Industrywide Initiative Brings Blockchain to HR
Although many HR professionals would think of a blockchain as an obscure element of technology with very little practical application in their jobs, it can protect those who are involved in exchanging data in digital environments. Read this blog post to learn more.
To many human resource professionals, blockchain may sound like an esoteric technology with little practical application in their jobs. But an ambitious initiative called the Velocity Network Foundation (VNF) shows how blockchain has near-term benefits for both recruiters and job seekers. Experts say the project is one of a growing number of uses for blockchain—in talent acquisition, payroll and data security.
Blockchain technology allows two or more people, businesses or computers that may or may not know each other to safely exchange data in digital environments without having an intermediary validate the transaction.
The VNF is a nonprofit consortium of 15 companies in HR technology and education industries. It was formed to reinvent how the career records of job seekers and students are shared in the global labor market. A blockchain-powered platform streamlines the way work history, professional achievements, skills, talent assessments and educational certifications are verified, stored and shared.
Founding members of the VNF are Aon's Assessment Solutions, Cisive, Cornerstone OnDemand, HireRight, Korn Ferry, National Student Clearinghouse, Randstad, SAP, SumTotal Systems, SHL, Ultimate Software, Unit4, Upwork, Velocity Career Labs and ZipRecruiter.
Benefits for Job Seekers, Recruiters
On the VNF platform, job seekers create and own a verifiable digital record of their career credentials and can share it with others. According to a 2019 global study from Accenture, more than 70 percent of 10,000 surveyed employees said they want to own their work-related data and take it with them when they leave their jobs—and nearly half (48 percent) of C-level executives were open to allowing them to do so.
Experts say portable work records help recruiting teams. Recruiters get easier access to an all-in-one digital collection of employment history and can evaluate candidates more quickly.
Yvette Cameron is co-founder and executive vice president of Velocity Career Labs, a developer of blockchain technology that helped establish the VNF. Cameron said the foundation is initially focused on building a platform that serves as a "public utility layer." The project's second phase will enable network members to build and integrate applications that facilitate the exchange of credentials between job seekers or students and employers and educational institutions. Being open and transparent about the process is key to the foundation's success, she said.
"We wanted to include members from across the industry to solve the challenge of how career records are shared in the labor market because we believed no single vendor or organization could address it," Cameron said. "Taking an industrywide approach means the VNF will be owned by nobody and governed by everybody."
Debasis Dutta, vice president and general manager of product management for vendor SumTotal Systems in Gainesville, Fla., said the network will benefit job seekers and recruiters alike. In a labor market where verifiable skills are increasingly in demand and the relevance of college degrees is shrinking, Dutta said employers need quick, secure access to a job-seeker's skills.
"We're leveraging blockchain to address the problem of job candidates or employees owning their own verifiable career credentials and making the process of checking employment history and skills more efficient for recruiters," Dutta said.
Cameron said blockchain means job candidates no longer have to be at the mercy of their employers' systems to get quick access to information about their work histories. "The goal is to put people back in control of their digital professional credentials in a trusted and verifiable way and fix the underlying data exchange problem we have in the labor market," she said.
Apratim Purakayastha, chief technology officer with the Skillsoft group (which owns SumTotal Systems), said blockchain-inspired approaches like the VNF also can help when creating internal project teams. "Organizations that are constantly bidding for projects often have to assemble project teams with the right skills, and prospective clients want to see proof of those skills," he said. "If verified career credentials can be quickly shared with clients through blockchain, it improves the chance of success in those projects."
Blockchain Gains Traction in HR
HR's use of blockchain is growing incrementally. Research and advisory firm Gartner found that 12 percent of 500 surveyed HR and technology leaders are using blockchain-based solutions in their HR function today and another 23 percent are experimenting with the technology in their area of responsibility. Of the latter group, half are running blockchain-inspired pilot projects in their HR function, the study found.
Matthias Graf, a senior director analyst in Gartner's HR practice, said the top three HR process areas where study respondents reported using or piloting blockchain are in HR analytics and reporting, policies and governance, and workforce planning. But Graf also noted an important distinction between "adoption" and "maturity levels" of the technology within human resources.
"If you take a closer look at where blockchain solutions are most advanced in HR, the picture differs," he said. "The most mature applications can be found in the areas of compensation and benefits, recruiting and employee relations, and labor law."
An example is paying gig workers. Blockchain solutions can facilitate real-time payments, the Gartner study found, bypassing intermediaries like payroll aggregators or banks. Blockchain can make it easier to employ and pay workers in far-flung locations around the globe where the payment infrastructure may be limited, as well as make it more efficient to verify the identity and experience of such workers.
Chris Havrilla, vice president of HR technology and solution provider research for Bersin, Deloitte Consulting in Atlanta, said using blockchain for instant pay can expand access to gig talent and make contract jobs more attractive to top candidates.
Blockchain and Data Privacy Regulations
Companies considering using blockchain often wonder how it aligns with data privacy regulations like the European Union's General Data Protection Regulation (GDPR). Gartner's study found 40 percent of respondents cited "data security and privacy concerns" as their top worry about using blockchain, followed by 31 percent who cited "integrating blockchain technology with existing technology architectures."
Cameron said no proprietary data or personally identifiable information from users will be stored on the VNF blockchain platform. "Depending on the approach that's taken with blockchain, you can be 100 percent compliant with GDPR," she said. "In our approach, career credentials are owned by the individual and stored privately in a trusted way on their own devices. You decide as a job candidate or student who gets access to those credentials, when and for how long."
SOURCE: Zielinski, D. (27 February 2020) "Industrywide Initiative Brings Blockchain to HR" (Web Blog Post). Retrieved from https://www.shrm.org/ResourcesAndTools/hr-topics/technology/Pages/Industrywide-Initiative-Brings-Blockchain-HR.aspx
Older workers are staying in the job market. Here’s why
According to the Bureau of Labor Statistics, the amount of employees over the age of 65 has risen by 697,000. With over two million jobs being created over the past 12 months with the help of the economy, the older generations are still wanting to be employed. Read this blog post to learn more as to why.
Older workers are sticking around the job market. This is why
The number of workers aged 65 and above increased by 697,000 as the economy created more than 2 million new jobs over the past 12 months, according to data from the Bureau of Labor Statistics in this CNBC article. The spike in the number of older workers represents about 36% of the overall increase, reflecting a trend over the past 10 years. “The norms about working at older ages have changed quite a bit, and I think in a way that really is to the advantage of older workers who want to keep working,” says an expert.
