4 benefits of positive recognition to boost employee engagement
As both employers and employees are facing difficult times both in their work-life and home life due to the circumstances that the coronavirus pandemic has brought into the world, it's important that the negativity does not take place of the positivity needed. Positivity is powerful and can play a critical role in the workplace. Read this blog post for four benefits of positive recognition.
With all that’s happening, it’s easy to become overwhelmed with the negativity in the world. Our emotional state is important at work. Positive emotions transform our minds and increase our ability to bounce back from hard times.
The power of positivity should not be overlooked, and recognition plays a critical role in generating these emotions in a modern workplace. Open acknowledgement and expressed appreciation for employees’ contributions can go a long way.
Improve employee retention
The first benefit of positive employee recognition is improving employee retention. In fact, according to industry analyst Josh Bersin, companies that build a recognition-rich culture actually have a 31% lower voluntary turnover rate.
Gallup research on recognition also shows that employees who don’t feel recognized at work are twice as likely to quit within a year. In today’s current environment where many organizations are driving more productivity with fewer employees, leaders need to ensure that they’re not forgetting to focus on employee retention. You’d be hard-pressed to find an organization that isn’t concerned about retaining top talent right now; top performers will find new opportunities even when they’re hesitant to move.
Creating a workplace where people want to stay isn’t just beneficial for employees; it’s also good for the bottom line. Turnover cost can be difficult to compute, but I challenge you to consider the costs of recruiting, onboarding, training, and the lost institutional knowledge that comes with poor retention.
Increase employee engagement
The second benefit that is particularly important right now is increased employee engagement. Our own research showed that 84% of highly engaged employees were recognized the last time they went above and beyond at work compared with only 25% of actively disengaged employees. We also found that while 71% of highly engaged organizations recognize employees for a job well done, only 41% of less-engaged organizations did so.
Positive recognition is powerful and has a clear tie to engagement. Yet, many organizations still do not adequately measure engagement. When was the last time you measured engagement with your own team? How much opportunity is there to improve through recognition?
Boost employee morale
The third benefit of positive recognition is boosted morale. I already mentioned the transformative effect of positivity, but the simple act of thanking people can make a tremendous difference. When employees were asked about their experience at work,70% said that motivation and morale would improve “massively”with managers saying thank you more.
How did you feel last time you were recognized?
Positivity has an important impact on employees, but it also pays literal dividends to companies that have figured out how to encourage it. Research from author Shawn Achor shows that happiness raises sales by 37% and productivity by 31%. Consider ways you can encourage your team to recognize each other more often.
Leverage peer recognition
It turns out that peer recognition massively outperforms top-down recognition. Peer recognition occurs when individuals give and receive recognition from their peers, managers, and direct reports.
Being recognized by colleagues is incredibly powerful for employees, especially when it’s done publicly. Peer recognition is 36% more likely to have a positive impact on financial results than manager-only recognition, according to SHRM. Managers can’t see every positive action that occurs, so think about how to encourage everyone to participate in recognition of great work across the entire organization.
SOURCE: Crawford-Marks, R. (14 September 2020) "4 benefits of positive recognition to boost employee engagement" (Web Blog Post). Retrieved from https://www.employeebenefitadviser.com/list/4-benefits-of-positive-recognition-to-boost-employee-engagement
Views: Mitigating COVID-19’s catastrophic impact on retirement readiness
As the coronavirus has placed many financial worries onto families, it has also placed a sense of worries for those that are planning for their retirement. Read this blog post to learn more.
It’s bad enough that more than 50 million Americans have filed claims for unemployment benefits since the start of the COVID-19 pandemic and lockdown. But in addition to the disruption, financial hardship, and uncertainty that unemployed Americans (and their families) are experiencing right now, this crisis also threatens their financial security during retirement.
As I have written many times before in this column, defined contribution plan participants will seriously diminish their retirement savings if they prematurely cash out all or part of their 401(k) savings account balances. According to our research, a hypothetical 30-year-old who cashes out a 401(k) account with $5,000 today would forfeit up to $52,000 in earnings they would have accrued by age 65, if we assume the account would have grown by 7% per year. In addition, the Employee Benefit Research Institute (EBRI) estimates that the average American worker will change employers 9.9 times over a 45-year period. With at least 33% and as many as 47% of plan participants cashing out their retirement savings following a job change, according to the Savings Preservation Working Group, that means workers switching jobs could cash out as many as four times over a working career, devastating their ability to fund a secure retirement.
Even before COVID-19 and “social distancing” became part of the national lexicon, cash-outs posed a huge problemto Americans’ retirement prospects. At the beginning of this year, EBRI estimated that the U.S. retirement system loses $92 billion in savings annually due to 401(k) cash-outs by plan participants after they change jobs.
These alarming trends were uncovered long prior to the pandemic and lockdown. Since the start of the COVID-19 outbreak, theCoronavirus Aid, Relief, and Economic Security (CARES) Act stimulus has temporarily eased limits, penalties, and taxes on early withdrawals from retirement savings accounts made by December 31, 2020. While the CARES Act measures are clearly well-intentioned, participants who take advantage of these provisions risk creating a long-term problem while resolving short-term liquidity needs.
Heightening the temptation to make 401(k) withdrawals is the recent expiration of another CARES Act provision—the extra $600 weekly payments to Americans who lost their jobs due to the COVID-19 pandemic. These additional federal unemployment benefits expired at the end of July, and as of this writing no deal to extend them has been reached in Congress. For Americans who had been relying on this benefit, or continue to experience financial hardship and stress about paying expenses, it is understandable that 401(k) savings could look like an attractive source of emergency liquidity.
