The Organization Chart

What is an organization chart? Let’s define it as a formal system of relationships that exist within a business. My question to you is: Can a business survive without an organization chart or defined structure?

I am a firm believer that employees need to be aware of an organizations structure. This is necessary to allow employees to identify key stakeholders and their relationships. How do we relate to each other? What is my authority? What are my responsibilities? An organization chart will allow an organization to establish a clear chain of command, responsibilities and reporting relationships. In the absence of an organization chart to clarify relationships, illogical and confusing ones will develop.

James Gibson, John Ivancevich, and James Donnelly in Organizations: Behavior, Structure, Processes claim; "In many instances, small firms that do rather well in the early stages of their development begin to fail when the founders can no longer manage in their personal styles. The transition from successful small firm to successful large firm is impaired because the employees are doing jobs that fit their personality and unique skills rather than jobs necessary for organizational performance. Organization charts and supporting documents are necessary from the very beginning of a firm's existence, not just when it gets too big for one person to manage."

Let’s talk about a flat organization for just a moment. A “flat organization” is defined as one with few or no levels of intervening management between staff and managers. The theory is that a flat organization will encourage autonomy and self-direction and focus on empowering employees versus adhering to the chain of command. Less supervision = increased involvement in the decision making process.

Company D is a flat organization in the truest sense of the word with 50+ employees that report into a single individual. Oh, there may be one or two people here or there with titles indicating another level of management and related subordinates. But their ability to make decisions is seriously impeded. Any and all decisions are only final when viewed by the top of that rather flat pyramid.

With Company D I have observed an environment in complete confusion. Employees are taking instructions from multiple individuals and there is no clarity with respect to responsibility. Oftentimes directions are contradictory and deadlines are confusing, all causing a negative impact on productivity.

Actual feedback from employees:

Q: What would you improve to make our workplace better?
A: Have an actual organization chart.
A: Communication and a basic company structure.
A: No current structure to follow.
A: General structure needs to be revamped.
A: Defined roles.

Q: Do you have any ideas for improving communication in this company?
A: Having an actual supervisor. . . .

Q: What is your opinion of the opportunity of advancement?
A: There is no organizational structure that would facilitate upward movement or opportunity for advancement.

Clearly these employees have recognized a lack of organizational structure and are experiencing difficulties in their roles. As an employer, take the time to talk to your employees. They may provide you with some valuable insights into your organization!

Thompson v. North American Stainless, LP

It's been almost a year since the US Supreme Court reached a decision that "association discrimination" is a valid Title VII cause of action. The court held that such "retaliation extends to adverse employment actions taken to punish an associate of a person who made a discrimination complaint, such as a family member or other person within the zone of interests protected by Title VII."

Miriam Regalado, an employee of North American Stainless, filed an EEOC charge alleging that her supervisors discriminated against her based on her gender. Three weeks later her fiance, Eric Thompson, was terminated by the company. Eric Thompson filed his own EEOC claim alleging that his termination was in retaliation of his fiances EEOC charge.

Section 704(a) of Title VII forbids an employer from retaliating against an employee because s/he engaged in certain protected activity. Under Thompson v. North American Stainless, the following questions were asked:

1. Does section 704(a) forbid an employer from retaliating for such activity by inflicting reprisals on a third party, such as a spouse, family member or fiance, closely associated with the employee who engaged in such protected activity; and,

2. If so, may that prohibition be enforced in a civil action brought by the third party victim?

The U.S. Supreme Court unanimously held that if Thompson's alleged facts are true, then firing him was an unlawful retaliation under Title VII.

Thompson v. North American Stainless, 131 S. Ct. 863 (2011).

File Retention Requirements

It's the end of the year. If you're like me, we have the "out with the old and in with the new" mentality. Unfortunately for both HR and Payroll professionals alike, there is documentation that has specific retention periods mandated by law. If you don't remember, here's a bit of a refresher for you:

• Hiring. Under Title VII, job applications and resumes must be kept for one year from the date of submission, and pre-employment tests must be kept for one year from the date of the test. The Immigration Reform and Control Act requires Form I-9 to be retained for three years from the date of hire or one year after termination, whichever is later.

• Termination. Documents related to layoff, recall, and reduction-in-force must be kept for one year from the date of the action as per Title VII.

• Promotion and demotion. Title VII also stipulates that records of promotions and demotions must be kept for one year from the date of the action.

• Work hours. Under the Fair Labor Standards Act, time sheets or time cards must be kept for two years after the record is made.

• Leave. Under the Family and Medical Leave Act, records of the dates of leave taken under the Act must be kept for three years.

• Accommodation. Requests for reasonable religious accommodation must be kept for one year after the record is made as per Title VII. Under the Americans with Disabilities Act, requests for disability-related reasonable accommodation must also be kept for one year after the record is made.

• Training. Under Title VII, documents related to the selection of employees for training opportunities must be kept for one year.

Happy Holidays!

2012 Unemployment Tax Rates

Some good news! The TWC presented Texas employers with some good news this holiday season when the 2012 unemployment tax rates were released. The new unemployment rates show a decrease over the prior year. The tax rates range from .61 to 7.58 percent on the first $9,000 in wages paid to each employee down from a range of .78 to 8.25 percent.

For more information, go here: http://www.twc.state.tx.us/ui/tax/unemployment-tax-rates.html

The Holiday Blues (or Bah, Humbug!)

