Here is a great article about Healthcare Reform now that Massachusetts elected a Republican to the Senate.

Healthcare Reform: What Now? Click here to continue reading.

Labels: California, Health, Politics

Reporting from Los Angeles and Sacramento - Starting Sunday, cash-strapped California will dig deeper into the pocketbooks of wage earners -- holding back 10% more than it already does in state income taxes just as the biggest shopping season of the year kicks into gear.

Technically, it's not a tax increase, even though it may feel like one when your next paycheck arrives. As part of a bundle of budget patches adopted in the summer, the state is taking more money now in withholding, even though workers' annual tax bills won't change.

Continue reading story @ Los Angeles Times - http://www.latimes.com/business/la-fi-state-tax31-2009oct31,0,2028140.story

Labels: California, Employees, Employers

Having a pregnancy leave policy that permits pregnant employees to take time off for childbirth is only the first step in complying with the law. As one employer recently learned, it’s just as important to have post-leave follow-up policies. We’ll explain what this employer did wrong and the post-pregnancy leave policies the employer should have had.

Acosta Tacos is a small, family-run chain of taquerias in Los Angeles. Acosta Tacos’ employee handbook simply stated that female employees are permitted to take pregnancy disability leave. The company maintained no other pregnancy-related policies and posted none of the required workplace notices.

When Acosta Tacos cashier “Tara” told her supervisor, “Victor,” that she was going into labor a month early, her leave was approved on the spot, as the company’s policy provided. Victor told Tara that he’d find someone to cover her shifts while she was out, and to call him when she was ready to return to work. No one at Acosta Tacos expressed unhappiness over Tara needing to be out, and there was no indication of animosity toward her because of her pregnancy.

Unfortunately, Acosta Tacos dropped the ball by failing to have post-pregnancy leave policies and protocol.

Two Crucial Mistakes

Acosta Tacos’ first mistake was that when Tara called Victor to tell him she was ready to return to work after being out for only a month, she was told that her position had been filled during her leave. While Tara was out, he’d hired two new employees to cover her shifts. Victor explained that he’d try to find her a new position, and in the meantime, assigned her to fill in for an absent employee.

California law requires that an employee who takes pregnancy disability leave be reinstated to her same position on returning from leave. If an employer cannot reinstate the retuning employee to her exact same position—because it was eliminated or because filling the position on a temporary basis during the leave would have created a substantial business hardship—the employee must be returned to a “substantially similar” position (unless none exist because of companywide layoffs or business closure). The employer must be able to provide objective facts demonstrating that it was unable to reinstate the employee to her same position.

The second mistake Acosta Tacos made was that it fired Tara for breastfeeding her newborn baby during her meal period.

While Tara was filling in for the absent employee, her partner brought their infant to the store so that Tara could breastfeed the baby during a meal break. Because no private space was available, Tara fed the baby in the family car in the store’s parking lot. Tara then finished out her shift.

The next day, the manager of another Acosta Tacos location asked Tara to fill in for one of his employees who was out sick. Victor objected, stating that he learned that Tara breastfed her baby on company property the night before. He told her that she couldn’t come back to work until she finished lactation. Tara protested that she needed to be able to breastfeed her baby but also needed to go back to work immediately. Victor replied that he didn’t like her attitude and terminated her.

California employers are required to provide female employees who wish to express breast milk for nursing infants with:

• A reasonable opportunity to take breaks for expressing breast milk or breastfeeding, which can be timed with the employee’s regular break schedule.
• Reasonable access to a private location to express breast milk, other than public restrooms if possible, that is in close proximity to the employee’s regular work area.

Failure to provide the time and facilities required can result in a $100 civil penalty for each violation—as well as damages and other fines if the employee files a complaint or lawsuit.

Employer Pays for Pregnancy Disability, Sex Bias

Tara filed a complaint against Acosta Tacos, as well as Victor and the company’s owner individually, with the California Department of Fair Employment and Housing (DFEH). Following its investigation, the DFEH found that the company, the manager, and the owner engaged in pregnancy disability discrimination for not reinstating Tara to her previous position and in sex discrimination for terminating Tara for breastfeeding, and for not providing her with the time and private facilities to do so. The DFEH also found that Tara’s termination was retaliation for her objections to Victor’s statement that she couldn’t breastfeed during her breaks.

Tara was awarded $20,000 in back wages and $20,000 in emotional distress damages. In addition, the agency hit Acosta Tacos with a $5,000 administrative fine.

Pregnancy Leave Policy Checklist

Acosta Tacos learned the hard way that simply having a pregnancy disability leave policy is only the first step in fulfilling an employer’s obligations under California law. Post-leave follow-up policies are just as important as having the correct leave policy.

To avoid the mistakes Acosta Tacos made, employers should make sure to have policies that address each of the following:

• Posting the required workplace notices regarding pregnancy disability leave, the California Family Rights Act, and California antidiscrimination laws (workplace posters can be downloaded at the DFEH’s website at www.dfeh.ca.gov).
• Permitting disabled or pregnant employees to take leave as mandated by state and federal law.
• Post-leave reinstatement of employees.
• Lactation time and facilities (allowing employees to express breast milk during scheduled breaks, if possible, or making additional time available to do so on a paid or unpaid basis).
• An inquiry and complaint procedure for employees who have questions or concerns about pregnancy leave and post-leave rights.

Written by BLR, Inc.