However, given the long-term damage that cash-outs inflict on retirement outcomes, plan sponsors and recordkeepers should take this opportunity, as fiduciaries, to educate their current and terminated participants about the importance of tapping into their 401(k) savings only as an absolute last resort.
Institutionalizing portability can help
The lack of a seamless process for transporting 401(k) assets from job to job causes many participants to view cashing out as the most convenient option. And without an easy way to locate the mailing addresses of lost and missing terminated participants, sponsors and recordkeepers are unable to ensure holders of small accounts receive notifications about the status of their plan benefits.
Fortunately for participants, sponsors, and recordkeepers, technology solutions enabling the institutionalization of plan-to-plan asset portability have been live for three years. These innovations include auto portability, the routine, standardized, and automated movement of a retirement plan participant’s 401(k) savings account from their former employer’s plan to an active account in their current employer’s plan.
Auto portability is powered by “locate” technology and a “match” algorithm, which work together to find lost and missing participants, and initiate the process of moving assets into active accounts in their current-employer plans.
By adopting auto portability, sponsors and recordkeepers can not only discourage participants from cashing out, but also eliminate the need for automatic cash-outs. And these advantages come at a time when the hard-earned savings of tens of millions of Americans are at risk of being removed from the U.S. retirement system.
Before the COVID-19 pandemic, EBRI estimated that if all plan participants had access to auto portability, up to $1.5 trillion in savings, measured in today’s dollars, would be preserved in our country’s retirement system over a 40-year period. Now more than ever, the institutionalization of portability by sponsors and recordkeepers is essential for helping Americans achieve financial security in retirement.
SOURCE: Williams, S. (31 August 2020) "Mitigating COVID-19’s catastrophic impact on retirement readiness" (Web Blog Post). Retrieved from https://www.employeebenefitadviser.com/opinion/how-to-mitigate-covid-19s-potentially-catastrophic-impact-on-retirement-readiness
What employers are missing in their workforce data
If employers don't analyze their data thoroughly, they may be missing valuable information that could save their establishment of many costs. Read this blog post to learn more.
Employers are missing out on valuable healthcare information and cost-saving opportunities if they don’t analyze their data thoroughly, panelists at the annual Disability Management Employer Coalition digital conference said.
According to professionals from an insurance company in Portland, Ore., many employers have access to three types of data: healthcare, absence and productivity. HR departments are typically tasked with collecting and analyzing this data, but rarely do they use all three together. But maximizing these findings can help employers better inform their benefit decisions, the panelists said.
“Most employers want to know how much they’re spending on healthcare, but they can learn so much more than that,” said Case Escher, managing partner of the insurance company in Portland, “Very few [employers] use it to explore how health of the workforce is affecting productivity.”
“By comparing health data and absence, you can see if a health condition is causing an employee to miss more work than usual,” said Brycie Repphun, account executive at the insurance company in Portland. “You can use this information to help better inform that person about the services available to them to help them be successful at work.”
Employers can also use their productivity data to help determine if individual employees, or an entire team, are struggling, Escher said. Since productivity is measured differently at every company, and in various positions, employers have to exercise their own judgement about how to interpret it, he said.
“Obviously, if it’s a sales position, and one of your top performers is out because of medical issues, or another personal reason, the productivity of that team is going to suffer,” Escher said. “And if that person is going to be out for a while, the data will likely show that the rest of the team is getting burned out faster to compensate for being understaffed.”
Since the majority of the nonessential workforce is working from home due to the pandemic, Repphun recommends that employers start looking at their data to see how employees are coping.
“Health conditions can definitely impact work performance, but we’re finding that this is happening because of the current work from home situation,” Repphun said. “People aren’t working in ideal conditions, and many have children learning at home as well.”
Escher said self-funded employers are better positioned to make use of their workforce data because they don’t have to go through multiple third-party providers to access all of it. But other employers can still benefit from the information if they’re willing to put in the time and effort to retrieve the reports. While employers can certainly survey their workforce to gauge how working remotely is affecting their productivity, Escher and Repphun said they can get a clear answer by looking at all three data points.
“There’s an indisputable link between health and productivity,” Escher said. “As an employer, you can take this information and use it to make smart decisions to help your employees continue to be successful.”
SOURCE: Webster, K. (31 August 2020) "What employers are missing in their workforce data" (Web Blog Post). Retrieved from https://www.employeebenefitadviser.com/news/what-employers-are-missing-in-their-workforce-data
How to Evaluate Hiring Assessments
HR professionals and managers need reliable ways to gather and evaluate various assessments. Read this blog post to learn more about how to evaluate assessments.
When faced with a hiring decision, HR professionals and managers have to consider everything they know about the applicants. But that might not be enough information to make a choice. To get more information and add objectivity to the decision-making process, many organizations use assessments.
"When these tools are used correctly, they're tremendously valuable," said Eric Sydell, Ph.D., an industrial-organizational psychologist and the chief innovation officer at Modern Hire, a hiring platform. "There's a level of objective assessment about a person that can be very predictive."
HR professionals and hiring managers don't have the ability to make accurate predictions in the same way assessments can. "Our brains don't work that way," he said.
But buyer beware, Sydell warned, "There are a lot of tools out there that sound great on the surface" but fail to deliver valid and reliable results.
Multiple Options Present Tough Choices
Ryne Sherman, chief science officer at Hogan Assessment Systems in Tulsa, Okla., said he suspects that most large corporations are probably using reliable and valid assessments, while smaller businesses may not be. Unfortunately, he said, "With this industry, there is no regulating body at all—literally anybody can make an assessment tool and start selling it with no background and no science put into it whatsoever."