Sing along (to the tune of “Let It Snow”)

Oh, the world outside is frightful,
and everyone seems so spiteful.
But since it’s no way to grow,
let it go, let it go, let it go.
The stress, it is not stopping,
and my heart it feels like popping,
But before I hit an all time low,
I let it go, let it go, let it go.*

*written by REACH Employee Assistance Program Specialist Mike Verano. Yes I borrowed it, I have no shame.

The holiday season has arrived and with it comes parties, shopping and spending time with our families and friends. Unfortunately the holiday season is also a time when depression and stress are more prevalent. (Holiday stress is highly predictable and largely preventable. Just in case you missed it, this happens about the same time each year.)

As an employer, you can control some of the variables that create the holiday season stress for your employees. And remember, as a business owner, CEO or manager, you need to be concerned about not only your employees’ stress levels during the holidays, but your own!

During the holidays, we may see a visible drop in productivity as employees are simply more focused on the multiple distractions that come with the holiday season. But as an employer, your concern is about the projects, deadlines and other company obligations. If possible, try to scale back those projects and commitments until the first of the year. Take a look at how you may prioritize the existing commitments and focus on those that are most significant. Try to work around your employees' schedules, their holidays and vacations.

In a 2011 survey by Accountemps, 39% of employees say managing their workloads can be difficult during the holiday season. 41% say their workloads are already too heavy. Accountemps offers five “gifts” employers can offer to their employees during the holiday season:

• Support: Ensure resources are in place for the staff to successfully complete their projects and consider adding skilled temporary staff to help with key initiatives and maintain productivity.
• Time: Encourage staff to leave early on a Friday or take an occasional long lunch to attend to errands.
• Flexibility: Offer flexible schedules or telecommuting options to staff whose jobs have that capability. This helps employees better balance their work and life demands.
• Thanks: Let staff members know they are appreciated for their work throughout the year.
• Fun: Don’t let the office environment become too serious. A department celebration, such as a group lunch or gift exchange, can help build camaraderie.

Whether you are an HR professional, CEO, or Manager, we all need to remember and have the attitude that a worker’s personal life matters.

Happy Holidays!

People Leave Managers, Not Companies

Over the last 2 months I have seen 5 employees voluntarily terminate from Company X. In each instance the decision was made by the employee with a clear-headed purpose and what appeared to be a great deal of thought and consideration. Each employee provided two weeks’ notice and ensured that their projects were successfully handed off to a co-worker prior to their departure. You couldn’t ask for more.

Yes, I could.

Any employer should immediately ask what is causing this loss of valuable skills and knowledge? And, what steps can I take to stop it? (Two of those individuals opted to leave without the benefit of a new position. In today’s economy, that is frightening.)

In each instance these employees were open to sitting down and discussing what motivated their decision to leave. Each individual indicated that their number one reason to leave Company X was poor leadership. When asked; “Would you recommend working for this company to your family and friends” the answer was, “not at this time.” In each area of our conversation, communication and leadership was ranked at the lowest possible mark.

In 2005 Leigh Branham published the book, The 7 Hidden Reasons Employees Leave: How to Recognize The Subtle Signs and Act Before It Is Too Late. The book provides some interesting information that truly brings to light the disconnect between managers and employees. “ . . . 89% of managers believe that employees leave for more money. But, in fact, the survey found that 88% of the employees leave for reasons other than money.” It has often been stated that employees leave managers, not companies. If you review the below 10 most frequently mentioned issues, you will find that that appears to be the case!

The 10 most frequently mentioned issues that employees say companies do poorly are:

· Poor management—uncaring and unprofessional managers; overworking staff; no respect, not listening, putting people in wrong jobs; speed over quality; poor manager selection processes.
· Lack of career growth and advancement opportunities—no perceivable career paths; not posting job openings or filling from within; favoritism or unfair promotions.
· Poor communications—problems communicating top-down and between departments; after mergers; between facilities.
· Pay—paid under-market or less than contributions warrant; pay inequities; slow raises; favoritism for bonuses/raises; ineffective appraisals.
· Lack of recognition—that says it all.
· Poor senior leadership—not listening, asking, or investing in employees; unresponsiveness and isolation; mixed messages.
· Lack of training—nonexistent or superficial training; nothing for new hires, managers, or to move up.
· Excessive workload—doing more with less; sacrificing quality and customer service for numbers.
· Lack of tools and resources—insufficient, malfunctioning, outdated, equipment/supplies; overwork without relief.
· Lack of teamwork—poor coworker cooperation/commitment; lack of interdepartmental coordination.

Whether you are Company A or Company X, as a manager there are questions that you should ask: What is the rate of our employee turnover? Are we loosing valuable employees? Is there a steady stream of exiting employees? Why are they leaving?

Communicate with your employees, while they are still your employees. Don’t wait until you begin experiencing a high rate of turnover to realize that you have a problem. Managers must take steps to improve their listening skills and to encourage ongoing, meaningful interaction with their team members. Listen to employee concerns and be prepared to act on them.

Resumes and Acknowledgement Letters

On February 2, 2010 I blogged about How HR Fails in Recruiting. In that blog I stated. . . “If you want your company to have a positive reputation in the community, take a moment out of your day to close out the interview process with the applicant. So they didn’t make your shortlist. While they may be disappointed - they will be appreciative of the closure.”