What ‘Rothifying’ 401(k)s would mean for retirees
Clients will not benefit from a switch to a retirement system where contributions would be made on an after-tax basis even if it could result in bigger tax revenue in the near term, experts write in The Wall Street Journal. "Over their lifetimes, workers would accumulate one-third less in their 401(k)s under a Roth system. This is because, with no tax advantage from contributing to a 401(k), workers would save less and those lower contributions would earn less over the years," they write. Moreover, "lifetime tax revenue generated by the average worker under a Roth regime would fall 6% to 10%, compared with the current regime."
Stop 'dollar-cost ravaging' your clients’ portfolio in retirement
Retirees who stick to a 4% withdrawal rule during a market downturn are putting their financial security at risk, as their portfolio would not recover even if the market eventually improves, writes an expert in Kiplinger. Instead, seniors should focus on how much income they can generate from their portfolio, he writes. "[I]t means choosing investments — high dividend-paying stocks, fixed income instruments, annuities, etc. — that will produce the dollar amount you need ($2,000, $3,000, $5,000 or more) month after month and year after year."
Will clients owe state taxes on their Social Security?
Retirees may face federal taxation on a portion of their Social Security benefits — but they could avoid the tax bite at the state level, as 37 states impose no taxes on them, writes a Forbes contributor. "While probably not a big enough issue to warrant moving in retirement, it is something to consider when choosing where you want to spend your retirement," writes the expert. "At the very least, you need to know about Social Security taxation when figuring out how much additional income you will need to have in order to maintain your standard of living during retirement."
8 ways clients can start saving for college now
There are a few savings vehicles that clients can use to prepare for college expenses, but they need to consider the pros and cons, according to this article in Bankrate. For example, clients who save in a 529 savings plan can get tax benefits — such as tax deferral on investment gains and tax-free withdrawal for qualified expenses — but will face penalties for unqualified withdrawals aside from taxes. Parents may also use a Roth IRA to save for their child's college expenses, but these accounts are subject to contribution limits and future distributions will be treated as an income, which can reduce their child's eligibility for scholarships or assistance.
SOURCE: Peralta, P. (18 February 2020) "Older workers are staying in the job market. Here’s why" (Web Blog Post). Retrieved from https://www.employeebenefitadviser.com/news/why-older-workers-are-staying-in-the-job-market
Viewpoint: Your First 90 Days as a New Manager
Did you know: the average turnover rate, from the Vice President Level, has decreased from 3.3 to 2.2 years. With this being said, it's important that when coming in as a new manager that the first few words said will impact the image given to colleagues. Read this blog post from SHRM to learn helpful tips on how to make being the new manager a little less difficult.
"The president of the United States gets 100 days to prove himself. You get 90."
That's how author Michael D. Watkins opens his seminal book on leadership transitions, The First 90 Days. The three-month period, as he explains, is a quarter, the time frame used by companies to track performance, and it is long enough to offer meaningful indicators of how a new manager is doing. Research shows that success or failure within the first few months of a new management role is often an accurate predictor of ultimate success, he adds.
"When leaders derail, their failures can almost always be traced to vicious cycles that developed in the first few months on the job," Watkins writes.
These vicious cycles frequently begin in a few similar ways, says leadership expert George Bradt, co-author (with Jayme Check and John Lawler) of The New Leader's 100-Day Action Plan. Some new managers do not realize the impact of their early words and actions, and are inadvertently sending colleagues the wrong message. Others focus on a new strategy before earning trust and support from the team. Others expend too much energy on the wrong projects and neglect the priorities of stakeholders, Bradt writes.
Moreover, recent widespread trends in the business world have made the task of mastering the first three months on the job even more important for new managers, Watkins says. Chief among these trends is that management is turning over at a faster and faster rate.
"The pace of transition has gone up pretty dramatically," says Watkins. As evidence, Watkins cites a recent study of Fortune 100 global healthcare companies. Since 2013, average turnover time at the vice president level decreased from 3.2 years to 2.2 years. "There's a premium on getting up to speed faster," he explains.
Watkins's approach is to break down a new manager's first 90 days into 10 separate directives: Prepare Yourself; Accelerate Your Learning; Match Strategy to Situation; Negotiate Success; Secure Early Wins; Achieve Alignment; Build Your Team; Create Alliances; Manage Yourself; and Accelerate Everyone.
Given this, we asked Watkins and Bradt to contextualize their guidance and highlight key best practices for managers. We also asked a few seasoned managers with successful track records in new leadership roles to provide their insight and perspective on what drove their success.
Preparing and Assessing
Preparation for a new managing role is crucial, and the preparation process should begin before the first day on the job. In most cases, it should start before the first job interview, explains Michael Sarni, CPP, recruiting and training officer for the Emergency Management Agency of the City of Lockport (Illinois), and president of Security Consulting Specialists.
In Sarni's view, a manager candidate conducts due diligence research on the company before being interviewed. The information-gathering process continues during the interviews, with the manager candidate asking informed questions about role expectations and the workplace environment. "A good manager…should always be preparing for future outcomes," Sarni says. "This must start before the first day they walk in the door and continue to the last day they leave the office."
Of course, the manager should also take time before the interview to prepare answers to common interview questions. In Bradt's view, all interview questions boil down to one of three basic questions: What are your strengths? Will you be motivated? Are you a fit for the organization? Given this, managers should prepare answers before the interview that convey three fundamental points: My strengths are a match for this job. My motivations are a match for this job. I am a good fit for this organization.
Another key aspect of preparation is learning about and assessing the company's culture. "I think understanding the culture—and adjusting one's approach accordingly to new challenges and opportunities—is ultimately the key to success in the first 90 days," Sarni says.
Sometimes, a manager can do this by using scouts and spies: customers, former or current employees, or anyone who has been involved with the firm and can speak to its culture, Bradt says. Sometimes, these associates can be a good source of information on an organization's unwritten norms, such as the actual hours most work, as opposed to the hours prescribed in the employee handbook; how employees socialize outside the office; how connected and active staff is through email and texting; and more.
Managers can also learn about the firm's culture simply by being hyper-observant every time they visit the office–taking note of people's interactions and demeanor, their dress, the office's physical set-up and structure, noise level, and other signs. "You can learn an awful lot by simply walking into a place," Bradt says.
In general, new managers who fail to understand a company's culture stand a much higher chance of ultimately being rejected by it. But now, Watkins says, with millennials representing the largest generation in the U.S. workforce, a new dynamic has come into play. A millennial employee joining a new company may in fact make the effort to assess the company's culture—but find it lacking. "They're not terribly tolerant, necessarily," Watkins says with a laugh.