Perhaps because of the open nature of the field, there are a lot of tools to choose from and many of them are complex, making the selection of one of them a potentially confusing—and even risky—decision to make.
Must-Haves for Effective Assessment Tools
Ryan Lahti, Ph.D., is an industrial-organizational psychologist and the founder and managing principal of OrgLeader, a management consultancy in Newport Beach, Calif. He uses a variety of assessment tools in his work. There are many factors to be considered when evaluating an assessment tool, he said, but the three key ones are validity, reliability and the population that was used to develop it.
Validity deals with how accurately the tool measures the concepts it claims to measure. Lahti pointed to three forms of validity:
- Content validity indicates how well the tool measures a representative sample of the subject of interest. At a minimum, he said, you want a tool that has content validity.
- Criterion validity indicates how well the tool correlates with an established measure or outcome—for example, correlation to strong performance ratings.
- Construct validity indicates how well the tool measures a concept or trait—for example, conscientiousness.
Reliability is a measure of how consistently the tool measures issues of interest. If you were to give the same assessment to the same candidate more than once, how similar would the results be?
Finally, the population used to develop the tool is an important consideration and should be the same as the population being assessed. "For example, you would not want a tool developed on an adolescent population to be used to assess working adults," Lahti said.
Sherman offered the Minnesota Multiphasic Personality Inventory (MMPI) test as an example. The popular assessment tool used by organizations to screen candidates was designed for diagnosis and treatment of mental health conditions, he said. That can be a risky tool to use for assessing the potential of job applicants.
What to Watch Out For
As HR leaders consider various assessment options, they need to thoroughly evaluate whether the assessments they're considering incorporate the must-haves. Look out for companies that don't publish information on validity, reliability and the population used to develop the assessment.
Some companies, Lahti said, will say that their tools are used by a lot of Fortune 500 companies.
"While this argument shows they have good sales and marketing departments, it does not prove the companies have sound assessment tools," he said.
Sy Islam, Ph.D., an associate professor at the State University of New York at Farmingdale and a vice president at Talent Metrics consulting firm in Melville, N.Y., said employers should ask test companies to show their worth. "Vendors should be able to provide you with a validity coefficient, which is a statistic—a correlation coefficient—that indicates how much predictive validity the assessment has," he said. He warned against accepting "black box" explanations like "the tool is proprietary and cannot be explained." The ability to support your assessment could become an issue if your company becomes involved in a lawsuit, he said.
"What you don't want to do is rely on high-level summary statements, marketing statements or hype that is generated by these companies," Sydell said. "There are a lot of different buzzwords and catchphrases that vendors will throw out there. It's really important to look beyond that and dig below the surface." And, while he says you don't need a Ph.D. to do that, it is a good idea to seek help from someone who is familiar with these types of assessments and can help evaluate their efficacy.
"I would strongly advise finding a local industrial and organizational psychologist who can evaluate different vendors and talk to you about best practices," Sherman said. The proper assessment and selection of candidates is just too important, and potentially risky, to cut corners.
SOURCE: Grensing-Pophal, L. (27 February 2020) "How to Evaluate Hiring Assessments" (Web Blog Post). Retrieved from https://www.shrm.org/resourcesandtools/hr-topics/talent-acquisition/pages/how-to-evaluate-hiring-assessments.aspx
Actions on Payroll Taxes and Unemployment Benefits Promise Relief, Raise Questions
Due to the amount of job losses caused by the coronavirus, President Trump has signed a series of executive orders to provide financial relief. Read this blog post to learn more.
On Aug. 8, President Donald Trump signed a series of executive orders and memorandums intended to provide financial relief to employees and those who have lost their jobs due to the COVID-19 pandemic.
These declarations included a Memorandum on Deferring Payroll Tax Obligations in Light of the Ongoing COVID-19 Disaster, which directed the Treasury Department to defer collection of the employee portion of Social Security FICA taxes—part of required payroll tax withholding—from Sept. 1 through the end of 2020. The deferred taxes may have to be subsequently repaid unless Congress enacts legislation stating otherwise.
Trump cited his authority to postpone certain tax deadlines by reason of a presidentially declared disaster. Democrats, however, are expected to challenge that claim in court. Nevertheless, it is prudent for employers and payroll managers to stay aware of developments and prepare to move quickly if the directive and upcoming guidance are not blocked or superseded by enactment of a comprehensive relief bill.
Payroll tax relief, as outlined in the president's directive, would require employers to take steps to ensure compliance, including working with their payroll administrators to adjust their systems by Sept. 1. Employers would also need to explain to employees that while their take-home pay may go up in the short term, they may be required to repay these deferred taxes at a future date.
Details on employer requirements, however, would depend on Treasury Department guidance, expected to be issued shortly.
The other presidential actions authorized a weekly supplemental federal unemployment benefit of up to $400, reduced from the $600 weekly supplement that expired July 31; continued student loan payment relief; and called for measures to prevent residential evictions and foreclosures resulting from financial hardships due to COVID-19.
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Reduced Unemployment Insurance Supplement Republicans in Congress argued that the initial $600 federal supplemental payment disincentivized recipients from seeking jobs, since many were collecting more money unemployed than employed. Some wanted the program reduced to $200 per week, while Democrats argued the program should be renewed at the original $600 per week. Questions were raised about funding for the $400 unemployment insurance boost, which would pull from FEMA's Disaster Relief Fund to pay for a portion of the supplemental benefits while asking states to fund the remainder. Because states may not use the unemployment program to pay benefits unless they are authorized by Congress, they may have to set up a new system to pay their portion of the supplement. Unemployment experts were also unsure about how funds will be distributed, who will qualify for benefits and how long the benefits will last, pending regulatory guidance. |
FICA Taxes
Social Security and Medicare payroll taxes are collected together as the Federal Insurance Contributions Act (FICA) tax. FICA tax rates are statutorily set and are not adjusted for inflation.