I recently began recruiting for an admin role and as a result, have been wading through the avalanche of resumes that I have received. As with any recruiting process you are going to receive resumes from individuals that don’t meet the basic requirements of the position. But who can fault them for trying? In this situation I had 16 applicants right off the starting line that didn’t have the skill set I was seeking. So, as I always take my own advice, I sent them each emails thanking them for considering a career with Company X. Of the 16 applicants, 7 have responded back thanking me for simply acknowledging their application. One candidate, LF, sent the following email which I provide verbatim:

Thank you for your consideration, and your response. So many don't bother to respond, so it's comforting to know that someone really did take the time to consider me for a position to which I applied, and that you'll keep my application for a while should something else become available for which I could be considered.

Yes, applicants are appreciative of knowing that there is a living, breathing, thinking entity at the receiving end of the application process. With that being said, I have to give a big, hearty, thumbs up to Actuant Corporation. During their initial application process they respond back to each and every applicant as follows:

While we are unable to secure personal contact with every applicant, we make the following commitment to you:

1. Every effort will be made to match your background and professional skills against current and anticipated needs.
2. You will be informed as soon as a decision is reached if there is a next step in the process.
3. We cannot guarantee every applicant an interview, but we can promise that we will treat each person as we would wish to be treated ourselves.

Thank you for contacting Actuant Corporation while considering your next career move.

I recently read an article that said "If you send in an email and there is no response, translate this as they are not interested." Whether or not this is the case, I feel every employer should show common courtesy and a bit of class. A response to an applicant takes a moment of your time. The positive impression is forever!

EEOC Update

The EEOC received a record 99,947 charges of discrimination in fiscal year 2011, which ended Sept. 30, the highest number of charges in the agency’s 46-year history. EEOC staff also delivered historic relief through administrative enforcement—more than $364.6 million in monetary benefits for victims of workplace discrimination. This is also the highest level obtained in the Commission’s history. The fiscal year ended with 78,136 pending charges—a decrease of 8,202 charges, or ten percent. In previous years, the pending inventory had increased as staffing declined 30 percent between fiscal years 2000 and 2008.

“I am proud of the work of our employees and believe this demonstrates what can be achieved when we are given resources to enforce the nation’s laws prohibiting employment discrimination,” said EEOC Chair Jacqueline A. Berrien. “The EEOC was able to strategically manage existing resources and take full advantage of increased resources in the past two fiscal years to make significant progress towards effective enforcement of the nation’s civil rights laws.”

Due to EEOC’s enforcement programs in both the private and federal sectors, 5.4 million individuals benefitted from changes in employment policies or practices in their workplace during the past fiscal year. Additionally, EEOC’s public outreach and education programs reached approximately 540,000 persons directly.

The agency continued to build a strong national systemic enforcement program. At the end of the fiscal year, there were 580 systemic investigations involving more than 2,000 charges under way. EEOC field legal units filed 261 lawsuits—23 of which involved systemic allegations affecting large numbers of people; 61 had multiple victims (less than 20); and 177 were individual lawsuits.

The EEOC enforces federal laws prohibiting employment discrimination. Further information about the Commission is available on its web site www.eeoc.gov.

Returning Heroes Tax Credit

On November 22, 2011, the President signed a bill into law that will provide tax credits to employers that hire veterans. Under the American Jobs Act, the "Returning Heroes Tax Credit" and the "Wounded Warriors Tax Credit" will provide tax credits from $5,600 to $9,600 to employers to encourage the hiring of unemployed veterans.

In October of this year, the unemployment rate for military veterans who joined the service since the terrorist attacks of September 11th was 12.1%. That 12.1% = 850,000 veterans who can not find work. Unemployment among the veterans of the Iraq and Afghanistan wars continues to climb as a result of the surge of returning soldiers.

It's time that we gave back!

OSHA and Black Friday

I’ll admit that I’m a shopaholic. While I do enjoy “stalking” those great sales, I avoid the Black Friday shopping crowds. (Unless you have been living under a rock, you know that Black Friday refers to the annual day-after-Thanksgiving sale among retailers.)

But for those of you that brave the Black Friday crowds, OSHA is concerned about you and your safety. In 2008, a 38 year-old New York Wal-Mart employee was trampled to death after a stampede of Black Friday shoppers rushed into the store. Almost one year later, in the wake of the Wal-Mart tragedy, OSHA issued crowd control guidelines for retailers.

"Crowd control is critical to preventing injuries and deaths," said OSHA Assistant Secretary Dr. David Michaels. "These incidents can be prevented by adopting a crowd management plan, and this fact sheet provides retail employers with guidelines for avoiding injuries during the holiday shopping season." (A link to the fact sheet is provided below.)

The Occupational Safety and Health Administration (OSHA) has issued guidelines that are aimed at helping store-owners, and their employees, to eliminate safety hazards. These OSHA guidelines fall into four different categories; Planning, Pre-Event Setup, During the Sales Event and Emergency Situations. Below is a brief review of those guidelines.

Planning: Have trained security or crowd management personnel where large crowds are expected. Create a detailed staffing plan designating the location of each employee. To ensure safety, determine the number of employees that are needed throughout the store, based on the size of the crowd expected.

Pre-Event Set Up: Have barricades or rope lines for crowd management in place prior to the event. The barricades should not start at the entrance to the store to allow for better control of the entrance. Have barricades set up with breaks and turns at regular intervals to reduce the risk of customers pushing from the rear and causing injury to those customers in front.