This has created a crossroads, he says: "Is it incumbent on them to adapt to the culture? Or will they ultimately be the agents of change of the culture?" At some firms, the current situation is bi-directional adaptation: millennial employees try to fit in with the culture (at least in some ways), but the company also tries to evolve its own culture so that younger employees stay engaged and not leave. "A lot of companies are grappling with that. It's a real generational shift," Watkins says.
Overall, it behooves new managers to be aware of this generational shift and consider how they might contribute to the company's overall goal of ensuring its culture does not drive away promising employees. "Onboarding is the leading edge of engagement, and engagement is a core part of retention," Watkins says.
Owning Day One
Although preparing, learning and assessing are all key steps before the job begins, they alone will not guarantee a successful transition, experts say. The first several days of the new role will bring their own challenges.
Rex Lam, a Hong Kong-based senior consultant with Guardian Forest Security, has successfully transitioned into a few different management positions since he joined the security industry 15 years ago. While he also supports the importance of preparation, he says that well-prepared managers who are excited about their new ideas must avoid coming off as a know-it-all.
"Avoid the impulse to immediately want to make an impact for the good by changing everything. The attitude should be to learn and listen first, and do not let perfection be the enemy of good," Lam says.
Sarni advises extending the learning process that most new managers undergo in the early days, so that it covers more than just the security department. "Taking a methodical approach to learning as much as you can, not only about your own department and how it fits into the organization, but also about all the other departments with which security impacts operations and culture, should be an early objective," he explains.
He also recommends that new managers try to make the effort to learn what's below the surface. "Always dig a little deeper to learn and understand an operation further. The more one is prepared for the unexpected, the easier it is to adapt when the unforeseen challenge presents itself," he adds.
Bradt agrees with the importance of listening and soaking in information as soon as the job begins, but he also said that too many managers show up with a passive, just-do-no-harm attitude. This is inadvisable; all eyes are on a new manager during the first few days and people start forming opinions based on limited contact. "If you show up looking clueless, people are going to assume you're clueless," Bradt says.
Instead, new managers should come in on the first day with ideas of how they want to position themselves strategically, and what message they want to convey. Then they can listen and learn, and also ask directed questions that support this strategy and message.
Bradt offered the following example to illustrate: A new manager, taking over a leadership position, does due diligence and finds that while the firm is in decent financial shape, competitors are nipping at its heels and gaining ground. So on day one, the new manager listens and learns, but also asks many other department heads, "I've looked at what you've done so far, and it's amazing. What do you think you're going to do next to stay ahead of the curve?" That type of directed question reflects an active focus-on-the-future strategy and message, rather than a passive approach, Bradt explains.
Similarly, a new manager for a firm that needs to be more customer-focused can decide to spend some of day one meeting with customers, outside of headquarters. Here, Bradt recommends following the leadership maxim "Be, Do, Say." New leaders will be judged on all three, in that order of influence. What a leader says comes third; what a leader does comes second; who a leader is comes first. So, if a new leader continues to meet with customers through the first 90 days, at some point the leader will "be" a customer-focused leader in the eyes of staff. That will be part of his or her identity.
Early Wins
Early accomplishments, even small ones, are usually a big boost toward ultimate success for new leaders. If someone asks an employee, "How's the new manager?," while it's nice if the employee says he or she is likable, it's even more indicative of future success if the employee can say he or she already accomplished X.
Lam offers the example of taking over a management position for a company that wanted to alter operations so that it could plan more than three years ahead of time, rather than focusing completely on the current workload. For Lam, targeting the underlying systemic issue led to an early win. "The key is to identify the bottleneck and focus on eliminating the root cause," Lam says.
In this case, Lam identified the bottleneck—inefficient processes—that prevented the team from having enough resources and time for advance planning. So, he decided to target inefficiencies. He improved the resource allocation process for the service team; the team's quality of work increased, and costs immediately went down because outside service contractors were no longer needed. The team was also spending too much time filling out detailed reports for small expenses such as subway and bus fares; Lam distributed pre-paid cards, and this tradeoff won back time for staff.
The cost and time savings became quickly apparent, resulting in an early win for the new manager and eventually developed into a significant accomplishment. "I was fortunate to make the correct decisions," Lam says.
And the chances for notching early accomplishments increase if they are based on a broader strategy that is appropriate for the type of mission that is needed. Watkins recommends that new managers use his STARS model to match strategy and situation. Using this model, the new manager must assess the business mission at hand (Start-Up, Turnaround, Accelerated Growth, Realignment, Sustaining Success) before designing an appropriate approach and strategy.
Alignments and Allies
Often, Watkins's directives of Achieve Alignment and Create Alliances are related for new managers in the security field, Sarni says. Since security touches on every facet of a company, alliances between the security manager and managers in other departments are critical. These alliances can be made with the goal of interdepartmental collaboration, for the benefit of all.
"Often, the security function is viewed as a hindrance to operations in other areas of the organization," Sarni says. "But, if the security manager takes the time to learn as much as possible about those operations and proceed from the philosophy of being a partner with those other functions, security can find ways to not only better secure the environment, but also improve upon methodologies others are using."
Toward this aim, the new security manager can begin to educate selected managers from other departments about how security can align with and support that department's goals and objectives. "Building those partnerships and empowering other departments to feel that they have a stake in security's outcomes—and showing how it can benefit them—dramatically improves the chances of success," Sarni explains.
However, Sarni concedes that this is no easy mission. It takes people skills, emotional intelligence and some deft explaining. "These concepts may sound simple enough in theory, but the reality is far more challenging and delicate," Sarni says. "The brute force approach, even with a mandate, rarely yields the best results. Finesse, patience and understanding the nuances of the environment generally yield the most desirable outcomes."
Forming alliances and creating alignments with other departments is especially crucial for new managers charged with overhauling operations. "Through most of my career I have acted as a 'change agent' for the organizations to which I have been hired," Sarni explains. "But even in that environment, where I have had a mandate from senior management, generating buy-in from peers in different areas of the organization has taken creativity, sensitivity, and perseverance."
On a one-on-one level, it's always best for the new manager to create alliances that function as a two-way street. When discussing issues with other managers, two questions are often very helpful, experts say: What is a best practice that will help me in this firm? How can I help you be successful?
Building Your Ever-Changing Team
Team building for new managers takes a certain mind-set, says Lam, and for new managers who previously worked on their own, it requires a mind shift toward the collective.
"When you are one person, you are the star. When you are the manager, you are a star maker," Lam says.
In many cases, one of two situations apply. A new manager will take over an existing team, with the hope that it will stay intact. Or, the new manager is tasked with building his or her own team. In either instance, one principle is equally valid, Bradt says: every team member should be playing to their strengths.
