Horizon Point Consulting

Author: Lorrie Coffey

  • Are Your Company Policies Holding You Back?

    Are Your Company Policies Holding You Back?

    If there’s one thing I’ve learned in my almost 20-year career in HR it’s that the world of HR is ever-changing. And while sometimes we all sit back and take a big sigh and think “not again”, it’s a good thing. Change allows us to grow and adapt. But are there policies that we are holding on to because we’ve always done it that way or everyone else is doing it that way? 

    In this time of the “Great Resignation”, I find myself thinking about what could be changed to make the biggest impact. Not only in the short-term to get people in the seats, but to keep them there for the long haul. 

    Throw out the 40-hour workweek: Henry Ford implemented the 40-hour workweek to give employees a work-life balance that they didn’t have in the 1920s. There were no regulations on working hours, but Ford took a chance, a risk, and did what he knew was right for his employees. One hundred years later, we’re still pushing a 40-hour workweek, even though it’s estimated that the U.S. Labor production has increased by over 300% since 1950. Iceland conducted a study to test out a shortened work week and the results were so powerful that 90% of the workers in Iceland no longer work 40 hours per week. Shorter workweeks have led to happier employees and in many cases an increase in productivity. Other countries, such as the United Arab Emirates, are following suit. 

    While reducing the workweek may not be an option for all organizations, what are some options you could explore? Maybe flexible work schedules, shared shifts, or compressed workweeks. 

    Rethink your background checks: A recent study by RAND Corporation shows that by age 35, 64% of unemployed men have a criminal history. This figure doesn’t even account for unemployed women who struggle to find work due to a criminal history. And many of those who struggle to rebuild their lives and find gainful employment don’t have violent histories, they have drug histories. In recent months we’ve been talking the “great resignation” to death, trying to figure out how to keep employees, how to recruit new hires, and what we need to do differently. But rethinking our background check requirements hasn’t been a part of that conversation. Why does your organization conduct background checks? What are your guidelines for what gets past and what gets passed on? Yes, there are industries that have bona fide background requirements, I understand that. But if you’re not one of those industries, does your background check policy really make sense for your organization? Is it helping you or hindering you? Imagine the potential talent you could tap into by making changes to that requirement or doing away with it completely. 

    Rethink your benefits program: Why do we create benefits packages that are “one-size-fits-all”? A recent study conducted by Lighthouse Research & Advisory shows that employment priorities are different by age group, with the #1 priority for younger employees being work-life balance, while older employees are focused on finances. How can we as employers create a benefits program that meets all of their needs and wants? Imagine a plan that would allow younger employees to elect extra PTO while older employees could elect a cash incentive. Could creating an al a carte benefit program be the wave of the future? Where employers offer a benefit stipend and employees could pick and choose how they want to use that stipend, and their options include conventional benefits such as health and dental coverage and unconventional benefits such as gym memberships and extra paid leave, or even just a payout? 

    These are just a couple of examples of rethinking your company policies using a growth mindset. I challenge you to take a look at your policies, read your Employee Handbook, and ask yourself why your company policies are what they are. Start with your workweek, background, and drug testing policies, benefits, paid leave, and go from there. If the answer you come up with is “we’ve always done it that way” or “it’s similar to what other companies are doing” then you’re focused on a fixed mindset. Ask yourself if there’s a different option that would work better for your organization.

  • Employment Law Update

    Employment Law Update

    2021 was a roller coaster ride when it came to labor and employment law. So what can we expect in 2022?

    Now that the Supreme Court has ruled against the OSHA ETS on vaccine mandates, we will see a shift back to more standard labor and employment law issues this year. The mid-term elections later in the year may impact the direction of labor and employment law as well. Political analysts are keeping a close eye on a number of states that they anticipate may flip with this election. Republicans only need one seat in the Senate and five in the House to regain control. If that happens, we may see a shift from an employee-friendly Congress back to an employer-friendly Congress. 

    Here are some of the areas that we may see changes in for 2022.

    Wage and Hour

    Eleven states have increased their minimum wage rates for 2022. If you are a multi-state employer, you need to confirm that you are compliant with these new rates. In addition, Congress increased the minimum wage for all new, renewed, and extended federal contracts to $15.00 effective January 30th. Some believe this increase is a first step to increasing the federal minimum wage. 

    In addition, the DOL released rulings regarding tipped wages in December. The first ruling reinstates the 80/20 rule, by which employers can claim the tip credit if at least 80% of the work of the employee is tip-generating. The second ruling was aimed to clarify regulations regarding tip pooling or withholding of tips, which is prohibited unless it is to cover the cost of credit card fees. 