During the Sales Event: Staff entrances with safety personnel. Have a communication system (e.g., public address system) to manage the crowd, to communicate problems, etc. Announce both internally to employees and externally to customers when the doors are about to open.

Emergency Situations: Do not block or lock exit doors and/or restrict egress. Have an emergency medical response plan in place. Have first aid kits, etc., and personnel trained in their use, on site.

OSHA's role is to ensure safe and healthful workplaces for all employees. Even us shoppers!

https://www.osha.gov/OshDoc/data_General_Facts/Crowd_Control.html.

Age Discrimination in Employment Act

Company Fired Employee on His 70th Birthday Under Illegal Mandatory Retirement Policy, Federal Agency Charged.”

Earlier this week the EEOC issued a press release regarding a lawsuit they filed in November of last year. According to the EEOC suit (Civil Action No. 4:10-cv-04783 in U.S. District Court for the Southern District of Texas, Houston Division), Metallic Products Corp. had an unlawful mandatory retirement policy in place. The policy required that employees retire once they reached 70 years of age. The employee, Jeronimo Vidals, was advised prior to reaching his 70th birthday that he would be required to retire. Then his birthday rolled around and he was fired pursuant to the unlawful mandatory retirement policy.

The Age Discrimination in Employment Act was signed into law in 1967. Under ADEA, employers are forbidden to refuse to hire, to discharge, or to discriminate against anyone with respect to the terms, conditions or privileges of employment because of the person’s age. The law covers workers who are 40 years of age and older. And, the employer must have at least 20 employees to be covered by ADEA. It is important to note that age discrimination involves more than hiring and firing. It also can include violations such as salary reductions applied unfairly to older employees.

The EEOC and Metallic Products Corp. reached an agreement this month. That agreement cost Metallic Products $60,000 to settle this age discrimination suit. As part of the settlement, Metallic Products is required to rewrite all policies, handbooks etc., eliminating any reference to the unlawful policy. Additionally, a bit of training is in store for all personnel that make employment decisions at Metallic Products Corp. And I mean personnel all the way up the chain to their Board of Directors.

From a logical standpoint, as the workforce in the USA continues to mature, age discrimination is going to be of increasing concern. As an employer you should review your policies carefully. If you have a mandatory retirement policy in place, there is a BIG chance that it is going to be in violation of ADEA. There are exceptions, but they are rare, that an employer can force an employee to retire at a specific age (e.g. airline pilots*). Additionally, employers are allowed to apply age limits to certain jobs. However, it is often very difficult for an employer to prove age requirements. Such limit must be based on what is called a “bona fide occupational qualification (BFOQ). In this instance, for example, some physical aspects of the job could not be performed by people of certain age groups.

As an employer, you should have a clear HR policy that reflects the company philosophy, and actions for enforcement, on age discrimination. As with any policy, always ensure that it is consistently applied. Clearly communicate the policy to all employees, frequently, and ensure that your managers and supervisors understand, support and enforce the policy. Where necessary, provide training to all employees so that employees can recognize the various forms of age discrimination and respond properly. Review your policies, statements, job advertisements, etc., for any potential form of age discrimination. Ensure your applicant screening process and interview process is consistent with all candidates. Please remember, employers should always hire a person based on their skills and abilities. Nothing more, nothing less.

* In 2007 President Bush signed a bill raising the retirement age for commercial pilots to 65 from 60. (Public Law 110-135)

Felony Convictions and the Hiring Process

I had a question posed to me today; ". . is there a problem with stating because of the felony we can not hire them?" In this situation the manager terminated the interview immediately upon learning that the candidate had a criminal history.

What, as an employer, should your practice be? You can refuse to hire such an individual provided you comply with EEOC guidelines regarding consideration of those convictions. The EEOC requires employers to consider three factors:

1. The nature and seriousness of the crime.
2. How long has it been since the conviction?
3. What is the type of job at stake?

Employers should consider the following as a practice: "Affirmative findings will not automatically disqualify an applicant from employment, unless the prior conviction bears some reasonable relationship to the nature of the employment. Conviction records could be cause for rejection if their number, nature, and proximity would cause the applicant to be unsuitable for the position."

The TWC provides some excellent advice for the employers; "EEOC Issues with Background Checks: Basically, EEOC takes the position that because statistical evidence shows that a higher percentage of minorities than non-minorities has had financial or criminal history problems in the past, taking an adverse job action based upon such factors has an disproportionate and unfair impact (in EEOC terms, "disparate impact") upon minorities, and the burden will be on the employer to show a legitimate, job-related reason for taking the adverse job action.

EEOC expects employers, prior to turning someone down for a job or promotion who has had an unfavorable credit or criminal history report, to do an individualized job-relatedness determination. That means that before turning down someone for a job on the basis of a credit report or criminal history problem, the employer must be able to show that it considered the specific problem and determined that it would not be a good idea or prudent course of action to hire that specific person for a particular position."

In closing, ensure that your hiring practices are EEOC compliant!

FLSA Violation

Back on August 30th I discussed FLSA and Overtime. I stated that "there are other areas that may require compensation or overtime." One example was "preparation before shift or clean-up after shift."

Something in the news for you. Hilton Reservations and Customer Care agreed to pay $715,507 in minimum and overtime back wages. This was after an investigation by the U.S. Department of Labor's Wage and Hour Division. Seemed that Hilton owed the money to over 2,600 current and former customer service employees. The "former employees alleged that they weren't paid for work they did before clocking into their shifts. This included: booting up computers, opening programs, and reading pertinent emails." If the time was not included in their hours, the employees were missing out on overtime.