Social Security is financed by a 12.4 percent payroll tax on wages up to employees' taxable earnings cap—$137,700 for 2020—with half (6.2 percent) paid by workers and the other half paid by employers. There is no earnings cap on the Medicare portion of FICA, for which employers and employees separately pay a 1.45 percent wage tax.
The COVID-19-related payroll tax relief only applies to the Social Security portion of FICA.
The Payroll Tax Directive
Section 2302 of the Coronavirus Aid, Relief, and Economic Security (CARES) Act, enacted in March and implemented through IRS Notice 2020-22 and a series of IRS FAQs, allows eligible employers to defer the deposit and payment of the employer's share of Social Security FICA taxes for the period beginning March 27, 2020, through Dec. 31, 2020. The deferral also applies to 50 percent of the equivalent taxes incurred by self-employed persons. The deferred payments must subsequently be paid to the Treasury Department, with half due by Dec. 31, 2021, and the other half by Dec. 31, 2022.
The CARES Act provision and related guidance did not apply to employees' share of the Social Security tax.
Under the new presidential directive:
- The secretary of the treasury is authorized to defer the withholding, deposit and payment to the Treasury of employees' portion of Social Security payroll taxes on applicable wages or compensation paid from Sept. 1, 2020, through Dec. 31, 2020. This provision does not apply to the Medicare portion of FICA taxes.
- The deferral is to be made available to employees whose earnings during any biweekly pay period is generally less than $4,000, calculated on a pretax basis, which would cover salaried employees earning $104,000 or less per year.
- Social Security taxes for these employees will be deferred without any penalties, interest, additional amount or addition to the tax.
- The secretary of the treasury is directed to issue guidance to implement the president's memorandum and to explore avenues, including legislation, to eliminate the obligation to pay the taxes deferred under the implementation of the memorandum.
Josh Blackman, a constitutional law professor at the South Texas College of Law Houston, blogged that HR lawyers will have until Sept. 1 "to figure out the details." Because the policy terminates on Dec. 31, 2020, "President Trump, or President Biden, will be forced to decide whether to continue this program," he wrote.
A Controversial Move
"By providing this tax relief, American families will have more cash on hand during these critical next few months," according to a White House statement.
White House economic advisor Larry Kudlow said that "we will take any steps possible to forgive this deferral," so employees will not be required to pay back the amounts deferred through Dec. 31, The Hill reported. However, doing so would require new legislation by Congress.
Presumptive Democratic presidential nominee Joe Biden charged that Trump would try to make the cuts permanent if re-elected and said doing so would "undermine the entire financial footing of Social Security."
Prepare to Adjust Systems and Notify Employees
For now, HR payroll managers should:
- Discuss with their payroll administrators steps to adjust their payroll systems to exclude employees' share of FICA Social Security taxes beginning Sept. 1, pending the issuance of Treasury guidance.
- Prepare to notify employees that possibly less of their pay will be subject to payroll withholding, although the reduction in payroll taxes may have to be paid back in the future.
- Expect questions from employees who may be confused about current and future paycheck adjustments.
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Employers' Questions Await Guidance The president's executive memorandum "leaves open a number of questions and issues, some of which will likely be addressed by guidance from Treasury," according to a legal alert by Adam Cohen, Mary Monahan and Robert Neis, partners at law firm Eversheds Sutherland in Washington, D.C. Issues to be addressed, they said, include:
A Wait and See Approach Melissa Ostrower and Robert Perry, principals in the New York City office of law firm Jackson Lewis, "recommend that employers continue to monitor applicable guidance, but not make any changes to their payroll withholding processes at this time." They added, "We realize that changes to payroll systems require lead time, but given the uncertainty surrounding how the deferral will be implemented and whether it actually will become effective, we think this is the most prudent course at this time." SOURCE: Miller, S. (10 August 2020) "Actions on Payroll Taxes and Unemployment Benefits Promise Relief, Raise Questions" (Web Blog Post). Retrieved from https://www.shrm.org/resourcesandtools/hr-topics/compensation/pages/actions-on-payroll-taxes-and-unemployment-benefits-promise-relief-raise-questions.aspx |
Keeping Up with Professional Development During the Pandemic
As many state and local governments recommend and require social distancing, many professionals are looking at other ways to continue growing and developing. Read this blog post to learn more.
Many employees need to accumulate credits to keep their professional credentials, and they may look forward to large gatherings with their peers each year where they can learn about the latest developments in their industry. But the coronavirus pandemic is changing the way employees and businesses are approaching professional development, with many opting—at least for now—for online learning.
"We've seen a large shift in the manner in which these things are being done," said Melissa Peters, an attorney with Littler in Walnut Creek, Calif.
Since March 31, the U.S. State Department has advised U.S. citizens to avoid all international travel due to COVID-19. Within the U.S., the Centers for Disease Control and Prevention (CDC) had urged residents of New York, New Jersey and Connecticut to temporarily halt nonessential domestic travel and asked people everywhere in the country to carefully consider the risks before traveling.
"Some employers are going further and recommending that employees cancel or postpone all nonessential travel," observed Douglas Brayley, an attorney with Ropes & Gray in Boston.
The White House and many state and local governments have either recommended or required people to practice social distancing through April and even beyond—which is causing some business and professional associations to find creative alternatives to their in-person meetings.
Going Virtual
A webinar or videoconference may be a good alternative to an in-person meeting, Brayley said.
