Compensation and Benefits

Compensation and benefits topics – whether it’s minimum wage, workers’ compensation laws, or employee pay – if properly handled, can help you retain workers and recruit new ones.

Use our advice to craft independent contractor agreements that keep independent contractors – and your bosses – happy.

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Q. We’ve started requiring employees to repay (through payroll deduction) training costs if they quit or are fired within one year. Are we OK legally?

The U.S. Department of Labor has cited nine blueberry farms and 17 labor contractors for violations of child labor laws, the Fair Labor Standards Act and the Migrant and Seasonal Agricultural Worker Protection Act (MSPA). The farms and contractors operated in Bladen and Craven counties.

A recent federal court decision means you’ll now have to go the extra mile to prove that your worker is an independent contractor, not an employee. Advice: Take steps to document exactly why you believe someone is an independent contractor when you begin using his or her services.

Dr. Walter Broadnax, owner of Cincinnati’s Pain Group, will serve five years’ probation and pay $56,246 in restitution to the state Bureau of Workers Compensation.

Wouldn’t it be great if you could just turn your employees into independent contractors? That way, you wouldn’t have to pay unemployment compensation taxes, provide workers’ compensation insurance and so on. But California courts are quick to zap employers that wrongly convert employees into contractors.

The FLSA requires employers to pay the minimum wage and the correct amount of any overtime. Violate the law and you’ll have to pay double what you owe—unless you can show you acted in good faith and with the reasonable belief that you were following the law. That’s a tough sell unless you can show you followed legal advice.

Q. Our company is hiring temporary workers for a big upcoming job. Do we have to treat them as employees?

As with many other federal employment laws, the Fair Labor Standards Act includes a retaliation provision that protects workers who complain that their employer has violated the law. Until recently, it wasn’t clear what kinds of complaints actually triggered the FLSA’s protections. That’s now changed.

WRS Compass is the latest company to face an EEOC lawsuit after failing to rein in workplace racial harassment. According to the complaint, one black worker found a noose on his steering wheel, and a white employee displayed a noose on his car. When workers complained, a white supervisor replied, “Maybe, he just likes nooses.”

If you read only headlines, you may think U.S. employers are slashing employee benefits to the bone. Not so. But the weak economy is forcing organizations and their employees to make some tough choices, particularly in compensation and benefits. Here are seven key HR trends to look for, plus tips on how to respond.

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