Employee Stress / Burnout

Futures Quest states “U.S. Companies are increasingly being accused of fostering a work environment which demands dedication, time and energy to the exclusion of an employee’s personal life.” When organizations focus on achieving maximum productivity, oftentimes at the expense of the employee, stress and burnout happens. Yes, there are certain jobs and professions that suffer more from stress and burnout than others. But in the “right” environment, and when I say “right” I mean “wrong," all employees face potential stress and burnout. Are you, (employer or employee) seeing this in your organization?

There are many factors that contribute to creating an environment of stress and burnout. We have all at one time or another found ourselves in an environment where there have been impossible and/or constantly changing requirements or demands made of us. The organization suffers from poor management, the employees from lack of direction, resources or support. When an employee perceives that the organization does not treat them with respect or dignity, demoralization occurs. Stress is a direct result. Stress, followed by burnout. The extinction of motivation or incentive. Yup.

When employees are driven beyond reason, stress and burnout occur.

How does burnout manifest itself?

• Negative attitude
• Persistent irritability
• Frustration
• Indifference to work
• Anger / sarcasm
• Exhaustion
• Increased absenteeism

Let’s talk about the impact stress has on your health. The boss calls you into the office and you know it isn’t going to be a pleasant conversation. Stress sets off an alarm in your brain. Your nervous system goes into overdrive and hormones start pumping. Your pulse and respiration deepen and your muscles tense up (clenched fists, tightened jaw). Your body is reacting to all of this in an effort to remove you from a bad situation. Remember that old “fight or flight” response? That’s what you are experiencing. We are all hardwired for this response. You, me and even Moe. It doesn’t matter who we are, our physiological response is the same. The problem here is that this response isn’t intended to be long term. And unfortunately, it often is. Our bodies are in a constant state of agitation and the impact on our health is easily apparent.

I went out to the CDC website and found a couple of interesting points that I want to share. The Bureau of Labor Statistics indicates that workers who must take time off from work because of stress, anxiety or related disorders, take about 20 days. Direct impact to the bottom line there folks. Also, health care expenditures are nearly 50% greater for workers who report high levels of stress (Journal of Occupational and Environmental Medicine).

Lifehacker.com recently blogged about “Burnout and How To Deal With It.” All I can say is I love his style. “For the individual it is imperative to think of number 1, if you find yourself in a situation like this, issues (and likely people) way beyond your control have dumped a crap pie in your lap. If at any point you have a CEO or senior manager sit you down to grill you about everything you did wrong in their eyes, leave immediately ….. seriously get out. You’re in a situation where you are sacrificing yourself and things in your life for the sake of an organization that obviously doesn’t care about you, so return the favour and just stop, and take care of yourself and ignore them. Unless you’re a single contractor or the CEO, it’s not your fault.”

Lifehacker sounds like a person that has had first hand experience with burnout.

In closing, stress and burnout = turnover. Those employees just resign and go elsewhere, seeking a better environment. And yes, that impacts the bottom line of any organization.

EEOC: Texas Road House & Bass Pro Litigation

Yes, the EEOC is watching!

Texas Roadhouse Litigation
The EEOC has sued the nation-wide Texas Roadhouse chain of restaurants for employment discrimination, claiming that Texas Roadhouse did not hire people age 40 and older because of their age.

If you believe you may have been denied a front of the house position -- such as server, hostess/host, bartender, etc. -- at Texas Roadhouse because of your age or if you have any information that would be helpful to the EEOC’s suit against Texas Roadhouse, contact the EEOC toll free at (855) 556-1129 or by e-mail at texasroadhouse.lawsuit@eeoc.gov.

Bass Pro Litigation
The EEOC has sued Bass Pro Outdoor World for employment discrimination claiming that it did not hire people because of their race (African-American or black) or national origin (Hispanic or Latino).

If you applied for a job at any Bass Pro location and think you may not have been hired due to your race or national origin; or if you have any information about the EEOC's lawsuit, please contact the EEOC at this special phone number toll free (855) 857-8747 or by e-mail at Basspro.lawsuit@eeoc.gov

That "Two Weeks Notice" Request

Your employee has handed in his/her resignation and has provided you with two weeks’ notice. What happens if you tell an employee to leave prior to the end of that two week notice period? Are you obligated to pay the employees? Oftentimes employers may have legitimate reasons for releasing an employee early. There may be concerns about security, confidential information, employee loyalty or even productivity (you know, that “short-timers syndrome”).

There are a couple of reasons to voluntarily pay for this notice period.

1. A termination action sends a negative message to the balance of the workforce. What is that message? Well, to the employee it becomes “you give your notice, you may be penalized.” In this instance, morale is hurt and your chances of receiving advance notices in the future may be diminished. If employees quit without notice there’s disruption to the business – you can’t transition the tasks/projects effectively to a secondary employee nor do you have any idea of the status of those tasks/projects, etc.

2. If you tell the employee to leave without pay, after notice has been given, this action may turn a voluntary resignation into an involuntary resignation. The down side is the employee may become eligible for unemployment benefits.

3. How about, it’s just plain good manners? If the employee has the courtesy to offer you notice and you're unable or unwilling to allow them to work out the time, it's rude not to provide them with the pay they would have gotten if they did.