    It’s anticipated that the federal minimum wage debate will continue in 2022. 

    Labor Relations

    In December, the NLRB issued a request for briefs to survey whether or not they should reconsider their standard for determining Independent Contractor status. There are also numerous states weighing the question of gig workers and employment classification this year, with Massachusetts aiming to put the question on the ballot this year and other states to possibly follow. Congress currently has bills on the floor aimed at helping to protect the gig economy as well. So it will be interesting to see if there are any advancements on this issue in 2022. 

    Immigration

    It’s anticipated that the current backlogs will shrink this year, although they will not disappear altogether. Under Biden, possible immigration reform includes increasing the total number of allowable employment green cards up from 140,000 annually as well as carrying over any unused slots into the next year. The Biden plan would also add family green cards to allow the family members of the employment green cardholder access to the US without counting against the total number of green cards issued each year. 

    The Biden administration is reviewing the high rate of denials issued for H1-B Visas under the Trump administration and has proposed legislation that would provide permanent work permits to the spouses of H1-B holders. 

    The House just passed H.R. 4521 The America COMPETES Act on February 4th. While H.R. 4521 is aimed at strengthening competition against China, it contains two elements that would impact employment visas. First is the creation of a new classification of visa, W-1, W-2, and W-3, aimed at start-up businesses. Second, the Act would allow for Visa holders with certain doctoral degrees in STEM to obtain a Visa without that Visa counting against annual limits.

    Healthcare

    The Build Back Better Act passed the House in November but stalled in the Senate. Democrats promised a trimmed back version of the bill and Biden continues to attempt to revive talks, but a revised bill has not yet been presented. The fate of the bill is uncertain, but it’s definitely one to keep an eye on this year. While the Build Back Better Act is a very robust bill that would impact many areas of government, employers should pay particular attention to the areas that would impact healthcare, including expansion of the ACA (including modification of the affordability test) and paid family and medical leave. 

    Retirement

    The Supreme Court ruled on January 28th to send the case of Hughes v. Northwestern University back to the 7th Circuit Court for review.  Plaintiffs in the case claim that the plan fiduciary violated ERISA when it did not ensure that the funds offered were prudent options and that the recordkeeping fees were excessive. The outcome of this case could impact a number of cases across the country as well as set a higher standard for fiduciary responsibilities moving forward.

  • Navigating the Vaccine Mandate

    Navigating the Vaccine Mandate

    For many of us right now, our focus is on the OSHA vaccine mandate that was issued on November 5, 2021, and goes into full effect on January 4, 2022. Many employers have been struggling to decipher the mandate requirements, keep up with the latest news, and implement policies that are compliant before the deadline. But as with most things in HR, this is no easy task and it’s ever-changing. Let’s talk about what we know, what we might expect, and how employers can successfully navigate what might come. 

    Deciphering the mandate:

    • The mandate was published on November 5, 2021, and was effective immediately, with employers required to comply within 30 days and implement the testing requirements within 60 days. It will affect approximately 84 million employees nationwide. 
    • It impacts employers with 100+ employees, even if those employees are spread over multiple locations. In the 26 states that have OSHA state plans, it may also impact public sector employees. 
    • It gives employers the option to implement a full vaccine mandate or to allow onsite employees to test at least weekly and wear a face mask in lieu of vaccination. Remote employees are not required to test unless they are returning to work onsite, at which time they must test within 7 days prior to their return to the office. Employers are not required to pay for testing unless otherwise required to do so based on state law, contract requirements, or other written agreements.
    • Employers will be required to obtain and maintain proof of employee vaccination status along with a roster of all active employees’ vaccination status. This includes keeping a copy of each test result for unvaccinated employees. 

    Status of Legal Challenges: 

