Personnel(ly) Speaking
Personnel Management Systems, Inc.
Did you catch all of this…
The last year challenged employers in more ways than one. Poor economic conditions forced employers to rethink they way they run their business, refinance debt, slow down production, reduce staff…you know. In the midst of this, there were significant changes to laws affecting the day-to-day running of the company’s HR department. In case you missed them - because you’ve barely had an opportunity to breathe - here is a brief recap of what’s happened in HR while you’ve been surviving…
The American Recovery and Reinvestment Act of 2009 (“ARRA”) had a significant impact on COBRA continuation of coverage. The Act created a new opportunity for individuals who did not previously elect coverage to rethink that decision, and it implemented a federal subsidy for COBRA participants. ARRA required changes to COBRA processing and notices, affected COBRA payments, and added effort to affected companies’ payroll department.
ARRA also added new whistleblower protections, which apply if an employee believes there is evidence of misuse of stimulus funds.
The Lilly Ledbetter Fair Pay Act extended the statute of limitations on compensation decisions. This means the 180-day time limit for filing an equal-pay lawsuit related to discrimination resets with each paycheck that perpetuates the unequal pay. This is one more reason you want to check your compensation levels for internal equity on a regular basis.
Domestic Partners were added to many state laws where traditionally only spouses were included. This can affect many of your policies including family leave policies. Even if your company is not currently impacted by the changing laws, chances are you will be soon.
The Americans with Disabilities Amendments Act of 2008 broadened the coverage of who is disabled under the ADA. This affects employers as they work to provide reasonable accommodation to qualified individuals, including gathering information as to what is reasonable accommodation and attempting to balance employees’ needs with business needs. These changes emphasize the importance of accurate job descriptions that detail the essential functions and physical requirements of each job. With the reductions in force and consolidation of work into fewer positions, revisiting job descriptions is a must.
The federal minimum wage increased to $7.25 per hour effective July 24, 2009. For employers in states with state minimum wage laws, many states increased their minimum as well.
Leaves of absence were the target of a number of updates. Both federal and state governments used 2009 to add new and to modify existing laws, such as the following:
Family and Medical Leave Act (“FMLA”) regulations effective the first of the year, provided more information on how to handle the following:
· The addition of Military Caregiver Family Leave to provide eligible employees with up to 26 workweeks of unpaid leave to care for injured service members.
· The addition of Qualifying Exigency Family Leave that comes into play when a spouse, parent, or child is called for active duty.
· The modification of processes related to medical certification.
· Revised notice obligations for both employees and employers.
In Washington State, paid family leave was scheduled to begin this October. However, due to budget shortfalls in state government, the program was officially suspended and implementation delayed October 1, 2012.
The required I-9 changed…twice… and included a period when the official I-9 had a past due expiration date, and a new version was not yet issued.
After a number of false starts, use of E-Verify, the Internet-based system operated by the Department of Homeland Security (DHS), became mandatory for some federal contractors. These employers must use E-Verify to check the employee-provided information on the I-9 against records contained in DHS and Social Security Administration (SSA) databases. Use of this system is also required in many states.
Some states increased the maximum weekly benefit and/or extended the number of weeks out-of-work individuals can receive unemployment benefits in recognition of the difficult job market. Extensions for some – or all – states are being debated at the federal level as well.
We’ve only hit the highlights – addressing changes you may have a vague recollection of but did not really digest. It’s been a very busy year thus far, and all indications point to more changes still coming this year, extensions of recession-related benefits, and a long line of issues to address in 2010. We’ll keep you posted, but if you have any questions about the above, or about what is coming next year, call Personnel Management Systems.
Personnel(ly) Speaking is a monthly comment on HR issues of importance. It is intended to provide general information and must not be construed as legal advice. Reproductions are allowed as long as credit for this information is given to PMSI. We welcome your comments, questions, and concerns. © PERSONNEL MANAGEMENT SYSTEMS, INC., Corporate Office (425) 576-1900, Colorado Office (720) 497-0200, www.hrpmsi.com.