Body Language and You

Getting ready for that performance review? Well before you do – have you looked in the mirror lately? No, not at your hair, or what you’re wearing. But at your body language. Do you know what your body language is communicating? Sometimes we are so intent on “reading” that other person that we overlook what impression we’re giving.

Body Language: Your legs are crossed and you’re shaking the leg on top. Whats the message? Well, you’re uncomfortable and nervous, or maybe bored and impatient. Keep the leg still. Show confidence and engagement during the meeting.

Body Language: Drumming your fingers or rubbing your face. The message is that you’re annoyed. This annoyance may be catching. The other individual in the room may become annoyed as well making for a negative experience for all! If you’re truly annoyed, try hiding it!

Body Language: Leaning back, arms across your chest or resting your ankle on the opposite knee (hopefully not the ladies!). The message here is that you’re judging the person in the room. Or, you’re skeptical. Like the example above, this can spark a negative reaction from the individual you are communicating with. Remember to keep your arms down and your feet on the floor.

Body Language: Too much smiling. While smiling is welcoming and is meant to put people at ease, sometimes it can create a perception that you’re not taking the other person seriously. Alternatively, that you’re laughing at them. Try, periodically, to have a more serious face.

Body Language: Pointing your feet or leaning your body towards the door. The message you may be conveying is that you have other work to do, you need to get out of the room, and you aren’t fully engaged in the conversation. Give the other person your full focus. Point your body towards them and show engagement in the conversation.

Body Language: Leaning back while clasping your hands. This type of gesture makes you appear completely disinterested in the individual and the conversation. And, if the perception is that you don’t care, the other individual won’t care. That conversation is pretty much worthless. Best bet? If you’re seated at a desk, lean slightly forward and keep your hands in your lap or on the desk.

Yes, body language communicates a lot. Make sure it conveys the right message!

FLSA Anti-Retaliation Provision

On March 22, 2011, the Supreme Court ruled that written and oral complaints are valid under the Anti- Retaliation Provision of the Fair Labor Standards Act. (See Kasten v. Saint-Gobain Performance Plastics Corp.) It was held that “the scope of statutory term “filed any complaint” includes oral, as well as written, complaints.”

“While the written complaint is clear, the oral complaint must also be “sufficiently” clear and detailed for an employer to understand it. Therefore, the content of the complaint and the context of the complaint, even oral complaints, must be clear enough to the receiving party; and such oral complaints are protected activities under Title VII.” Please bear in mind that as with a written complaint, an oral complaint becomes an actionable item and Human Resources must respond to it.

How does a retaliation case happen?

1. An employee complains about his/her civil rights under Title VII; remember; now oral complaints are valid.
2. His / her employment status is negatively impacted by a demotion, transfer, layoff, or termination.
3. With the adverse employment action, there is now a potential for a retaliation charge.

Be aware that courts have ruled that the "anti-retaliation" FLSA provisions are designed "to foster an environment in which employees are unfettered in their decision to voice grievances without fear of economic retaliation or reprisal.”

This statute applies to a wide variety of employer, retaliatory, actions beyond a simple termination case. Actions such as assigning employees to unpopular job duties or shifts, giving poor performance evaluations, less than standard or no pay raise, disciplinary actions out of proportion to standard and historical disciplinary practices, reduced job responsibilities, etc.

As an employer, ensure employees are trained properly with respect to handling employee complaints as well as the investigation procedures to promptly address any complaints. And no less important, review your policies!

I-9 Woes

The Immigration and Control Act of 1986 (IRCA) legally mandates that all US employers verify the employment eligibility status of newly-hired employees. Under IRCA, all employees, citizens, and non-citizens hired after November 6, 1986 must complete a Form I-9 at the time of hire. Now, if the employee was hired PRIOR to November 6, 1986 and has been continuously employed by you, they won’t need one. (Note that independent contractors are not subject to the I-9 requirements. However, if you know that the individual lacks work authorization, retaining the contractor will constitute a violation of IRCA.)

There seems to be a lot of confusion surrounding I-9 compliance. Here are some general questions I seem to hear a lot:

1. Is there a timing issue associated with the completion of the I-9? Yes. The form must be completed for each employee within three days of the start of employment. Make sure the employee signs the form. Once the employee has done so, s/he becomes responsible for the accuracy of the information provided.

2. May I copy documents presented as I-9 supporting documentation? The law doesn’t require, nor prohibit copying documents for this purpose. However, if photocopies are made, they must be made for all new hires.

3. What do you do if you have a missing form or documentation? Immediately request that the employee complete a new form and submit supporting documentation. Do NOT post date the document! When an employee cannot provide acceptable documentation, you become aware at that time of the individual’s ineligibility to work. You may be subject to penalties for ‘knowingly’ continuing to employ a worker under such circumstances.

4. Can you fire an employee who fails to produce the required document(s) within three business days? Yes. However, ensure you apply this practice uniformly to ALL employees. If an employee provides a receipt for a replacement document, such as a Social Security Card, they must produce that document within 90 days of the date employment begins.

5. Are there penalties? Yes. If an employer knowingly hires and/or continues to employ unauthorized workers, the penalties can range from $250 to $11,000 per violation. For paperwork that is improperly completed, retained, etc., the fines can range from $100 to $1,100 per individual I-9.