Labels: California, Employees, Employers

Labels: California

Are you still dealing with all of your company´s Human Resource, Workers´ Compensation, Employee Benefits and Payroll needs? Are those business necessities your core competency? Are you compliant with local, state and federal regulations governing those important areas of your company? What if you could outsource those functions, provide better benefits to your staff, operate in compliance to protect you and your company, and save money in the process? You can!

A Professional Employer Organization (PEO) is designed to help small to mid-sized companies by providing them the resources to better manage and administer these non-revenue generating but essential business functions. You stay focused on your core business, what you know, and what you got into business to do. The PEO manages much of the rest, benefiting both you and your staff. Here is a quick list of 5 things to look for in a PEO:

Combination of Hi-Tech and Hi-Touch Delivery.

Let´s face it…in today´s business world, many deliverables are made available online and much business is done via phone and email, etc. However, as a "service" business dealing with the complexities of human resources, training, safety, employee benefits, enrollment and orientation, it´s important to deal with a company that will be there when you need them. Likewise, your PEO should be able to deliver hi-tech solutions to help you manage your business in a more efficient and timely manner.

Multiple Employee Benefit Options.

Often times, small and mid-sized businesses struggle to afford and offer attractive and competitive benefit choices to their staff. Benefits that will help you attract and retain the best staff. Many PEO´s will simply work with you to broker a plan for your organization but not offer a competitive group policy option. Look for a PEO that will meet or exceed your employee benefit needs. Large group policies, often with multiple plan options (HMO, PPO, HSA, etc.) or even multiple carriers, can be more attractive to your staff as they can choose the coverage that meets their personal needs. Composite premiums versus age-banded pricing can also have its advantages.

Safety Services – Not Just Workers´ Compensation.

As the employer of record, PEO´s will typically provide all required workers´ compensation insurance for your staff. But insurance without attention to prevention is not enough. Your PEO should be as concerned about preventing claims as they are about managing them should they occur. Training, ergonomics, Injury and Illness Prevention Programs, Personal Protective Equipment, work site audits and inspections, pre-employment drug screening and background checking and hiring best practices are just some of the things to expect.

Real Human Resource Services.

Like the previous tip, human resource services shouldn´t be defined solely by the reaction to events. Make sure your PEO is providing a comprehensive and proactive review of your current business practices, policies and procedures related to employment. Again, expect training, professional employee handbooks, job description review and development, hiring, firing, counseling and disciplinary best practices, among other HR deliverables.

Payroll – Options, Ease and Accuracy.

Let´s face it…payroll doesn´t have to be complicated but it has to be right. Make sure your PEO has available options to track, manage and submit payroll information. Web-based time clocks, swipe clocks, biometrics, and company specific online payroll portals are just some of the ways companies report and manage time and attendance these days. What works for you? Will your PEO work with your current reporting methods? Is it time for a change?

These are just 5 tips for selecting a Professional Employer Organization to meet your needs. Certainly, checking customer references and personally meeting with the PEO to assess their staff expertise, professionalism and responsiveness will go a long ways too. Following these few tips can help tremendously as you explore the many benefits of outsourcing these non-core business functions.

Written By Rick Godard
VP ESG republic

Labels: Benefits, California, Employees, Employers, Payroll, Safety

Anyone who deals with payroll has probably gotten a headache or two trying to understand out how bonuses figure into overtime calculations.

Under both state and federal law, non-discretionary bonuses must be included in an employee's "regular rate of pay" in order to calculate overtime pay. Unfortunately, differences between federal regulations and California law have long made determining the regular rate a confusing process. A recent California appeals court decision provides some guidance for employers—well, sort of.

In Marin v. Costco Wholesale Corp, employees brought a class action lawsuit alleging that Costco's method for including bonuses in overtime calculations violated California law. Costco rewarded its long-term employees with semi-annual bonuses, provided that the employee remained in Costco's employment at bonus time and had worked at least 1,000 hours in the six months preceding the bonus cutoff date. Because the bonuses were paid semi-annually, the overtime calculation pay-rate had to be done retroactively when the bonuses were paid, as required by state and federal law, rather than for each employee's weekly paycheck.

Continue reading story here.

Labels: California, law, Payroll

Special Alert for San Francisco Employers: Commuter Benefits

As of this past Monday, the 19th, San Francisco employers with 20 or more employees are now required to offer commuter benefits to their employees in an effort to encourage the use of public transportation. The benefits must be offered to all employees, including temporary employees, who worked an average of at least 10 hours per week during the previous calendar month. Employers must either administer the benefits program themselves, or hire a third party administrator, and offer one or more of the following benefit options:

• Pre-Tax Benefits: Employer sets up a pre-tax deduction program under current federal tax law allowing employees to use up to $115 in pre-tax wages to purchase transit passed or vanpool services.
• Employer Purchased Benefits: Purchase transit passes or offer vanpool reimbursements to employees in an amount at least equal to the value of the San Francisco MUNI pass (currently $45 per month).
• Employer Provided Transit: Provide a shuttle to transport employees between their homes and workplaces (whether or not the employees live within San Francisco).

Employers who fail to set up a compliant commuter benefits program are subject to citation and fines (up to $500 per violation) imposed by the San Francisco Department of Environment, the city agency that administers the program. More information on the ordinance is available here.

Labels: Administrator, Benefits, California, Employees, Employers, San Fransico, transportation