    • The OSHA Emergency Temporary Standard (ETS) has resulted in multiple federal lawsuits. On November 6th, the U.S. Fifth Circuit Court of Appeals issued a stay order requiring that OSHA not implement the ETS until the courts could hear the case and make a final decision. 
    • On November 12th a three-member panel from the Fifth Circuit issued a lengthy order to continue the stay until the petitioners’ case could be heard. In the order, the panel stated that the petitioners’ challenges to the Mandate have a reasonable likelihood to succeed based on the merits of their arguments. 
    • On November 16th, a lottery was held to determine which court would hear the consolidated case of the 34 petitioners. Those 34 cases span across 12 different federal courts. The U.S. Sixth Circuit Court of Appeals was randomly selected to hear the case. It’s worth noting that the Sixth Circuit is made up of 26 judges, 20 appointed by Republicans and 6 appointed by Democrats. The case will be assigned to a three-member panel that will be randomly selected. The Sixth Circuit has three options- agree with the stay order, modify the current stay order, or vacate the current order and issue their own order. 
    • On November 24th, OSHA filed an emergency motion with the Sixth Circuit to end the stay. At a minimum, OSHA has asked the court to reinstate the masking and testing guidelines outlined in the ETS until the case is resolved. At this time, the Sixth Circuit has not issued a response to the emergency motion. Based on the Sixth Circuit schedule, the stay is likely to last until at least December 10th. 
    • It’s important to note that in the history of OSHA there have only been nine ETS orders issued and six of those were challenged in the courts. Of those six that were challenged, only one survived. 
    • Many states, including Alabama, have passed laws that are aimed at combating the mandate. Alabama passed Senate Bill (SB) 9 Limiting Vaccine Mandates on November 4th, which provides guidance to employers on making accommodations for employees who seek medical or religious accommodations and provides a standard form to be utilized (contained within SB9). The law makes denials of accommodation appealable and the employer cannot terminate employment until the appeal is determined. 

    Preparing for Implementation:

    With the stay order and the mandate’s future up in the air, what should employers do? 

    1. Stay up to date on the legal challenge. The legal experts are keeping a close watch on this and pushing out updates almost daily. If you don’t already, subscribe to resources such as SHRM and connect with local employment attorneys who send out regular updates and newsletters. 
    2. Look at what you’re currently doing that is compliant with the mandate. Are you still requiring masks in your offices, are you collecting and tracking vaccine status for those employees who are vaccinated, and how are you handling accommodations? Do you have a policy in place that outlines these requirements? 
    3. Then look at what you need to be doing to be compliant with the mandate. What mandate requirements are you not currently doing and what will it take for you to start doing them if and when the time comes? If you’re not tracking vaccine status, what steps do you need to take to gather that information, where will you maintain it, and how will you keep a roster? Are you going to require full vaccination or are you going to allow employees the option to test and mask up? Based on the steps you need to take to be compliant, what revisions do you need to make to your policy? 
    4. Review your state laws. Has your state, like Alabama, passed legislation to combat the mandate? How does the state legislation impact the steps you need to take to be compliant with the ETS and the state legislation? And keep an eye on your state legislation. If the ETS is allowed to go forward, that could impact the legality of those state laws. 
    5. Review your contracts. How would the mandate impact any contracts you have? If you are an employer with less than 100 employees but are a sub-contractor to a larger company, will you be required to comply with the mandate in order to be compliant with your contract? What information will you need to provide to the contract client to show that your employees working on the contract are vaccinated or have tested weekly? 
    6. Be prepared for accommodation requests. Again, if you’re in Alabama, the law just changed on accommodations and you have to use the state-provided accommodation form. And any denial of accommodation can be appealed. If you have locations outside of Alabama, do your research and find out of those states have passed legislation to counter-act the mandate and how those laws might impact how you implement the mandate. 
    7. Sit back and wait, but be prepared. Have your policy and procedures ready to go, but don’t implement them until the Sixth Circuit makes a final decision on the ETS. The petitioners have a strong argument based on the feedback provided by the Fifth Circuit panel’s order. And history shows that OSHA’s ETS orders have a long shot at surviving the courts. 

    While it’s impossible to know which way the court will rule, the consensus within the legal community is that OSHA will have a difficult time effectively making its argument. 

  • Show Compassion, Save Your Empathy

    Show Compassion, Save Your Empathy

    “What the world needs more than empathy is compassion. Empathy is feeling the pain and suffering of others. Compassion is acting to relieve the pain and suffering of others.” – Adam Grant

    A couple of weeks ago I was listening to Adam Grant’s podcast while driving and the topic was mental health and how organizations can make an impact. At Horizon Point we’ve been having candid conversations about our own mental health in the last few months. As Mary Ila mentioned in her blog post Taking a Walkabout we have all been dealing with health issues as a result of our own stress and anxieties over the past year or so. For us, it all came to a halt during our first quarterly meeting of 2021. And as a result, we have each agreed to take a sabbatical to focus on ourselves. But at the same time, it has led us to conversations on how we can do the next right thing for our clients as well and help them focus on the mental health of their employees. 

    The podcast with Adam really hit a chord with me. I am an empath, and this is where I really struggle with my mental health. As Adam explains it, having empathy means that you feel the pain and suffering of others. And I agree with him, empathy is exhausting. 

