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.
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.
True or false: Employees are either creative or they’re not—creativity isn’t a skill you can teach. False. Managers can play a key role in creating an environment in which employees will want to look for new ideas. Share this article with your supervisors to help tap employee creativity.
As the recession drags on, many employers have begun trimming compensation. If you plan to cut pay for exempt employees, do so with care. Handle it wrong, and you could run afoul of the Fair Labor Standards Act, the federal law governing wage-and-hour practices. The worst-case: Cutting pay and hours could turn exempt employees into nonexempt hourly workers.
The state legislature is considering a bill that would require all employers to provide up to 12 weeks of paid time off so employees can tend to very ill family members or take care of newborns or newly adopted children.
Q. One of my employees who recently quit has failed to pay back a personal charge he made on our corporate credit card. Can I simply deduct the amount of the charge from his last paycheck or withhold his final paycheck until he pays for the charge?
Exotic dancers at suburban Minneapolis’ King of Diamonds club pay the club a fee of $20 to $100 every night they work. King of Diamonds maintains the dancers are independent contractors and “pay for the pole” in order to earn tips. The club does not pay them an hourly wage. Attorney E. Michelle Drake sees things differently.
Q. We have some employees who are earning the maximum salary for their job classifications. Can we cut their pay if we feel they’re overpaid?
If you employ seasonal labor, import employees from other countries and make payroll deductions for their equipment and transportation, you may want to hire an expert in visas and seasonal labor. That’s what saved one employer from double damages and an extra year of liability.
The journal Chief Executive again rated its 20 best companies for leaders last year, with 3M shooting up to the top from 15th place the year before. One thing that may account for 3M’s rapid rise was a greater reliance on peer assessment.
The Lilly Ledbetter Fair Pay Act was designed to ensure pay equity for women. It does a whole lot more than that! Learn how this landmark legislation affects all protected employee classes and could influence your employee benefits program.