This should be kept in mind by new managers busy with building their own teams and actively hiring. And it should also be remembered by new managers inheriting an intact team. They should still do a "role sort" in the first 90 days, and make sure everyone is in the right job. A good skill set/role match could mean a star in the making, whereas a mismatch can make for all sorts of problems down the road. Bradt says that one of the top regrets cited by leaders is "not moving fast enough on people" (i.e., reassigning staffers to best-fit positions) earlier in their tenure.
Finally, Watkins cites two recent trends that may have a big impact on team leading. One trend is that more teams are becoming virtual, with some members in different time zones and less face-to-face communication. This type of team can still be managed effectively, but it can take additional skills that not all managers have.
The second trend is turnover. The rate of turnover for team members is even outpacing the rate increase for management turnover. This is true in part because younger workers are more likely to leave a job if they are dissatisfied with the company. As a result, many teams are in a state of constant flux.
"What I find now, pretty much consistently, is that virtually all teams are at some point of transition at any given point in time," Watkins says. This can mean an added challenge for the new manager: learning to lead a team consisting of parts that never completely stop moving.
The Future
What will the new managers of the future have to contend with?
In the last decade, culture has become more important to the ultimate success of the company, Bradt says. Fast forward 10 years, and that continues to the point where "culture is the only thing that matters." With the continuing advancement of technology, companies will be able to duplicate almost any type of competitive advantage in product and services and operations that their competitors may have.
So the only real meaningful component that will separate companies from each other is culture. "Their culture is the only thing they can own," he says.
As for Watkins, he believes that recent innovations like artificial intelligence and the growth of ever-more-sophisticated analytical machines may have a vast impact on how work is done, giving him some pause when he considers the future. He knows that the exact extent and ramifications of this transformation (including the impact on management), and the time frame, cannot be predicted with certainty. "But I tend to believe it's going to happen sooner rather than later," he says.
"I'm wondering if there will be managers in 10 years," he says. "Your manager could be an algorithm."
Mark Tarallo is senior content manager of Security Management magazine.
This article is adapted from Security Management magazine with permission from ASIS © 2019. All rights reserved.
SOURCE: Tarallo, M. (19 February 2020) "Viewpoint: Your First 90 Days as a New Manager" (Web Blog Post). Retrieved from https://www.shrm.org/resourcesandtools/hr-topics/organizational-and-employee-development/pages/viewpoint-your-first-90-days-as-a-new-manager.aspx
Sharpen Your Recruiting Workflow with Service-Level Agreements
Recruiting can be a long and drawn-out process, but using service-level agreements (SLAs) can speed up the dreary process along with generating accountable talent. Firms are beginning to use SLAs to improve recruiting results and consistency. Continue reading this blog post from SHRM to learn more.
Using service-level agreements (SLAs) in recruitment can speed up a laggard hiring process, generate accountability from hiring managers and create the expectation that talent acquisition (TA) is a top company priority.
Common in sales, marketing and procurement, SLAs are written standards that the TA function and hiring managers agree upon in order to understand the responsibilities of each party.
"Service-level agreements have proven to be one of the most effective ways to improve recruiting results, increase recruiting consistency, and, at the same time, strengthen the relationship between recruiters and hiring managers," said John Sullivan, an HR thought leader and professor of management at San Francisco State University. "If you want to improve your quality of hire, reduce position vacancy days and improve process compliance, it only makes sense to try to get hiring managers to put a greater focus on recruiting. You can reduce the blame game [between recruiters and hiring managers] by spelling out responsibilities, timelines, deliverables and success measures in advance."
SLAs are essentially informal contracts, said Jessica Miller-Merrell, SHRM-SCP, an HR consultant and the founder of Workology, an Austin, Texas-based workplace resource site.
They can be time-bound or focused on quality control, with both parties agreeing to specific deadlines or commitments related to resume review, interview scheduling, candidate interview feedback and final selection.
There is one important prerequisite to using the agreements: getting buy-in from hiring managers and leadership. "SLAs won't work if the relationship and the respect are not there first," Miller-Merrell said. "SLAs have value even in just getting the conversation started with your hiring managers. Frame it as a process improvement that will serve both of your goals."
Without that crucial buy-in, "HR and TA are seen as more of an obstacle rather than as a partner," said Caitlin Wilterdink, director of HR and talent acquisition at Paxos, a financial technology company in New York City, and the owner of Wilterdink Consulting. A longtime believer in the SLA model's effectiveness, she's introduced the concept to several companies, receiving both positive and negative reactions. At Paxos, where both time-bound and quality-control SLAs are in use, reaction was initially mixed. When implementing SLAs there, Wilterdink asked hiring managers to take on extra recruiting tasks due to a lack of TA staff.
"There was a bit of questioning from some hiring managers about why they were being asked to do things that HR usually did for them [in past roles]," she said. "That's fair, and it's important for HR leadership to empathize with that sentiment and be able to help them understand why they are being asked to do this. It's about balance, and the TA leader has to have a good pulse on the organization and know when to strictly enforce an SLA and when to bend the rules."
Benefits of Using SLAs in Recruiting
Experts say organizations that use SLAs in recruiting could see several improvements in the process:
Hiring. "Simply setting minimum and maximum times for recruiting steps will speed up your overall recruiting process," Sullivan said. He added that recruiter and manager satisfaction with the process will improve, hiring costs will decrease, and confusion and duplication will be dramatically reduced.
"Being confused about who does what and when can certainly slow down the hiring process and result in the unintended duplication of work," he said. "SLAs lead to clarity and agreement on what must be done and who must do it."
Coordination. "The process of jointly working together in order to create the SLA agreement by itself helps to improve the relationship between recruiters and hiring managers," Sullivan said. "The initial negotiation process also helps both parties understand the needs, expectations and problems of the other party."
Accountability. When Wilterdink joined Paxos, "there wasn't a lot of accountability for how feedback was used to inform the rest of the recruiting team about a candidate, leading to a lot of false positives coming in for onsite interviews." She explained that some managers were marking "yes" on interview score cards to advance a candidate, but their written feedback would indicate they actually felt more like "meh." In order to control for that, Wilterdink initiated an advocacy-modeled SLA, stipulating that an interviewer must advocate for the person he or she advances before the person is moved forward in the process. "Doing this has reduced the number of false positives," she said.
What to Include in Your SLA
Service-level agreements can range from basic one-pagers with general statements to detailed documents covering many aspects of the recruiting process. Sullivan said that upfront basics of an SLA can include setting the goals and business impact of the process and defining the role of each party.
"Defining roles and making it clear who has ownership can reduce hesitation, as well as duplicate work. Roles that frequently need clarification include interview scheduling, interview participation, reference checking and documentation."
