Wednesday, August 31, 2011

Do Attractive People Make More Money?

Life Inc. ran an article titled "It Pays To Be Pretty." To view the entire article, the link is provided at the bottom of this blog. The article contained a brief survey asking, "Do you think attractive people make more money than less attractive ones?" A multiple choice question, it provided three possible answers:

1. Yes, I see it in my profession all the time
2. No, that's just a stereotype
3. I'm not really sure

I guess this topic is of great interest because 8,820 people chimed in with their answers. The results are that an overwhelming 84.6% of the responders said "yes."

1. 84.6% (7,461 votes)
2. 5.9% (517 votes)
3. 9.5% (842 votes)

Daniel S. Hamermesh, an economist at UT-Austin, published a book titled "Beauty Pays: Why Attractive People Are More Successful." Hamermesh found that people with above-average looks earn at least 5% more than average looking people. Further, in his book he demonstrates how society favors the beautiful and that attractive people are more likely to be employed and receive more substantial pay.

In an earlier report, The Federal Reserve Bank of St. Louis researchers indicated that once variables like education and experience were factored out, the "beauty premium" exists across all occupations. The FED also discovered what is referred to as the "plainness penalty" in which less attractive people "suffered a salary penalty of up to 9%."

People, before we go much further let me be perfectly clear. Looks have little or no bearing on job performance. But, I guess some organizations feel differently and all I can say is "Wow."

Take a look at the hiring practices of organizations such as Abercrombie & Fitch, Hooters, even Red Bull. Abercrombie & Fitch have lost or settled several lawsuits over their "look policy." They also have patrolling "Visual Teams" for stores. If you aren't reflecting the A&F style, you're sent to the back room! Hooters? Well, I don't think we really need to discuss the physical attributes that Hooters looks for during their recruiting process.

Red Bull is currently advertising for a Wiings Team Member for East Houston. If you read the advertisement it states, "Premium First Impression: Hiring Manager(s) may issue more specific guidelines. Physical Appearance: Attractive, natural appearance. Maintain physically fit physique."

Aren't the actions above just plain ole discrimination? Personally, I have never, ever, nor ever will, hire someone based on their looks. That's just bad recruiting.

Deborah Rhode, a Stanford law professor, thinks Americans are at the mercy of beauty discrimination. She wants the law to step in. As the author of the book "Beauty Bias," she proposes that the courts handle looks-based discrimination the same way that gender or race discrimination is treated. *I'm not quite yet ready to chime in on that one.*

Does looking good give us more confidence? Should the workplace become a beauty contest? A few recommendations from this HR corner:

1. Don't dress for the job you have, dress for the job you want. *I have been throwing this one piece of advise around to friends, family and business acquaintances for years!* While clothes don't help you perform, there is a belief that it will help how your performance is perceived.
2. Be confident in who you are! Stand tall. Smile. Maintain eye contact.
3. Focus on your communication skills and your ability to sell yourself!

In closing, isn't beauty in the eye of the beholder?

Link:
http://lifeinc.today.com/_news/2011/08/31/7514303-it-pays-to-be-pretty?GT1=43001

Tuesday, August 30, 2011

FLSA and Overtime



The Fair Labor and Standards Act, often referred to as the FLSA, regulates wage and hour matters. It establishes minimum wage, overtime pay, record keeping and child labor standards.

Without going overboard with the what, the who, the how, let's start with the basics of "when" overtime is paid. Nonexempt hourly employees must be paid time and a half (150% of their normal pay rate) when they work more than 40 hours in any work week.

Oftentimes companies require employees to have approval prior to working overtime. And yes, this is an acceptable policy. The trap that many employers often fall into is refusing to pay overtime to an employee who worked the overtime without prior approval. Remember, under FLSA the employer must pay for all hours "suffered or permitted" to work. The FLSA does not distinguish between approved and unapproved overtime.

You may experience compensable job-related activities during an employees "off the clock" time such as the employee taking home work, working through lunch, job related phone calls at home, etc. Does the hourly employee have access to email outside of the regular work day (through work computer, laptop, home computer, cell phone, PDA, etc.)? If so, you must record any and all time spent reading and/or responding to company business email and/or performing work with the aid of such equipment. If hourly employees are provided with PDAs and are expected to check them outside of work hours, then the time spent checking the PDA is compensable time!

There are other areas that may require compensation or overtime. For example:

1. Rest breaks under 20 minutes.
2. Down time or on-call time that prevents the employee from carrying out personal business.
3. Preparation before shift or clean-up after shift.
4. Mandatory classes, meetings or conventions.
5. Travel time other than normal commuting.

As an employer you are allowed to discipline, or terminate, an employee for violating an overtime approval policy. Ensure your overtime policy is clear and communicated to employees.

