Rob, Scott, and Jason of Employco USA discuss the announcement of the new overtime rule and the future impact it will have on employers.
Contact us with any questions you may have, we’re here to help: hr@employco.com
Rob, Scott, and Jason of Employco USA discuss the announcement of the new overtime rule and the future impact it will have on employers.
Contact us with any questions you may have, we’re here to help: hr@employco.com
NEW OVERTIME RULE
The Department of Labor (DOL) released historic legislation today that will drastically increase the number of employees who are eligible for overtime pay.
Effective December 1, the salary threshold under which employees are automatically non-exempt will increase from $23,660 to $47,476.
Every employee who earns less than $47,476 will become eligible for overtime pay, which is 1.5 x regular pay for hours worked over 40 in a week.
EXAMPLE:
Job Type | Hourly Pay | Hours Worked | Annual Pay |
Exempt | $21.63 | 45/wk | $45,000 |
POSSIBLE EMPLOYER STRATEGIES & EXAMPLES
Job Type | Hourly Pay | Hours Worked | Annual Pay |
Non-Exempt | $21.63 | 45/wk | $53,436 |
Job Type | Hourly Pay | Hours Worked | Annual Pay |
Exempt | $22.83 | 45/wk | $47,476 |
Job Type | Hourly Pay | Hours Worked | Annual Pay |
Non-Exempt | $21.63 | 40/wk | $45,000 |
Job Type | Hourly Pay | Hours Worked | Annual Pay |
Non-Exempt | $18.22 | 45/wk | $45,000 |
Based on a job duties test, employees earning at least $47,476 may qualify to be exempt from overtime pay. Exemptions can include employees classified as executive, administrative, professional, outside sales or computer.
Contact us for support with your company’s compensation strategy and earnings calculations. We’re here to help.
Jason Eisenhut
630.286.7341
jeisenhut@employco.com
Employment expert Rob Wilson offers tips to keep office politics PC this election season
For many, November 8th can’t arrive soon enough. With 228 days until the 2016 presidential election, discussions and debates about the candidates, the electoral process and the future of the country are sure to give rise to heated emotional exchanges and uninvited opinions in the workplace, from the reception desk to the corner office.
“Escaping or prohibiting political discussions at the work is impossible,” says Rob Wilson, President of Employco USA. “However, left unchecked, talking politics at the office could adversely impact productivity and morale, or worse, leave you vulnerable to a potential lawsuit.”
Wilson recommends that employers take a proactive approach to managing political discussions in the office to avoid any awkwardness or issues that could arise if employees are left to their own devices. Here are his four tips for managing politics at the office this election season.
“Given the media coverage and divisiveness of this election season, it’s unreasonable to think you can keep employees from engaging in political discourse,” says Wilson. “But you can lay out some guidelines for your office that not only inform employees what’s acceptable but also protect you from creating a toxic work environment. Remember, once the election is over, we all need to still get along with our co-workers.”
For more on this topic, please contact Rob Wilson at rwilson@thewilsoncompanies.com.
Employment expert Rob Wilson shares best practices for hiring employees through social media
A recent Society of Human Resources (SHRM) study found that 84 percent of organizations are now recruiting on social media, up from 34 percent in 2008. “Clearly, using social media as a recruiting tool is here to stay,” said Rob Wilson, President of Employco USA. “Knowing when and how to use social media effectively, and correctly, to recruit candidates can help hiring managers not only find and vet talent but also reduce costs.”
Here are Wilson’s five best practices for recruiting using social media.
More and more, candidates look for companies that offer a great culture. With talent shortages in key industries, nurturing and showcasing your company’s culture and how employees feel about working for you could be the difference in meeting your hiring objectives. “Workplace branding can help reduce a business’s cost to hire and its ability to attract quality candidates,” says Wilson. “Most job seekers today expect to be able to learn about a company’s culture not only through its website and social media profiles but also through third party sites like Glassdoor.”