The recruiting process should be listed in clear steps in an SLA. "The required and optional recruiting steps are listed in order to make it clear to everyone what steps must be executed, which ones can be expedited and which ones are optional," he said. "It's probably also a good idea to include a visual process map or flowchart so that everyone can clearly see the steps and the flow of the process."
Be sure to specify deadlines and deliverables, as well. "Getting quick feedback from the manager about the quality of the submitted candidate slate is critical," Miller-Merrell said.
At Paxos, SLAs include a commitment to reviewing resumes within 24 hours and attaining a performance benchmark of application-to-offer in about 27 days.
Sullivan said that SLAs should specify how the success of reaching each goal and activity will be monitored and measured. Miller-Merrell said that measuring the time it takes to receive feedback may help the TA team uncover critical bottlenecks in the recruitment process and avoid both delays and the loss of good candidates who remain in limbo.
SLAs can also identify potential risk factors, conflicts, rewards and penalties for nonperformance. "If your recruiting process lacks structure, it might be a good idea to outline any unacceptable actions or behaviors," Sullivan said. "When you specify the don'ts, everyone knows upfront what they cannot do under any circumstances."
Tips for Making SLAs Work
Wilterdink said that a partnership approach will go a long way to smooth over any negative reactions from hiring managers who are presented with an SLA. She suggested some ways TA can achieve cooperation:
- Train hiring managers on how to fill out interview score cards.
- Provide recruiting software, which makes completing score cards and tracking manager participation easier. If you don't have technology that does this, you can use Google Docs, she said.
- Be flexible with enforcement.
- Pair managers with recruiters, if possible. "When I have a fully staffed team, I'll have the hiring manager work side by side with a recruiter," Wilterdink said. "The reason for that is that the manager needs to understand the market we're looking for before posting a role, so we spend our time fitting the actual business need.
SOURCE: Maurer, R. (21 February 2020) "Sharpen Your Recruiting Workflow with Service-Level Agreements" (Web Blog Post). Retrieved from https://www.shrm.org/resourcesandtools/hr-topics/talent-acquisition/pages/sharpen-recruiting-workflow-service-level-agreements.aspx
The Miserable Middle Managers
Did you know: 18 percent of supervisors and managers report signs of depression. Middle managers tend to struggle with spending too much time on administrative tasks, and not enough time leading their workplace, which can lead to being dissatisfied. Read this blog post from SHRM to learn more.
They make dozens of decisions each day, but usually not the big ones that shape a company's future. They're saddled with all the busywork of managing subordinates, yet also answer to higher-ups whose policies they must enforce—even when they don't have a say in making those policies and their direct reports object to them.
They're middle managers, and research finds they are the unhappiest employees at U.S. organizations.
But they don't have to be, employment experts say—not if they take advantage of new technologies, suggest changes in workplace policies and invest time in professional development.
Misery by the Numbers
In 2015, researchers at Columbia University surveyed nearly 22,000 full-time workers. They found that 18 percent of supervisors and managers reported symptoms of depression. The share of blue-collar workers reporting depression was 12 percent; for owners and executives, it was 11 percent.
A separate 2014 study found that when it comes to job satisfaction, managers fall in the bottom 5 percent. The study authors, both executives at leadership development consultancy Zenger Folkman, based in Orem, Utah, gathered data from more than 320,000 employees in various organizations. They identified those employees whose engagement and commitment scores were in the bottom 5 percent and compared their responses with those of the rest of the study group.
"You might think these would be the people with poor performance ratings or the ones in over their heads—people with inadequate training, education or experience for the job," the authors wrote. "But when we examined the demographic characteristics of these employees, we found instead that they could best be described as those 'stuck in the middle of everything.' "
The most common profile for the bottom 5 percent, they found, was that they:
*Had earned a college degree, but not a graduate degree.
*Had five to 10 years' tenure.
*Worked as midlevel managers.
*Had received a good (as opposed to a superior or a terrible) performance rating in the past year.
Technology Can Help
So what can be done about the dissatisfied middle manager? Experts suggest that part of their discontent stems from spending too much time on administrative tasks, leaving them little time for leading.
Technology can help them conduct tasks that were once considered "managerial," from scheduling to training to performance reviews. Yet some managers still don't take advantage of these tools, according to Montreal, Quebec-based WorkJam, which provides digital platforms for shift scheduling, onboarding, communication and other tasks.
"Across industries, from retail to hospitality to health care, the arduous task of scheduling falls to managers, who have to synchronize individual schedules and often assign shifts without knowing associates' availability," said WorkJam CEO and president Steven Kramer. "By migrating this process onto a digital workplace platform, employers can put the power in the hands of the associates [and] … are freed from this burden."
Andrew Sumitani, senior director of marketing for Seattle-based TINYpulse, which creates employee engagement surveys. He has worked on several projects focusing on middle management.
"By using simple but effective technology, middle managers can balance their roles more effectively," he said. "What's critical is for that technology to create a safe space for transparent, candid feedback to reach all levels of the organization. Subsequently, middle managers won't be spending as much time collecting and providing feedback for upper managers. They'll have that time to properly coach, mentor and lift their direct reports and become outstanding leaders themselves."
For instance, TINYpulse offers software that continuously measures the decisions made by employees on a team, and that gives middle managers information on the strengths and limitations of those decisions.
Accounting giant PwC has created an app that helps companies evaluate strengths and weaknesses within their workforce, while also suggesting learning and development opportunities that can help employees improve their performances.
Too Many Meetings
Some research suggests that these managers find it frustrating and exhausting to constantly switch between the role of "leader" to subordinates and the role of "follower" to their own supervisors. It also suggests that this frustration is exacerbated when middle managers are inundated with meetings.
"Keeping middle managers in meetings is a way for upper managers to listen to the entire organization," Sumitani acknowledged. "However, if upper managers demand increasingly detailed feedback from middle managers, a problem occurs: The middle manager's job of managing a team and reporting to upper management becomes profoundly unbalanced."
Here, again, technology can help, he said.
"More forward-thinking managers are utilizing technology that [helps] employees to provide feedback, solutions and suggestions to upper management to act on," Sumitani explained. "This shortcuts the communication flow in a way that eases the burden on middle managers. This leads to reduced feelings of being overwhelmed, higher productivity and significantly higher middle manager happiness."
Professional Development
Sumitani also suggested that continued learning for middle managers can make their jobs easier.
"Many middle managers have not been in their industries for their entire careers," he noted. "Therefore, they could be trying to learn the industry, do their jobs and stay on top of their craft, all at the same time. Anything that companies can do to invest in learning also shows their commitment [to] and confidence in those managers."