Elizabeth Wylie, an attorney with Snell & Wilmer in Denver, noted, "Many companies are bolstering their remote conferencing access to ensure it is adequate to meet the anticipated increase in needs in the coming weeks."
Kathleen Sullivan, chief human resources officer at law firm Clark Hill in Pittsburgh, said her firm is using webinars, videoconferencing and phone conferencing technologies. "Our goal is to continue to provide excellent client service while we ensure we are taking care of our employees," she said.
In response to limits on travel and social gatherings, some licensing bodies have eased up on their e-learning limits. For instance, the Indiana Supreme Court and other state high courts have temporarily waived distance-learning limitations for attorneys seeking continuing education credits.
The Society for Human Resource Management (SHRM) has transformed its 2020 Talent Conference & Exposition to a virtual experience so attendees can stay current and earn professional development credits without leaving their homes.
"We've been working with public health officials and collaborating with the conference venue and vendors to make an informed decision based on the latest science, local public health guidance, and our ability to provide the HR community with the best event and professional development experience you've come to expect from SHRM, in a safe environment," SHRM said on its website.
Should Employers Reimburse Nonrefundable Expenses?
"There is not a uniform practice in terms of [employers] reimbursing for canceled or postponed trips," said Mark Keenan, an attorney with Barnes & Thornburg in Atlanta. He said organizations need to make such decisions based on:
- The health and welfare of their employees.
- Whether such trips can be rescheduled or postponed with limited incidental additional expense.
"However," Keenan said, "most organizations would still reimburse such trips as an appropriate business expense, and therefore should reimburse nonrefundable costs as they would with any other itinerary change."
If the employer paid for the professional development and travel in the first place, any cancellation costs would generally be absorbed by the employer, said Susan Kline, an attorney with Faegre Drinker in Indianapolis. "If it's something the employee signed up for as a personal matter for a weekend or vacation, employers might treat it like any other vacation."
She noted that some states, such as California, require employers to reimburse reasonable business expenses.
Peters said employers are making difficult business decisions as they struggle with the economic impact of COVID-19. "There are legal aspects, but whether or not you want to reimburse people for professional development should be aligned with the company's philosophy and business needs."
The best practice for each business is highly dependent upon its business needs, industry and workforce, Wylie said, and is subject to change as the recommendations of public health agencies evolve.
Stay Updated
"The employer community seems to be very proactive in communicating updates on the coronavirus and the impact on their workforces," Keenan observed. For now, he said, the best practices are to not panic and to monitor the CDC's website.
"The situation is evolving rapidly," Sullivan said. "It is important to stay up-to-date with the current information."
SOURCE: Nagele-Piazza, L. (13 April 2020) "Keeping Up with Professional Development During the Pandemic" (Web Blog Post). Retrieved from https://www.shrm.org/resourcesandtools/legal-and-compliance/employment-law/pages/keeping-up-with-professional-development-during-the-pandemic.aspx
COVID-19 at-home testing kits can make returning to work safer
As many begin to return to the workplace, both employers and employees are fearful of bringing the COVID-19 virus into the workplace. A company has produced an at-home testing kit for those returning to work. Read this blog post to learn more.
While access to wide-spread coronavirus testing is still a barrier for millions of Americans, computer software company Appian is partnering with Everlywell, a digital health company, to offer COVID-19 at-home testing kits for employees returning to the workplace.
“Everlywell was founded to give people access to high-quality lab tests that can be taken at home,” said Julia Cheek, founder and CEO of Everlywell. “We are proud to support Appian’s customers in providing FDA-authorized COVID-19 testing to help keep them safe.”
Since March, more than 50 million coronavirus tests have been reported to the CDC, of which 5 million were positive. But as states reopen their economies and infection rates increase, there are growing concerns about supply chain problems, according to Politico. Reopening has increased demand for testing, causing samples to pile up faster than labs can analyze them, which is lengthening turnaround times for results — complicating efforts to contain the virus.
Everlywell’s at-home lab tests seek to streamline the process of testing for their employer clients. The COVID-19 test will be integrated within the Appian Workforce Safety solution. Through the partnership, people using Appian’s return-to-site solutions will be able to request home delivery of Everlywell’s COVID-19 testing kit by taking a screening questionnaire based on CDC guidelines. Each test request will be reviewed by an independent physician from Everlywell’s third-party telehealth partner. Test results can be delivered to the test-taker’s mobile device in 24-48 hours after the sample arrives at an authorized lab.
The lab tests have received emergency use authorization from the Food and Drug Administration. The testing used by the company and its lab partners meet the FDA’s performance criteria for COVID-19 test accuracy, and telehealth consultations are included for those who test positive.
“How much you know as an organization is how much you can protect the members of your organization,” says Matt Calkins, CEO of Appian. “This is the fastest way to get information on infection. We've seen that high amounts of testing can help minimize COVID-19. Knowledge is power, so we're trying to get [employers] as much knowledge as possible, as quickly as possible, and provide them with another tool to keep their employees safe.”
As employers make their strategies for returning to work, workplace safety is of top concern. Antibody screening, thermal cameras and on-site nurses are all methods being considered to help employees stay safe. Digital health is playing a major role in helping employees self-report their risks, whether that be the employee taking the subway, or living with someone who’s immunosuppressed. It can also help employers scalably monitor and assess people's symptoms on a daily basis, ensuring that sick employees stay at home and quarantine. Workplace changes may also include desks and workstations being spread further apart, and stricter limitations on large meetings and gatherings in the office.
Appian’s platform helps employers centralize and automate all the key components needed for safe returns to work. Through the platform, employers can process health screenings, return-to-site authorizations, contact tracing, isolation processing, and now, COVID-19 testing.