    As Adam mentions in his podcast, when employees are struggling with their mental health, it has a significant impact on their performance. So how can employers show that they care about the mental health of their employees without exhausting themselves in the process? According to Adam, it’s through compassion, not empathy. 

    I had never really thought about empathy and compassion together before. I think we often use the terms interchangeably, I know I did. But now I understand they are very different. 

    Empathy is aimed at an individual and allows for a lot of bias. You will have more empathy for an individual you like than one you don’t. You may have more empathy for that star employee than you do for the one who struggles to meet deadlines. You have more empathy for the employee that reminds you of yourself. 

    Compassion isn’t about how much you feel someone’s pain, it’s about how well you respond to help alleviate that pain. You can have all of the empathy in the world, feel someone else’s pain immensely, but not do anything to help them relieve that pain and suffering. Compassion is all about helping them move through that pain to the other side. 

    So how can organizations create a compassionate culture? 

    • Allow sick days to be utilized for mental health- As Adam puts it allow “sad days.”
    • Make sure your health plan covers mental health, or offer an EAP. 
    • Take two minutes to ask employees how they are. If you notice an employee seems to be having a rough day, show them you care, don’t just try to avoid them. 
    • Ask employees if they need help, don’t wait for them to come to you. 
    • As Brene’ Brown would say, you have to be vulnerable. Be willing to put yourself out there too. At Horizon Point we have all been very vulnerable with each other, both before and now during our rejuvenation period. 

    Creating a culture of compassion helps to keep your employees from the exhaustion of empathy, can increase productivity, improve employees’ mental health which can decrease your healthcare costs, and so much more.

    How can you help your organization create a culture of compassion?  

  • World Mental Health Day- October 10th, 2021

    World Mental Health Day- October 10th, 2021

    As World Mental Health Day approaches, let’s help end the stigma around mental health in the workplace. 

    Did you know? 

    • Pre-Covid, 19% of adults in the US experienced a mental illness, and that number has increased 1.5 million since the start of the pandemic. (MHA)
    • 24% of adults with a mental illness report an unmet need for treatment. This number has not declined since 2011. (MHA)
    • 10.8% of Americans with a mental illness are uninsured. (MHA)
    • 1 in 5 Americans experiences mental illness. (NAMI)
    • Only 45% of American adults with mental illness seek treatment. (NAMI)

    Mental Health America ranks states based on the prevalence of mental illness and access to care. Alabama ranks #40, meaning there is a higher rate of mental illness and fewer resources available to those in need. Where does your state rank? And what can employers do to help not only your employees but also their families? 

    1. Educate yourself. Understand what mental illness is and what it is not. The World Health Organization (WHO) is helping to bring mental health to the forefront on World Mental Health Day by providing a series of workshops that includes topics like Mental Healthcare for All and Mental Health in the Workplace. There are other great resources out there to help educate on mental illness as well, including those available from NAMI.org and MHA.
    2. Provide resources. Make sure your organization provides resources to employees such as mental health benefits within your healthcare plan, an EAP, mental health days (or as Adam Grant refers to them, “sad days”), or wellness programs. But also make sure your employees know these benefits are available to them. Highlight a mental health benefit in your quarterly newsletter, provide comprehensive open enrollment informational sessions that highlight what each plan offers, work with your EAP or wellness program providers to come onsite to do trainings, and make sure you have information posted in the break area on these benefits. 
    3. Know the warning signs. Just because someone says they’re “fine” doesn’t mean they are. Know what to look for such as sudden changes in mood or behavior (keep in mind that these changes can be manic or depressive in nature), difficulty concentrating or meeting deadlines, sudden significant changes in weight or appearance, or complete withdraw. 
    4. Be vulnerable. First, be willing to listen, really listen. If an employee comes to you, be an active listener, let them know you have the time for them. Set everything else aside. Sometimes just having someone listen can make all the difference. And be willing to share, to let down your guard a little, and be honest. As Mary Ila mentioned in her post Taking a Walkabout, we all came to a point where our stress overwork, family, and other things got the best of us and during our recent quarterly planning meeting we all just stopped, took a deep breath, and allowed ourselves to be vulnerable. We all had a snippet of information about things that were going on in each other’s lives, but up until that moment, we didn’t know the true extent of those stressors and the impact they were having on us as individuals, and as a team. 
    5. Take action. This is one I hope you never have to use, but know that if you have reason to believe that there is an immediate threat that an employee may harm themselves or others as a result of their mental health, there are resources available for you to contact to get them the help they need quickly. The local police department will always do a wellness check if requested. 

    How can your organization help end the stigma around mental health in the workplace?