For instance, PwC's app identifies ways managers can focus on digital training and directs them to personalized learning recommendations and access to more than 300 courses, videos and white papers.
"These lessons can no longer come within the office, over an hour of coffee and scones," PwC said in a statement. "It needs to be personalized, digitally accessible and in line with work-life balance and flexibility needs that are now the norm."
SOURCE: Wilkie, D. (19 February 2020) "The Miserable Middle Managers" (Web Blog Post). Retrieved from https://www.shrm.org/resourcesandtools/hr-topics/employee-relations/pages/middle-managers-are-miserable-.aspx
The Power of HR Mentorship: A Two-Way Street
A workplace mentorship can impact the way afflictions, ordeals, and even the achievements are handled throughout different situations. As HR professionals learn how to handle situations, it's important for them to have someone to look up to and to go to when they are struggling. Continue reading this blog post to learn more about the importance of having a workplace mentor.
Professional mentorship can take many forms and can have long-lasting impacts on our career successes, trials and tribulations. Regardless of the role we play in an organization, we can and should play a role in mentoring. Each of us should have a mentor and serve as a mentor to others. It's a powerful relationship.
In my journey as an HR consultant over the past four and a half years, I have had the unique opportunity to develop, rebuild or totally change HR departments for various clients, and mentoring has been involved in these transformations. From mentoring other HR professionals and seeking guidance from my own mentors, here are some of the lessons I have learned.
The big picture (and other metaphors).
- Experience—our own and how we can benefit from other people's—is valuable throughout our careers and lives. Understanding the big picture will ensure that we are setting up an organization and HR department for success. To drive a successful mentorship program, knock down silos and utilize talent from other departments. Envision a chess match: What moves and strategies do you need to put in place for both organization and individual to succeed? Do not fear receiving or providing feedback. To truly know the needs of the organization, think outside the HR box. Utilize the SHRM competencies of Communication, Relationship Management, Critical Evaluation and HR Expertise to recognize and maneuver within the ever-evolving big picture.
- Recipes for success. An organization rarely asks for an HR consultant if things are running smoothly; normally we get a call if there is a problem. My consulting assignments usually involve change management and culture change. To ensure that the process is successful, the right people need to be in the right seats. I'm very selective when I recruit, hire and build an HR team. For these professionals to succeed, they need to be provided with training, support and mentorship. This includes continuous feedback on performance; ongoing (weekly, if not daily) communication; training, education and certification; accepting mistakes; and learning from one another. As a result of the change I implemented for one client organization, its HR professionals became certified and some are pursuing master's degrees. The SHRM competencies of Business Acumen, Relationship Management, HR Expertise and Communication are ingredients in the secret sauce in the recipe for success.
- Relationship transformation. As professionals grow, so must their mentoring relationships, so learn to recognize when the relationship needs to evolve. Over time it can become more of a friendship or a partnership, or even a reverse mentorship. Emotional intelligence and mutual respect for one another will guide you through this transformation. In my experience, taking a less hands-on approach provides flexibility and empowerment. Create metrics that will summarize how mentoring relationships have contributed to the evolutions in your workplace. Use all of the SHRM competencies to ensure mentorship success.
Mentorship is a two-way street; it requires buy-in and communication from both parties. These relationships can and do have tremendous impacts throughout someone's life, both in and outside the workplace. I rely on a network of mentors for advice on many things and have seen mentorships turn into lifelong friendships. Recognize mentorship opportunities and continue to build on them.
SOURCE: Burr, M. (13 February 2020) "The Power of HR Mentorship: A Two-Way Street" (Web Blog Post). Retrieved from https://www.shrm.org/resourcesandtools/hr-topics/behavioral-competencies/pages/the-power-of-hr-mentorship-a-two-way-street.aspx
Employees are fearful of being replaced by automation
Technological advances are starting to scare employees regarding job security. Although automation is creating a scare, companies are using technology to transform and improve productivity within their organization. Read this blog post to learn more regarding the benefits of automation technology in the workplace.
Automation is transforming businesses and directly impacting bottom lines as a result of improved productivity. But it also raises employees’ concerns about their job security, according to a new study by research firm Forrester and UiPath, a robotic process automation (RPA) software company.
Some 41% of companies say their employees are concerned that their existing digital skills may not match what their job will require in the future, the study finds. However, by training employees, providing them vocational courses, or encouraging them to pursue digital qualifications, companies can help them to overcome fears around automation and embrace it as a productivity-boosting asset.
“We need programs that not only train you to be a better employee at an institution, but advances your digital skills as well,” said Craig Le Clair, vice president and principal analyst at Forrester, speaking during a recent webinar. “We need a new form of education and training that can keep pace with the technology, particularly due to automation.”
Companies having their own training programs at work — trying to mimic the kind of experience that you have in traditional education — is a legitimate and important development, because traditional education cannot keep pace with what's going on, Le Clair said.
Companies are increasingly investing in automation — including technology like AI and RPA — and is now the driver of most organizations’ digital transformation strategies. For 66% of companies in the study, RPA software spend is going to increase by at least 5% over the next 12 months. Forrester predicts that the RPA services market will reach $7.7 billion, and eventually balloon to $12 billion by 2023.
The dynamics of the labor market, technical feasibility, and acceptance of the more advanced AI building blocks like deep learning and conversational intelligence are just some of the factors that will determine the pace of workforce automation.
Automation can not only benefit employers, but also employees. Automating repetitive, rule-based tasks enables employees to focus on higher-value activities that require advanced skills and improves employee engagement. The study found that a 5% improvement in employee engagement leads to a 3% increase in revenue, indicating that more engaged employees means higher growth.
“Organizations can view the future of work as a competency, as something that they have a view on and has a distinguishing approach to,” Le Clair said. “This is going to help with recruiting and retention, and help [companies] deal with these transformations that are occurring. It can change the way you serve customers for the better. You can get more of your humans working on the thing that humans do the best, which is carrying on conversations with other humans. [Automation helps you] extract that labor value and move it into the right places.”
SOURCE: Nedlund, E. (12 February 2020) "Employees are fearful of being replaced by automation" (Web Blog Post). Retrieved from https://www.benefitnews.com/news/employees-are-fearful-of-being-replaced-by-automation
How Next-Gen Technology Can Keep HR Data Safe
In 2018, the FBI reported having 350,000 complaints of internet crimes, which is a rise of 23 percent over five years. With an increase in internet crimes, HR departments are turning to security approaches that are powered by artificial intelligence (AI). Read this blog post to learn more about how artificial intelligence is helping companies with cybersecurity.