“A lot of people would rather work with an employer who goes the extra mile, who’s willing to offer and pay for tests if necessary for their own employees, and to quickly deploy it, where there’s even a suspicion of transmission,” Calkins says. “It’s a responsible gesture and a serious signal that the employer cares about the health of their workforce, and employees are reassured that their colleagues are more likely to be healthy.”
SOURCE: Nedlund, E. (30 July 2020) "COVID-19 at-home testing kits can make returning to work safer" (Web Blog Post). Retrieved from https://www.employeebenefitadviser.com/news/covid-19-at-home-testing-kits-can-make-returning-to-work-safer
‘It’s a fool’s choice’ when employers ignore investments in mental health benefits
Many employers have realized that the coronavirus pandemic has effected their employee's mental health tremendously. Many are now looking into opportunities to innovate change in the way mental health is viewed. Read this blog post to learn more.
As more states reopen and the return to work process gets underway, employers are grappling with how to address the rising mental health issues that have resulted from the COVID-19 pandemic.
The Society for Human Resource Management Foundation, One Mind at Work, and Psych Hub have partnered together to launch Mental Health and Wellness in the Workplace, an initiative to engage HR professionals in education and training opportunities to lead changes in the way mental health and wellness are viewed in the workplace.
“Our focus is on helping HR professionals and managers lead positive social change in the workforce,” says Wendi Safstrom, executive director of the SHRM Foundation. “We think it's critical to help employers and employees manage significant mental health tools related to COVID-19, and even beyond as companies begin to reopen.”
Mental health has been a growing concern among workers as the pandemic has worn on. About 41% of employees feel burnt out, drained, or exhausted from their work, according to data from SHRM. Additionally, nearly one in four employees report frequently feeling down, depressed, or hopeless — yet more than one in three employees reported having done nothing to cope with these feelings.
The SHRM Foundation, One Mind and Psych Hub initiative provides employers and HR professionals with a workplace wellness resource center, as well as training resources to help them address and improve mental health issues among employees.
The training covers topics like promoting workplace wellness, managing mental health during a crisis, and becoming an “agent of change” for workplace mental health.
Providing wide-spread education on mental health ensures that the diverse needs of employees have the opportunity to be met.
“What we're saying to everyone is that you cannot be autocratic here — this is about empathy,” says Garen Staglin, chairman of OneMind and co-founder of OneMind at Work. “You can't mandate that people are going to feel okay just because you tell them it's okay.”
Each member of the alliance brings a particular expertise in their respective practice areas. The SHRM Foundation focuses on workplace social change, One Mind at Work focuses on best practices and tools for brain health in the workplace, and Psych Hub focuses on multimedia learning solutions to mental health and addiction.
The materials are available to all companies and HR professionals via the Psychhub website. Employers, HR, and staff will have access to articles and other content on a variety of mental health subjects.
Investing in this program will not only help employees as they’re struggling now, but ensure investment into their future.
“We did a study that said for every dollar you invest in accelerating workplace best practices for mental health, you'll get a $3 to $5 return in the form of lower absenteeism, improved productivity, better customer service, and lower workers comp claims,” Staglin says. “It's a fool's choice to ignore brain health and workplace mental health, because the costs are extremely high.”
SOURCE: Schiavo, A. (23 July 2020) "‘It’s a fool’s choice’ when employers ignore investments in mental health benefits" (Web Blog Post). Retrieved from employeebenefitadviser.com/news/its-a-fools-choice-when-employers-ignore-invest-in-mental-health-benefits
When Should Managers Call HR?
When one thinks of contacting the HR department, it's often associated with filing a complaint or discussing a workplace issue that is in need of a resolution. There are often more reasons as to why the HR department needs to be contacted. Read this blog post to learn more.
Employers expect supervisors to resolve some issues on their own and to report other things to human resources—or possibly to in-house counsel—rather than to resolve them independently.
But do you know which is which? For example, you probably know that you should report to HR all complaints of unlawful discrimination, harassment or retaliation, even if:
- The employee requests that the complaint be kept confidential.
- The employee implores the supervisor not to consult with HR.
- The complaint appears to lack merit.
But in other instances, the line is less clear. For example, if an employee is frequently late, it's your job to resolve the issue by confronting the employee about his lateness and handling it according to established company policies. But what happens if the chronically tardy employee responds by saying that he has been late because of chemotherapy appointments? That's the kind of information you need to report to HR so a determination can be made about whether a work accommodation is appropriate.
Here are some other clarifications of when to report in suspect categories:
WAGE COMPLAINTS
An employee complaint about not being paid as much as he deserves usually is an employee relations issue, not a legal issue. But when an employee complains that the employer has failed to pay him for time worked or has made improper deductions from his pay, savvy supervisors will see legal red flags. For nonexempt employees, improper deductions may include things like not paying for short breaks. For exempt employees, improper deductions may include deductions inconsistent with the salary basis requirement of the overtime regulations of the Fair Labor Standards Act (FLSA), such as not paying an exempt employee for a holiday when the employer is closed.
By immediately reporting a wage complaint to HR, you let the organization determine whether the complaint has merit. If no money is owed or no improper deductions made, HR can correct—or at least try to correct—the employee's misunderstanding. On the other hand, if there was a mistake, HR can correct it before the employee files a complaint with an administrative agency or court. This should go a long way toward minimizing the employer's exposure to liquidated damages for willful violations of the FLSA, and it also may mitigate an employer's liability under state wage and hour laws, whose requirements and penalties are often more stringent than federal law.