A year ago Abercrombie & Fitch (who seem to have a lot of personnel/HR issues) was fined $1,047,110 for their “electronic I-9 deficiencies.” These fines are from an audit that A&F underwent, and failed, in November 2008 for their stores located in Michigan. Disney Corporation was fined over a quarter of a million dollars for I-9 paperwork violations. Denny's Restaurants Inc. paid fines and retrained managers after the U.S. Department of Justice's Office of Special Counsel conducted an extensive 18 month investigation. The investigation was initiated due to reports that managers at Denny's were requesting specific types of documents from potential employees for I-9 forms. (Remember, employers can NOT specify which documents employees present to establish identity and employment authorization.)

A word of advice, audit your I-9s. Ensure your compliance!

Employee Recognition and Morale

Is employee morale low? Is it in the gutter? Did you know that you can decrease workplace stress and increase productivity just by recognizing your employee's contributions?

Appreciation is a fundamental human need. Employees want to be respected and valued for their contribution. Everyone wants a "pat on the back" to make them feel good. Just a simple "nice job" can turn an employee's day around. If you take steps to recognize your employees' work, you have won half the battle of employee retention. Where there is no recognition, employees may become disinterested in the organization, their job, and the level of attrition may increase.

Jim Harter from the Gallup Organization says it well, “Employee recognition is more important during difficult times than periods of prosperity. Recognition helps people be resilient. Right now, businesses are trying to survive, and to survive you’ve got to have psychological resilience. We need employees who are positive despite the negative situations around them.”

Don't assume your employees should be thankful that s/he has a job. Thankful does not equal a happy or productive employee. There is, unfortunately, a growing trend that employees should just be quiet, do their job, and be thankful they have a job. With unemployment at all time highs and employers leaving vacant positions open for longer periods, employers are asking employees to perform at higher levels, to do more and more.

Recognition is going to create a happy employee. A happy employee = an employee that will think long term, an employee that will become an advocate of the company, an employee that will create happy customers.

Recognizing people for their good work sends an extremely powerful message to the recipient, their work team and other employees. Give it a shot!

2011 Q4 Job Forecast

Career Builder conducted a survey of more than 2,600 hiring managers and human resources professionals from August 16 to September 8, 2011. "While hiring is historically slower in the fourth quarter, recent world events and structurally impaired U.S. economy are causing employers to be a little more guarded," said Matt Ferguson, CEO of CareerBuilder. Caution and seasonality are influencing hiring expectations for the fourth quarter as employers assess ongoing barriers to economic growth and wrap up 2011. Some highlights of the survey:

Education and Skills Gap
Companies are still having a difficult time filling certain positions despite the stiff competition for jobs. 67% of employers expressed concern over the education and skills gap in the U.S. and the corresponding deficit in talent for specialised positions. The top areas employers identified as having a significant skills gap are engineering (37%) and information technology (33%).

Compensation
The survey showed that 41% of employers anticipate no change in salary levels in the fourth quarter compared to the same period last year. 38% expect there will be an increase of 3% or less with 12% expecting their average changes will be between 4 -10% and 1% predict an increase of 11% or more. 4% anticipate a decrease in salaries.

Hiring by Company Size
In a comparison, small businesses will continued to lag behind larger organizations in staffing activity. However, the smaller businesses are less likely to reduce staff levels. Companies with 500 or fewer employers:

• 17% plan to increase full-time, permanent headcount in Q4 (versus 27% in companies with 500+ employees).
• 8% expect to reduce staff levels (versus 11% in companies with 500+ employees).

Those organizations with 50 or fewer employees:

• 12% plan to add new employees
• 8% expect to reduce staff levels

What are your staffing plans in Q4?

FICA Wage Base Increase in 2012

The Social Security Administration has announced that the taxable wage base for the Social Security portion of FICA will increase to $110,100 in 2012. That’s a 3.1% hike over the 2011 wage base of $106,800.

Of the estimated 161 million workers who will pay Social Security taxes in 2012, about 10 million will pay higher taxes as a result of the increase in the taxable maximum.

Except for pretax medical and tax-free fringe benefits, all wages are subject to the 1.45% Medicare portion of FICA, since no wage base applies to Medicare.

Meaningful Career

I'm going to climb down off of the HR fence for just a moment and be "pro-employee."

Is it important for an employee to have a meaningful career?

It is estimated that employees may work 11,000+ days over the course of their life. That's over 30 years. To put it in perspective, imagine that employee doing 30 years in prison. If an employee doesn't have a meaningful career, it's like doing "hard time."

As an employer, steps need to be taken to find out what matters most to the employee. Where do they get their passion? Their drive? What gives them the most pleasure and how can that be translated into developing a meaningful career?

Each individual has something that s/he does extremely well at work. As an employer, we need to identify that "talent." We need to encourage it. We need to grow it. We need to find a way to incorporate that "talent" into the business. Both the business and the employee will profit from this talent.

Take the time to know your employees!

NLRB Change In Deadline

The National Labor Relations Board (NLRB) pushed out the November 14, 2011 implementation date for updated posters. Employers now have until January 31, 2012.

In a statement, the NLRB said that the 2 1/2 month delay was in response to "Queries from businesses and trade organizations indicating uncertainty about which businesses fall under the Board's jurisdiction." In a statement to the Wall Street Journal, an NLRB representative said "many private-sector employers mistakenly think they are excluded "because they don't have a unionized work force."

As we move into 2010, ensure your policies, and postings, are up-to-date!