As hackers grow ever-more inventive and data privacy laws are enacted around the globe, HR leaders are faced with the challenge of protecting and storing sensitive HR data but not curtailing employees' ability to use that data to make timely workforce decisions.
But there may not be enough cybersecurity colleagues to call upon for advice and technical assistance, which compounds those challenges. Approximately 65 percent of companies reported a cybersecurity staff shortage last year, according to the 2019 Cybersecurity Workforce Study conducted by (ISC)2, an international nonprofit association for IT professionals. As a result, more companies are turning to security strategies that don't require human intervention, such as cybersecurity powered by artificial intelligence (AI) that can proactively monitor and neutralize new kinds of cyberthreats.
New Strategies for More-Sophisticated Attacks
Research suggests that concerns over data security are occupying more of HR leaders' time and resources. The 2019-2020 Sierra-Cedar HR Systems Survey found a 17 percent increase from the prior year's survey in the number of respondents deploying cybersecurity strategies, with 70 percent of HR organizations reporting they have and regularly update such a strategy. That's good news, because the FBI reported receiving 350,000 complaints of Internet crimes in 2018, a rise of 23 percent over five years. Those crimes caused an estimated $2.7 billion in financial losses.
Security experts say the loss of sensitive data like payroll information, Social Security numbers and notes from internal investigations or employee assessments has implications far beyond the HR department.
"When HR systems are breached, it goes beyond the personal data stolen, because HR is central to so many processes across the organization," said Corey Williams, vice president of marketing and strategy at Idaptive, a cybersecurity firm in Santa Clara, Calif. "HR systems are the starting point for much of the access employees have throughout the organization. HR data doesn't sit on an island like other data, and when you have vulnerabilities at the HR level, you're exposing the entire enterprise to wider attacks."
AI-powered security tools represent a new approach to combating threats to HR data. While not a cure-all, these technologies can protect against malicious attacks driven by automated malware and have capabilities, such as pattern recognition, that can identify suspicious behavior and block potential problems or threatening online traffic in real time.
To protect against insider threats, whether malicious or from workers not following sound security practices, some AI-based cybersecurity tools can be trained to learn employees' behaviors when using corporate networks. Research shows that such threats are a growing problem. Insiders caused 48 percent of reported data breaches in organizations in 2019, according to a recent benchmark study from Cambridge, Mass.-based Forrester Research, up from 26 percent of total data breaches in 2015.
More companies are adopting "zero trust" policies that feature a "never trust, always verify" approach to network access or identity authentication and employ tools like multifactor authentication (MFA). MFA is a way to confirm user identities through at least two different factors. In the last year, according to the Sierra-Cedar survey, large organizations increased their use of MFA by 20 percent, and approximately 55 percent of small organizations reported using MFA for HR applications.
Williams said stolen or weak user credentials is still the top cause of data breaches in organizations. "We've seen growing sophistication in the way passwords and credentials get stolen," Williams said. "That includes malware, hackers writing more convincing phishing e-mails that get employees to click on harmful links and other approaches. Companies have found that depending on passwords alone for access is becoming untenable."
Balancing Security with the User Experience
HR leaders have to strike a balance between taking the right data-security measures and ensuring employees can still use HR networks and software in efficient and user-friendly ways—a balance that ideally won't make the workforce feel excessively monitored or handcuffed when using technology.
"Security is often viewed as a teeter-totter, where you are either increasing data security or you are improving the user experience with technology," Williams said. "But it doesn't have to be an either-or scenario."
For example, employees who typically access the same corporate networks or applications in the same fashion likely don't need additional security oversight, but someone accessing that same system from a country he's never been to before and with a different device would need more controls.
"We're seeing more innovation in applying security tools to separate high-risk from low-risk system access," Williams said.
HR leaders also can help enhance security by encouraging their companies to re-evaluate user access policies, experts say. "As people work for a long time in companies, they tend to accumulate access to systems, and that access doesn't necessarily get taken away as they move up or around a company," Williams said. "Employees are often 'over-provisioned' in terms of their access to sensitive data in systems, which can create increased vulnerability for companies." Automated processes tied to the life cycle management of employees can ensure system access is changed or removed as people change roles in a company, he said.
James Graham-Cumming, chief technology officer for Cloudflare, a cybersecurity company in San Francisco, said being more judicious in granting data access is a wise but sometimes overlooked security strategy. "It's not uncommon for CEOs or other senior leaders in a company to have access to all or most corporate systems because they simply feel a need for that access," Graham-Cumming said. "Yet these are more-visible or even public figures who are often targets for hacking. The reality is your C-suite or vice presidents may not need access to all of your systems."
Managing Vendor Risk
Data security and privacy threats can grow as HR functions add more technology platforms to their ecosystems and create more integrations with third-party providers. A recent study by research and advisory firm Gartner found that because human capital management systems are built to integrate with many third-party services—such as LinkedIn, for example—those integrations can expose organizations to risk through "misconfigurations" that result in unintentional data leakage. Depending on the level of integration, problems with security in vendor systems can open the door for attackers, the Gartner study found, as was the case with the retailer Target in 2014.
Security experts say HR leaders should ensure vendors have best-practice data security and privacy protocols in place, such as MFA, in addition to passing an external Service Organization Control, or SOC, 2 audit, which confirms they're in compliance with recommended practices for data security, processing integrity, ensuring privacy and more.
Jared Lucas, chief people officer with the cybersecurity firm MobileIron in San Francisco, said security-related employee training also is more important than ever as malware grows more sophisticated, phishing attacks increase and bad actors use AI-powered methods to hack corporate systems.
"Effective, regularly updated training in what to look for and what to be wary of can close a lot of holes in a company's data security strategy," Lucas said.
SOURCE: Zielinski, D. (10 February 2020) "How Next-Gen Technology Can Keep HR Data Safe" (Web Blog Post). Retrieved from https://www.shrm.org/resourcesandtools/hr-topics/technology/pages/next-gen-technology-can-keep-hr-data-safe.aspx
Reducing the stigma of mental illness with digital treatment options
With mental health becoming a subject that is more relevant in workplace cultures, employers are realizing that providing resources regarding mental health could benefit employees' health and productivity. One in four people are affected by a mental health disorder during their life, and it's important for employers to provide as many resources for their employees. Read this blog post to learn how providing resources for employees could help long-term.
Mental health has become a global epidemic, and employers are quickly becoming aware of how important it is to provide resources for workers who may be struggling.
“We’ve gone through an evolution from where mental health wasn’t being addressed at all within the workplace to a point today where there is a far higher level of awareness,” says Ken Cahill, CEO of SilverCloud Health, a digital mental health company. “But we have to move from that to providing an actionable plan and a solution within the workplace.”