Remember, you must report even minor wage claims. A single employee's small wage loss may signal a systemic problem affecting other employees—in other words, a class action waiting to be born.
ALLEGATIONS OF WRONGDOING BY OTHERS
More and more employees are "blowing the whistle" on alleged wrongs that may not directly affect their terms and conditions of employment—alleged corporate fraud, for example. Managers should report immediately complaints of criminal or fraudulent activity, or violations of statutes such as the Sarbanes-Oxley Act. You also should report alleged violations of core employer policies that may have material legal and business consequences, such as conflict of interest policies, business ethics standards or codes of conduct.
DISCLOSURE OF MEDICAL INFORMATION
Any disclosure of a serious health condition or a physical or mental impairment by a job applicant or employee should be reported to HR—even if the applicant or employee doesn't specifically seek an accommodation. During interviews, you may ask applicants whether they can perform the essential functions of the job for which they have applied—but you may not pursue any medical inquires before making a conditional offer of employment. Likewise, where a current employee's performance or behavior is below standard, managers need to focus on the deficiencies—and not inquire or speculate as to any suspected medical reason that may underlie them.
But what if an applicant says that he cannot perform a particular function because of clinical depression, or an employee acknowledges her performance deficiencies but says that lethargy resulting from her heart condition has caused them? In these cases, even though there was no direct request, the disclosure puts the employer on notice that the applicant or employee may need an accommodation. Accordingly, the employer—that is, HR and not you—may need to begin the interactive process to determine whether a reasonable accommodation is needed.
ACCOMMODATION OR LEAVE REQUESTS
An applicant or employee need not use the legal words "Americans with Disabilities Act (ADA) accommodation" or "Family and Medical Leave Act (FMLA)" to trigger statutory rights. The key is whether a reasonable supervisor would recognize the individual's communication as a request for an accommodation or a leave of absence. With regard to accommodations, for example, you should report requests for help, support, job changes, etc. if the employee—contemporaneously or previously—has disclosed the existence of a serious health condition or impairment.
As for leave, report requests for "time off" for medical or other potential FMLA situations, even if the employee does not utter "FMLA." Even if the employee clearly is not eligible for FMLA leave, you need to report a request for time off because a leave could be a reasonable accommodation under the ADA regardless of FMLA eligibility.
EVIDENCE OF UNION ACTIVITY
If 30 percent of eligible employees in an appropriate bargaining unit sign union authorization cards, the union can petition the National Labor Relations Board for an election. Even if an employer wins the election, the victory can be very costly. The key to avoiding elections is early detection of and rapid response to union activity. But employers often begin their counteroffensive only after the union has obtained the 30 percent showing of interest. Sometimes, this is because supervisors fail to report to HR what they may see as "isolated" signs of union support. A bundle of isolated, minor occurrences may amount to evidence of a serious union campaign.
Direct signs of union activity would include an employee handing out a union flier in the parking lot or wearing a pro-union T-shirt. Indirect warning signs would include unusual off-site gatherings of employees—at barbecues, bowling alleys and bars. You also need to be aware of the restrictions on your behavior under the National Labor Relations Act. Supervisors cannot:
- Spy on employees to see who may be engaging in union activity.
- Promise employees benefits for refraining from union activity.
- Interrogate employees as to whether they or others are engaging in union activity.
- Threaten or take adverse action against employees for engaging in union activity.
While you cannot spy, you can report what you see in plain view. And while you cannot interrogate employees about their union sympathies, you can report what is volunteered or what you inadvertently overhear.
GOVERNMENT COMMUNICATIONS
Inform HR immediately if you receive any communication from a government agency, official or entity, including everything ranging from a charge of discrimination filed with the EEOC or other agency to an on-site visit from a U.S. Department of Labor investigator asking to review certain files in connection with alleged overtime pay violations of the FLSA. It's not your duty to decide whether and to what degree to cooperate. Sometimes, government officials ask for more than they are entitled to have. And even where they have a legal right to the requested information, the manner in which the employer communicates can determine the legal outcome and damages that may flow from it. If an official contacts you by phone, be polite and say, "Our organization/company will cooperate with your request; however, I do not have the authority to respond. Let me give you the name and telephone number of the HR professional with whom you should speak. I also am going to contact HR right now."
LAWYER COMMUNICATIONS
Report immediately—and don't respond—to any subpoenas or letters from lawyers who do not represent the employer. In case of "friendly calls" from lawyers who are "just curious" about a few things, don't provide any information. There is no duty to cooperate with an attorney on a fishing expedition. Instead, say something like this: "I do not have authority to talk with you. Please give me your name and number and I will forward them to HR."
SIGNS OF WORKPLACE VIOLENCE.
Not all workplace violence is preventable. But sometimes there are warning signs that supervisors need to report to HR and/or security immediately, including:
- Discussions of or particular fascination with perpetrators or victims of violence.
- Talk of weapons that seems abnormal in frequency or content.
- Statements about hearing voices or receiving signals.
- Threats of suicide.
SOURCE: Segal, J. (21 July 2020) "When Should Managers Call HR?" (Web Blog Post). Retrieved from https://www.shrm.org/resourcesandtools/hr-topics/people-managers/pages/when-should-managers-call-hr.aspx
Employees Look to HR to Evaluate COVID-19 Data Before Reopening
Many employers are looking at the opportunity to allow employees to return to their workplace, but before returning many are asking and reaching out to their HR departments to look and rely on local, state, and federal data in order to make a safe transition back into office. Read this blog post to learn more.
When national staffing and recruitment firm Addison Group began putting in place the necessary measures to reopen the company's offices in Texas, Peg Buchenroth, senior vice president of human resources, relied on local, state and federal data to make the transition.
