct immigration law enforcement activities at employers.

If you are an employer who will become subject to the new federal contractor rule, you should begin now to enroll, train, and acquaint yourself with the new federal contractor rule. While the E-Verify system is relatively easy to operate, the ultimate responsibility for compliance with the terms and conditions of use has numerous pitfalls associated with it that employers need to understand. You should consult with competent legal counsel for assistance.

Although the announcement is good news regarding the No-Match rule, employers who will be subject to the new federal contractor rule need to review their internal policies and procedures now to ensure compliance by the rule's effective date, September 8, 2009. And all employers must still be vigilant in completing the Employment Eligibility Verification Form (I-9) to ensure compliance and to avoid possible civil and criminal penalties. Employers should:

• Conduct an annual audit of the I-9 process and the I-9 records to identify and correct errors;
• Conduct annual training of personnel assigned the duty to administer the I-9 process for an employer;
• If enrolled in E-Verify, make sure that the proper posters are prominently displayed or otherwise given to job applicants or new hires;
• Ensure that the current version of the I-9 is used and completed within the established timelines; and
• Consult with competent legal counsel before taking an adverse employment action against any employee related to the I-9.

Written by Ron Guerra, member of Jordan Schrader Ramis's Employment Law practice group. Ron can be reached at 503-598-5540

Copyright 2009 Jordan Schrader Ramis PC. All rights reserved.