In addition to having a careers section on your website listing openings, companies should also create profiles on popular social media sites such as LinkedIn, Facebook and Twitter. Beyond posting jobs, companies should build relationships and engage with potential candidates by sharing interesting information about the company, its culture, events, news and photos. Wilson suggests companies build their network by connecting to current and former co-workers to start.
Ask employees to share job openings through their social media. “While they many not have a candidate to refer, someone in their network might,” says Wilson. “Referrals are still one of the best ways to source talent.” In addition, create a culture where employees are encouraged to share why the company is a great place to work. Empower them to post photos on Facebook, Tweet or share insights on LinkedIn about the culture. According to a 2014 survey from Monster, 65 percent of respondents would consider an opportunity for a new job if they learned about it from a personal connection.
Track and measure your results against your efforts. Experiment with your postings by changing words and images. Evaluate what is or isn’t working and why. Replicate your successful strategies and tactics.
In addition to attracting candidates, social media can be a great tool for vetting candidates. However, recruiting managers should be wary of potential legal risks when using social media for this purpose, warns Wilson. “You can learn a lot about a candidate from looking through their social media profiles, including things you wouldn’t be able to garner from an interview, such as age, marital status and other protected characteristics.” Wilson recommends that HR professionals and hiring managers are trained and knowledgeable about recruiting laws and what’s appropriate when using social media to vet a candidate.
“Social media is only one tool in the recruiting arsenal, and it may not be right for every business, but when it is used effectively as part of a broader recruiting strategy, it can help companies attract and hire candidates at a lower cost,” says Wilson.
For more on this topic, please contact Rob Wilson at rwilson@thewilsoncompanies.com.
Employment expert, Rob Wilson, explains HR procedure after an act of violence at the office
In the wake of the San Bernardino shootings, Americans are yet again reeling from the effects of a mass shooting. And, much like the WDBJ-TV shooting in late August of 2015 which occurred on live television, workplace violence is now becoming a hot button topic for people across the country.
“The reality is that workplace violence is a growing concern for many people,” says Rob Wilson, CEO of Employco USA, “People deserve the right to feel safe at their workplaces, and when acts of senseless violence like this occur, it robs us of a sense of security.”
Here, Wilson outlines the steps that an employer should take in the event of workplace violence:
Keep an eye out for warning signs, some of which may include:
For more on this topic, please contact Rob Wilson at rwilson@thewilsoncompanies.com.
Employment expert available to comment on what motivated this decision
The Federal Reserve just announced that it plans to leave the interest rate unchanged. Many believe that this is because the country’s slow economic growth has challenged the policy-makers’ confidence.
Rob Wilson, employment expert and CEO of Employco USA, says, “The Federal Reserve opted not to change the interest rate due to unreliable low unemployment numbers and slow wage growth.”
Wilson also believes that the Affordable Care Act played a large part in this decision.
“Due to the Affordable Care Act, employers have been slow to hire, and some have even been forced to let employees go or slash staff hours. Pending changes to the overtime laws also has employers worried, along with general anxiety over the economy as a whole.”
For more on this topic, please contact Rob Wilson at rwilson@thewilsoncompanies.com.
New research from the Labor Department reveals that 1 in 20 Americans work multiple jobs. While that is the national average, several states have higher numbers than that. 8.7 percent of job holders in South Dakota work two jobs, followed by 8.5 percent of job holders in Vermont, and 8.4 percent in Nebraska.
“Currently, it is difficult to say whether or not these numbers point to a troubling economy or a solid economy,” says Rob Wilson, employment expert and CEO of Employco USA, “On the one hand, it illustrates that many Americans have to work two jobs in order to make ends meet, but on the other hand it also illustrates that people are able to find work.”
Still, Wilson believes it could be a troubling trend. “I believe that Obamacare could be partially behind American’s need to have multiple jobs,” he says, “Many employers balked at the idea of providing insurance to their full-time staff, so in order to skirt around the new rulings, they simply shaved hours off their employees’ schedules.”