Sunday, August 28, 2011

Federal Sentencing Guidelines for Organizations


Organizations, like individuals, can be found guilty of criminal misconduct. The U.S. Federal Sentencing Guidelines for Organizations were enacted by Congress in November 1991 to govern the sentencing of organizations convicted of federal crimes. But, the FSGO does so much more than that. Under the FSGO, an organization is "expected to design, implement, and enforce a program that exercises due diligence to prevent and detect criminal conduct and promote ethical conduct and compliance." Such training to be "effective" and "periodic" with the intent to help "prevent and detect organizational wrongdoing."

Under the FSGO, organizations with compliance/ethics programs that meet the defined standards earn credit toward reduced penalties if employees are engaged in wrongdoing. Essentially, the potential fine range for a criminal conviction can be significantly reduced, in some cases up to 95%, if an organization can demonstrate that it put into place an effective compliance and ethics program. Further, that the criminal violation in the organization represented an aberration within an otherwise law-abiding community. Logically, organizations with substandard programs receive tougher penalties.

The Sarbanes-Oxley Act of 2002 directed the United States Sentencing Commission to ensure that the Federal Sentencing Guidelines were sufficient to deter and punish organizational criminal misconduct. While the Sarbanes-Oxley Act covers only publicly traded companies, the Federal Sentencing Guidelines apply to all organizations both publicly and privately held.

Distributing a Code of Ethics or Code of Conduct for employees is not enough. The FSGO provides guidelines which layout a minimum framework for an effective compliance program. Under the FSGO, the training program must meet seven minimum due diligence requirements.

1. Standards and procedures for prevention and detection.
2. High level of oversight. Responsibility for compliance at all levels, adequate resources and authority for program.
3. Due care in delegation of authority. Avoid having anyone with substantial authority engaged in, or previously engaged in, illegal activities or other conduct inconsistent with having an effective compliance and ethics program.
4. Periodic communication of standards, procedures and all aspects of program.
5. Monitoring, auditing and reporting systems. Ability to ensure that program is followed and its effectiveness is periodically evaluated.
6. Enforcement, discipline and reward compliance.
7. Appropriate, consistent response. Reasonable steps to respond to, and prevent, similar offenses upon detection of a violation.

Compliance and ethics programs must not simply be on paper, they must be communicated to and used by employees. One of the key influences of ethical behavior is supervisor influence and/or senior management influence. Senior staff and management must promote an organizational culture that encourages ethical conduct and a commitment to compliance with the law.

Friday, August 26, 2011

Employee Training: It's An Investment!


Training is often considered optional at many companies because it is thought of as an expense rather than an investment. Yes it may be costly up front. But, it should be considered an investment in the future of both the employee and the organization. An investment in the growth and development of your human resources. I have always been a believer that employees shouldn't leave an organization with only the skills they came in with.

Why train you ask? If your business isn't learning, it's going to fall behind. To stay abreast of new developments within your industry you must make the investment to train your employees. A successful organization must develop a high performing, superior workforce. As an employer you should encourage and support employee growth and development of job and career enhancing skills. The employees themselves must be aware of changes in their field and continually hone their skills.

To give you something to think about, I have listed below a few areas of "standard" training that employees should receive. Once you've read those, take a look at the benefits.

Typical topics of standard training:
1. Communication
2. Computer Skills
3. Customer Service
4. Diversity
5. Ethics
6. Quality
7. Safety
8. Sexual Harassment

Benefits of Training:
1. Increase in job satisfaction, employee morale, motivation and contribution.
2. Efficiencies in Process = financial gain for the organization!
3. Reduction in employee turnover.
4. Risk Management for areas such as sexual harassment, diversity and/or ethics. *And if you think these areas of training aren't necessary, take a look at the U.S. Supreme Court and/or EEOC training guidelines as well as the impact of the 2004 Federal Sentencing Guidelines.*

In closing:
1. Make sure that any training has measurable results. If you can't, the training will only be viewed as an expense.
2. You don't want your employees to view any training as a waste of their valuable time. If the employee doesn't feel that the training he/she is receiving is relevant to their position, ensure they understand the connection early on.
3. Make sure that the training is ongoing to continually motivate the employees, as well as to ensure that the employees are growing professionally.
4. Ensure both the organization, and the employees, meet their goals!

Enjoy your weekend!

Thursday, August 25, 2011

Employment Scams


With an ever increasing number of individuals on the job market, there are those willing to take advantage of an unsuspecting job seeker. So, here's a word of caution for everyone.

Expro Group is a large, international, oil & gas organization based in the U.K. With an excellent reputation, Expro is a highly desirable employer. They are also the target of an employment scam!