The company's employees switched to remote work during the week of March 16. Since then, Buchenroth and her colleagues have been monitoring coronavirus cases in Texas, where the numbers are changing fast.
Recent data from Texas health authorities demonstrates why it's important for human resource managers to follow infection and hospitalization rates in different geographies.
According to Texas Department of State Health Services data, nearly 75,000 people tested positive for the coronavirus in the first week of June and more than 1,800 people died of COVID-19. As of July 19, nearly 4,000 people had died from COVID-19 in the state, and the death toll is expected to rise further as reported cases have climbed to over 330,000.
Texas Health and Human Services has posted a warning on its website: "Please note that all data are provisional and subject to change. Probable cases are not included in the total case numbers."
Texas Gov. Greg Abbott began clearing the way for businesses to reopen in May to restart the state's economy but had to roll back those plans after COVID-19 deaths began to rise. In the midst of this, the Addison Group reopened its San Antonio/Houston offices on May 4, its Dallas location on May 18 and its Austin facility on May 20. The company closed its Texas offices for the July 4 holiday and has kept them closed as it considers what to do next.
"While we successfully opened our Texas offices in May for employees who wanted to return to in-person work, we've decided to close these locations and will monitor the situation in case we need to reassess," Buchenroth said. "The safety of our employees remains Addison Group's top priority, and we will continue to leverage federal, state and local data to inform any future decisions."
She said employees who return to the office will need to adhere to Centers for Disease Control and Prevention guidelines, such as wearing a mask and maintaining 6 feet of physical distance from others.
"We want to make sure that employees feel safe when they return to the office," Buchenroth said.
She added that the company takes into consideration the many factors that can influence an employee's decision to return to the office, including child care needs, elder care responsibilities, and serious underlying medical conditions that put individuals at high risk of developing a severe illness from COVID-19.
Coronavirus and COVID-19
Using Data to Inform Reopening
As more businesses reopen, employers will have to decide if going to the office is safe based on the data received from local health authorities. Insight from that data will determine how employers will design their workspaces to allow for adequate social distancing within an office, how many workers will be allowed in the office at a time and whether remote work will continue for the foreseeable future.
John Dooney, an HR Knowledge Advisor at the Society for Human Resource Management, said he has noticed an increase in the number of inquiries from HR professionals about new federal, state and local measures and how to safely reopen businesses. He added that while health officials have gained a better understanding of the coronavirus during the past four months, there is still a lot more to learn.
"The pandemic is evolving, and we haven't had the luxury of time to get the information we need," Dooney said. "I think it's important for HR managers to continually review data from authoritative resources."
HR needs to be aware of the changes states are making as they reverse previous decisions on reopening their economies given increasing coronavirus infections and death rates in states like Arizona, Florida and Texas. The current crisis, Dooney said, should prompt HR professionals to be more involved with their senior leadership teams in the decision-making process.
"HR executives should work with senior managers to come up with the best ideas that protect their employees," Dooney advised. "The leadership team should be looking at not only how to maintain the business, but also how to implement adequate protections."
Employers' responses will also depend on the work environment at each company. Hospitals, supermarkets, pharmacies and delivery services, for example, need employees at their worksites; many knowledge-based businesses, however, are better-suited to rely on remote workers.
Gavin Morton, head of people and financial operations at HR.com, said as discrepancies arise in the actual number of coronavirus infections and deaths caused by COVID-19, employees will want to know that their employers have seen the data, considered it carefully and are concerned about workers' safety.
"We all want to know exactly what's going on, but it is very difficult for medical professionals and coroners to quickly ascribe deaths to COVID-19 or other causes," Morton said. "It is logical that there are both more cases and more infections than are being reported, since the testing numbers are still relatively low, and we may not know for years what the true impact has been."
Morton added that employers are in a powerful position to reduce their employees' anxiety. "Employers need to read carefully to understand what the reliable facts are and use them to inform their employees rather than alarm them. Clarity, calm and honesty go a long way," he said.
Morton said HR professionals should consider and educate the leadership team in two key areas:
- How this information impacts the business and employees. Some data could have little to no impact on a company, depending on such factors as location and type of business, while other information could have a severe impact. An outbreak of cases in a city four hours away may not worry the organization's local employees, but if someone's parents live in that city, he or she may be personally very concerned.
- Employee sentiment. It is critical to understand how employees are feeling and how new data can affect their confidence in their safety.
Contact tracing, new coronavirus cases, new hospitalizations, and increases or drops in the number of people dying from COVID-19 will be critical data that will contribute to HR managers' planning.
Human resource professionals should remember, too, that the data are interrelated.
For example, Morton noted that while an increase in deaths reported is alarming, it doesn't necessarily mean that there are more cases; similarly, falling death rates may not mean that transmission today is low. Information about deaths is only one piece of the puzzle.
Developing measures to secure the safety and encourage the performance of employees during the second half of the year won't be easy, especially if there is suspicion that federal, state and local information on the COVID-19 crisis isn't accurate.
"The numbers are really important, and companies need to pay close attention to information which impacts their employees and their customers," Morton said. "While the data can help guide their decisions, HR leaders and company leaders still need to interpret the data. This is true for any information, and so the uncertainty around death reporting is no different. Company leaders need to use their best judgment based on their knowledge of their business, employees and customers."
SOURCE: Lewis, N. (20 July 2020) "Employees Look to HR to Evaluate COVID-19 Data Before Reopening" (Web Blog Post). Retrieved from https://www.shrm.org/resourcesandtools/hr-topics/technology/pages/hr-evaluate-covid19-data-before-reopening.aspx