Worker Classification Settlement Program

On September 21st the IRS and DOL announced a major initiative to "end the business practice of misclassifying employees." The agencies signed new information-sharing agreements with several states that make it easier for both the states and the federal government to go after companies that misclassify workers.

The IRS estimates that up to 80% of independent contractors are incorrectly classified. They predict that this new follow-the-money crackdown will reap at least $7 billion in new federal revenue over the next 10 years. Currently 11 states have signed the agreement with the IRS. Those states are Connecticut, Hawaii, Illinois, Maryland, Massachusetts, Minnesota, Missouri, Montana, New York, Utah and Washington. Will more states follow? It's likely that the answer will be yes.

In addition to the "stick" of enforcement, the IRS is offering a "carrot." IRS announced that it is willing to waive fines and interest penalties for employers that reclassify as employees any workers who they currently misclassify as independent contractors. This partial amnesty deal is part of the new VCSP - IRS Voluntary Classification Settlement Program.

Per the IRS: "The new Voluntary Classification Settlement Program (VCSP) is designed to increase tax compliance and reduce burden for employers by providing greater certainty for employers, workers and the government. Under the program, eligible employers can obtain substantial relief from federal payroll taxes they may have owed for the past, if they prospectively treat workers as employees."

For more information visit: http://www.irs.gov/newsroom/article/0,,id=246203,00.html

When The Boss Is The Bully

I was amazed to find the other day that Working American has an annual contest for the worse boss. Aptly titled "My Bad Boss" some of the entries are astounding. There’s one story about a boss who demoted the office manager when it rained at the company picnic. Really? What a bully.

There are two types of bullies in business. Successful ones and unsuccessful ones. There are leaders who instill the fear of punishment, scorn, and humiliation in their subordinates. Yes, fear can be a powerful motivator, driving people to avoid the sting of punishment and public humiliation.

Robert I. Sutton, PhD states that " . . . followers are driven by both the "sticks" of punishment and humiliation and the "carrots" of hard-won warmth and recognition. One of his "key lessons" in being an effective asshole, "If you demean your people to motivate them, alternate it with (at least occasional) encouragement and praise. Alternate the carrot and the stick; the contrast between the two makes your wrath seem harsher and your occasional kindness seem even sweeter."

RIS posed the question: Why do so many people act like assholes and believe it is generally effective even though there is so much evidence that it is a downright stupid way to act?" Great question and one that begs, no needs, to be answered! When you are in an environment where employees run like cockroaches when they see the boss coming, it's just not healthy! *If anyone out there has an answer to the aforementioned question, please share the answer with me!*

Hey You. Yes, I'm talking to You! Being impolite, rude, nasty, mean, etc. is not crucial to your success.

While bullies inhabit the middle ranks of large concerns, they are positively thriving at small companies. "There are lots of bad bosses out there,' says Atlanta-based management consultant Neil Lewis, Ph.D. "In smaller companies the quality of management is not as good as at large companies. They're not professional managers."

Bullies do a lot of damage in organizations. They make subordinates run scared. They put people in a protective mode, which interferes with the company's ability to generate innovation. Remember, organizations that drive in compassion and drive out fear attract superior talent, have lower turnover costs, and have less dysfunctional internal competition. Companies can gain a competitive advantage by giving their people personal respect, and training them to be effective and humane managers.

So, what do you do when the boss is a bully? Who do you complain to? Even more important, do you complain? It's a delicate situation for everyone involved. For HR, first and foremost provide the distressed employees with an avenue to discuss the allegations. Allow them to realize that they have been heard. A distressed employee needs the opportunity to vent and you need to provide an environment of calmness and provide assurance that is it okay to vent.

Communicate to all employees the expectation to comply with the values of the organization. Make it everyone's responsibility to keep your workplace free from bullying and harassing behaviors.

Avoiding Office Gossip

According to Sam Chapman, author of The No Gossip Zone: A No-Nonsense Guide to a Healthy, High-Performing Work Environment, choosing to avoid the workplace gossip scene starts with you. Some key steps you can take? Well, "simply ask your coworkers to please no longer gossip around you" and second, remove yourself from office gossip. The key is to take ownership for 100% of your job so that "you no longer blame other people for ruining your day, not meeting deadlines, etc."

What are the benefits of being gossip-free?

• No worries about being labeled the office busy-body.
• No need to bother substantiating any scandals.
• No guilt over repeating something deemed untrue later.
• Negative people no longer seek you out.
• Others, hopefully, will follow suit. Your positive attitude will be appealing.

Keep communicating people!

Those Over Qualified Employees

Back some time ago I blogged about the nonsense of being over-qualified for a position. My belief is that people are "fully" qualified, not "over" qualified.

Unemployment is still running about 9% nationally. As a result, people are making lateral or downward moves in their careers. Pew Research Center, in a recent study, indicates that people who lost jobs in this recession are more likely to feel over-qualified in their new positions.

As an employer, be open-minded. These "fully" qualified individuals can be some of the most valuable assets your organization has. How, as an employer, can you fully utilize these assets? Here's a couple of suggestions:

Consider using them as mentors for new employees. The veteran employee will feel as if s/he is making a valued contribution to the organization. The organization benefits as it mines this experience and knowledge.

Value their input. Be open to ideas that are offered voluntarily as well as solicited ideas. These employees may help your organization move in directions you never imagined!

As a manger, avoid harboring notions that overqualified employees want your position. Such feelings hinder effective management!