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Rick Rossignol

On Demand Workforce

Posted by & filed under BLOG, Fair Labor Standards Act, Wage and Hour Compliance.

Fed Ex just settled a claim making their freelance independent contractor employees! What does that do to the rest of the companies using the on-demand workforce? We are seeing many companies, created and instead of hiring employees, they utilize the freelance worker.  Genius, they eliminate the cost of employees, or the expenses of their business and gives them a cost advantage over the traditional business model. This business model is under attack! Based on employment laws in California, these employers are going to be writing a very big check to get into compliance with employment law. They are employees! They control the work and the rate of pay!

California becomes the latest state to challenge Uber’s business model by declaring drivers are employees rather than contract laborers. In May, the Florida Department of Economic Opportunity ruled that a former Uber driver who was fired was an employee and had the right to collect unemployment benefits. Uber is contesting that decision. At least five other states have also issued rulings that classify Uber drivers as employees, according to the company, but reversed them after Uber appealed.

http://lat.ms/1LfRw0K

Mayor Garcetti Signs Measure Increasing Minimum Wage in L.A. to $15 Per Hour by 2020

Posted by & filed under BLOG, Human Resources.

On June 10, 2015, the Los Angeles City Council voted to increase the minimum wage to $15.00 an hour by 2020.  Los Angeles Mayor Eric Garcetti signed the measure on Saturday, June 13, 2015.  Employers are required to increase their minimum wages in steps, starting with an increase to $10.50 an hour by July 1, 2016.  Meanwhile, the state minimum wage, which is currently $9.00 an hour, will increase to $10.00 an hour on January 1, 2016. 

Employer’s doing business in more than one city will have different minimum wages based on city, not state regulations. California employers need to stay abreast of the changes in minimum wages. Minimum wages affect the salary test for exemptions and for employers to maintain the exemptions they need to meet the salary test. LA is the fourth City to pass a higher minimum wage than required by the state and federal requirements.

http://bit.ly/1IqQby9

WELCOME TO THE NEW ERA OF HUMAN RESOURCES

Posted by & filed under BLOG, Human Resources, Talent Management.

THE FUNCTION OF HUMAN RESOURCES DEPARTMENT HAS REMAINED THE SAME FOR OVER 100 YEARS. THAT’S ALL ABOUT TO CHANGE.

Really! I started out in HR in 1987, The HR world has changed dramatically. The only real constant changes! HR functions that are administrative are usually a result of the company not valuing HR. Employer not taking care of the compliance usually are not employers of choice.  It’s not administrative! It’s strategic! As I read the article my first thought went to great companies like Google, Apple, Yahoo, GE, and Amgen. These companies created an HR strategy to attract top talent. Yes, it’s a strategy, those companies consistently have their pick of talent and an engaged workforce, year after year.  Not a surprise that they consistently execute their business plan. They have made strategic choices!

http://bit.ly/1Hi184G

Employment Decisions

Posted by & filed under BLOG, Rights in the Workplace.

Managing a workforce requires employers to make employment decisions…  hasty decisions can have costly consequences. On a daily basis, I receive questions from employers, on employment-related issues. Can I terminate this employee because they are on LOA? Can I lay off this employee who filed a sex harassment claim? How long do I have to store personnel records? Employment-related decisions have the potential for unexpected consequences. Virtually every human resources decision can trigger unexpected or unintended consequences. In the rush to address the obvious issues, managers and HR professionals may fail to fully understand the changes to employment law.

Employment law changes led to The California Department of Fair Employment Housing (DFEH) filing 17,632 complaints against employers.DFEH is aggressively going after employers. Making an employment practice that was ok, is a violation of the act now. Most claims have two or more charges FMLA, ADA, or retaliation.

Decisions that can lead to employer liability:

Leave of absence: Employers need to enter into an interactive process. Most situations will require the granting of additional leave.

Organizational downsizing or layoffs: Employers need to develop a selection process and follow it. They need to ensure the process is not discriminatory.

Inconsistent enforcement of employee policies: Can lead to discrimination claims.

Poorly written documentation: Poorly worded e-mails hurt employers. Employers need to be clear in their expectations. They need to develop a process that treats employees with dignity and respect by teaching the management team, effective communication skills. If it is in writing, it is generally discoverable in a lawsuit.

HR issues can very quickly slide into retaliation claims.

Getting HR guidance can save you money! Having employment practices that treat all employees with dignity and respect leads to an engaged workforce.