Not only did this allow employers to avoid providing health insurance (as only firms with 50 or more full-time staff are required to provide insurance), but it also will allow them to navigate around other potential financial landmines.
“If the new overtime law goes into effect, shaving hours off employees’ schedules might become a must for companies who simply cannot afford to pay their staff these increased wages. Sadly, the people who suffer here are the average Americans—because they now have to find supplemental work just to make ends meet.”
A recent survey from the American Staffing Association found that most Americans have little faith that they can find a better job than the one they currently have. As for unemployed Americans, hope is equally dim as 38 percent of able-bodied workers say that they do not believe they can find a job in the coming year.
CEO of Employco USA and employment expert Rob Wilson says, “According to the old adage, there is no job harder than trying to find a job, and that can be true even if you are already gainfully employed. Many Americans are miserable in their current positions, but they don’t want to waste their precious time off looking for another job if they have little hope their hard work will pay off.”
Wilson believes part of the problem is that the job search is so terrifying to many people. “Looking for a job can make you incredibly vulnerable,” he says, “Even a confident person can become depleted after a slew of unsuccessful interviews.”
His advice? Work smarter, not harder.
“If you use an employment agency, you can immediately tap into a world of connections and possibilities that would not otherwise be available to you,” says Wilson, “And these experts can be invaluable in helping you improve your resume and interview skills.”
Wilson also believes a shotgun approach isn’t the best way to go. “Don’t waste your time applying to 50 jobs just so you can feel accomplished,” he says, “Chances are most of those jobs aren’t a good fit for you, so all you have done is waste your time and the employer’s time. Instead, hone in on jobs that are specific to your skills and interests. It’s better to apply to one job a week rather than 50, if that one job could actually open doors for you.”
Lastly, Wilson thinks practice makes perfect. “There is no such thing as a wasted interview. Every interaction gives you a chance to fine-tune your skills and improve your communication.”
For more on Wilson’s job hunting tips or to speak to him further, please contact me.
7.5 million Americans were required to pay a penalty last year due to not having health insurance. This is a higher number than the government predicted, and many worry it is a sign that the country is not prepared for Obamacare.
Rob Wilson, CEO of Employco USA, says “The Affordable Care Act is causing issues across the board. Not only did the IRS collect $1.5 billion dollars in penalty fees from hardworking Americans, but many people also were confused about filling about their tax forms. Taxpayers who paid a penalty to the IRS should have claimed an exemption on their tax forms, but thousands and thousands did not, simply because they were not informed. As a result, they overpaid the government on their taxes.”
Additionally, about five million Americans claimed no health insurance status on their forms, leaving the government struggling to find out how to categorize these folks. “We don’t know how millions of Americans in this country are able to pay for healthcare, or if they are receiving healthcare. It’s scary business.”
The pros and cons of Netflix’s game-changing family leave.
Netflix recently announced that they will offer one year of paid leave for mothers and fathers after they have a child. Microsoft made similar changes to their paternal leave by offering 12 weeks of paid time off for parents. (Currently, America is one of the few developed nations that doesn’t mandate paid time off for new parents.)
Rob Wilson, CEO of Employco USA, says, “Many people are criticizing Netflix because they feel the plan is too open-ended. People have the option to come back when they desire (within a year’s time), but many employees say that they will feel pressured to come back sooner in order to protect their position and their upward mobility. No one wants to be the employee that takes a full year if everyone else is taking just a few months or less. Women might especially feel this pressure as they often have to work twice as hard to earn promotions and raises.”
Wilson says that majority of Employco’s clients follow the FMLA guidelines and provide 12 weeks of time off, although this time is not paid.
“Most of these companies do not offer paid leave, but they do offer short term disability insurance through our office which has no waiting period if purchased during open enrollment,” he says. “In most cases, employees use a combination of vacation/PTO and short term disability in order to survive those early days of parenthood. It’s not a perfect system, but things continue to improve as more people aren’t afraid to broach this topic with their employers and ask for what they need.”