Expro has recently placed an alert on their career page indicating; "It has come to our attention that various individuals and organisations are contacting people offering false employment opportunities at Expro." For the entire alert, go here:

http://careers.exprogroup.com/content/2/careers-home

Multiple job opportunities with Expro are appearing on job boards here in Houston. Both the Expro name and logo are featured prominently in the job postings. Beware! These are not legitimate jobs, these are scams!

Remember:

1. No legitimate organization is going to extend an offer of employment without first having a face to face interview with the candidate.
2. NEVER release your personal information such as DOB, Drivers License Number, Social Security Number, etc.
3. Always carefully research the background of any organization that you are considering applying to.
4. Always apply via the organization career page versus blind applications through Craigslist, Ebay classified, etc.

Be careful everyone. And just consider today's a blog a "public service announcement!"

Wednesday, August 24, 2011

Termination: They Didn't See It Coming

If you have been in HR long enough you will have horror stories. One of the worst experiences I ever had was to walk into a conference room packed with 30 employees, with the task of laying them all off. These were all good, dedicated employees. Not flawed, bottom-of-the-barrel employees.

For a brief moment, let's talk terminations. That's fire. Not layoff, not RIF. But fire.

To avoid termination, you have already met with the employee and communicated your expectations. You have taken steps to assist the employee in correcting the performance issue. You have clearly communicated that the employee is being held accountable for the performance improvement.

If you do everything you can, then if termination is necessary you have the assurance that you did everything possible to help the employee succeed. If management is doing their job, then employees know what is expected of them. The conversation, whether termination or disciplinary, doesn't come as a surprise. And there should be no surprises. Whether or not the employee admits it, they play an active role in the decision to get themselves fired.

When there has been that communication, and nothing has changed, I don't feel bad about terminating an employee. I didn’t tell them to do whatever they did to get themselves terminated. I didn't tell them to be consistently late for work. I didn’t tell them to take a 2 hour lunch, or have drinks at lunch, or to spend 8 hours sending personal emails. The employee made the decision to do these things and they have to accept responsibility for their actions. Maybe the employee is unable to meet company standards. Perhaps the employee is consciously, or unconsciously, asking you to fire them. Maybe they just don't like the job.

I always impress upon managers the need for good communication with employees. Remember, if it hasn't been communicated to the employee that what they are doing is wrong, then their actions become acceptable. Being disciplined, suspended or even terminated shouldn't be a surprise to the employee.

Whatever the situation, before you terminate, have your documentation in place. If it's not documented, it might as well not exist.

I believe that the termination message should be delivered by the employee's immediate supervisor. Not HR. Yes, HR should be in the room during the termination meeting. But the supervisor should have the responsibility of delivering the message. And that message should be short, sweet and to the point. Don't blame. Don't make apologies. Be clear. Answer questions. If there is a problem during the termination, HR is there to assist. However, managers should have the proper training, and experience, to conduct the termination without HR stepping in.

No matter what the scenario, always handle a termination in such a manner as to allow the employee to depart with dignity.

Sunday, August 21, 2011

Social Security Numbers during Application Process


More and more the question "when filling out a job application, should I give my Social Security Number?" is being asked by job applicants.

When the first Social Security Numbers were assigned in 1936, they were originally designed to keep track of an individuals earnings. Over the years the emphasis has moved from a means of record-keeping to identification. The Social Security Number is a unique identifier and the most vital piece of private information an individual has. With identity theft becoming a prevalent crime, individuals are hesitant in releasing this piece of information.

From my perspective, an employer has no need for this information during the application process. Yes, this information will be necessary later to confirm that the individual is legally employable within the U.S., or for processing payroll, or benefits. But, a conditional offer of employment should occur prior to obtaining this information. You may think that this information is necessary for a background check, but background checks generally do not require a Social Security Number. The full name and address of the candidate/employee sufficiently identifies the individual uniquely for all but the most intrusive background checks. (Realistically, no background check should be conducted until both parties show mutual interest and a conditional offer has been made.)

Employers, once you have the information, you must safeguard it. Any individual with access to HR data shares the responsibility for the security, integrity and confidentiality of the information. With all the laws regarding applicant information security, do you really want to be responsible for guarding this information?

Asking for such sensitive information as a Social Security Number isn't an isolated incident. Recently I reviewed a questionnaire from a U.K. based organization that was in use here in Houston. The questionnaire asked for information such as "Date of Birth, Sex, Marital Status, How Old Are You and my personal favorite, Do You Have Any Disabilities or Long Term Medical Problems?" While it's illegal to ask about disabilities on job applications, there is no ban on asking for the Social Security Number or the applicants age. However, having information such as the applicants age may make it more difficult for an employer to fight an age discrimination suit, should the rejected applicant pursue such claims.