One in four people will be affected by a mental health disorder during their life, and 450 million people have mental health issues, according to the World Health Organization. The financial drain on the workplace is staggering: mental illness accounts for $194 billion in lost revenue per year due to increased healthcare costs, lost productivity and absenteeism, according to the National Alliance on Mental Illness.
“People aren't being given the toolkits to help them handle the key challenges that are there in life,” Cahill says. “Those [challenges] will leak into the everyday work environment.”
Despite the growing number of people living with mental health disorders, finding accessible and affordable treatment is often a barrier to getting help. Two-thirds of people with mental disorders never seek treatment from health professionals, according to WHO.
“The level of acceptance around mental health is improving, but the system is getting worse — our access to mental health professionals, psychiatrists and others is getting worse,” says Michael Thompson, president and CEO of the National Alliance of Healthcare Purchaser Coalitions.
SilverCloud hopes to ease the burden through their benefits platform, treating mental health needs through online modules, journaling and coaching.
“It’s very much about the full spectrum of care — challenges around work-life balance, resilience, sleep, financial debt, anxiety and depression,” Cahill says. “What we're delivering to the organization is a full end-to-end solution, and everyone can access it.”
SilverCloud uses techniques backed by cognitive behavioral therapy, one of the most common forms of treatment. Users start by taking a short quiz, which identifies a variety of risk factors associated with their mental health and assigns them various program modules 30 to 40 minutes in length. Users also have access to in-person coaches who can personalize and suggest other modules and features, depending on their needs.
Cahill says SilverCloud can be used in conjunction with in-person therapy and other mental health treatments, but 65% of users report a clinically significant improvement in the reduction or severity of their symptoms, in line with person-to-person therapy outcomes. Currently, over 200 healthcare, payor and employee benefits organizations are working with SilverCloud. Express Scripts and Mercer Canada will soon be able to get access to the company’s digital mental health platform as well.
SilverCloud is part of a growing group of digital mental health providers hoping to meet the demands of employees placing a high priority on accessible, tech-based mental health benefits. Benefitfocus includes access to Happify through their BenefitsPlace platform. The mental health app uses gamification to teach mood training. Additionally, Cisco recently partnered with Vida, a chronic care app, to offer teletherapy through its digital coaching platform.
Cahill says the focus on the importance of good mental health will push employers to keep fighting for these critical resources.
“The reason we all hold down a job, work as functioning members of society, hold on to relationships and those kinds of things are the result of good mental health,” he says. “There’s still work to be done, but the strides that have been made are a real sea change from where we were two or three years ago.”
SOURCE: Place, A. (31 January 2020) "Reducing the stigma of mental illness with digital treatment options" (Web Blog Post). Retrieved from https://www.benefitnews.com/news/reducing-the-the-stigma-of-mental-illness-with-digital-treatment-options
Marijuana and the Workplace: What’s New for 2020?
With various states legalizing the medical use and recreational use of marijuana, employers are starting to question the exceptions regarding drug-testing and the marijuana laws towards new hires and current employees. Though there are several questions and concerns being raised, this may become a new trend throughout different states. Read this blog post to learn more about what employers are doing with new state laws.
Employers have been grappling with confusing marijuana laws for years—and the rules are getting tougher to navigate as more states add employment protections.
Kathryn Russo, an attorney with Jackson Lewis in Melville, N.Y., feels that there are so many new developments with drug-testing and marijuana laws, it's hard for employers to keep up. Starting in 2020, some locations will prohibit employers from screening new hires for marijuana or refusing to hire applicants based on a failed pre-employment marijuana screen—though there are exceptions for safety-sensitive positions. This may be the new trend, Russo said.
Here's what employers need to know about the changing landscape for weed and the workplace in the year ahead.
Legalizing Recreational Use
Although all marijuana use is still illegal under federal law, at least 33 states allow medical use, and 11 of those states and Washington, D.C., also allow recreational use.
On Jan. 1, Illinois became the 11th state to legalize recreational marijuana use, and employers are still figuring out what the new law means for the workplace.
"When the act was initially passed, employers expressed concern that they might have to prove an employee was under the influence of cannabis when an employee failed a drug test," said Jennifer Colvin and Michael Furlong, attorneys with Ogletree Deakins in Chicago. "Employers also expressed concern regarding whether they could conduct random drug tests."
So Illinois lawmakers approved an amendment clarifying that employers can conduct reasonable drug and alcohol tests, including random tests, and may discipline, fire or refuse to hire a worker who fails.
"Despite this employer-friendly amendment, workplace drug policies still must be both reasonable and nondiscriminatory," Colvin and Furlong said. Notably, the amendment didn't define a "reasonable" policy.
More states are expected to approve—or attempt to approve—recreational cannabis use in 2020. New York Gov. Andrew Cuomo said he's making it a priority.
"This year, let's work with our neighbors New Jersey, Connecticut and Pennsylvania to coordinate a safe and fair system, and let's legalize adult use of marijuana," he said in his 2020 State of the State address on Jan. 8.
Limiting Pre-Employment Drug Screens
Another big trend that's taking shape in 2020 involves limits on pre-employment marijuana screening. On Jan. 1, a Nevada law took effect barring employers from considering a pre-employment marijuana test result, and beginning May 10, a New York City law will prohibit employers from conducting pre-employment marijuana tests. Both laws have exceptions for safety-sensitive positions and jobs regulated by federal programs that require drug testing.
Even states that allow employers to refuse to hire job applicants who fail drug tests may require employers to take specific steps before rescinding a conditional job offer.
Some states have laws prohibiting employers from discriminating against workers who use lawful products while they're off duty. Such laws were enacted to protect tobacco users from discrimination, said Jennifer Mora, an attorney with Seyfarth Shaw in Los Angeles, but whether those laws protect off-duty use of a product that remains illegal under federal law is questionable.
Protection for Registered Medical Patients
More states are also passing laws that prohibit employers from discriminating against employees because they are authorized medical-marijuana patients or caregivers of patients.
"In those states, employers may be required to engage in the interactive process to accommodate the use of medicinal marijuana off duty," said Anne-Marie Welch, an attorney with Clark Hill in Birmingham, Mich.
A reasonable accommodation may not be available for a given job, but employers should make a good-faith effort to find one, such as granting time off or altering shifts while the worker is medicated.
Employers should note that they don't have to accommodate on-the-job use or intoxication, even in states where they can't fire or refuse to hire a worker simply for being a registered medical-marijuana user.
But determining how to proceed if an employee has used medical marijuana varies by state, explained David Morrison, an attorney with Goldberg Kohn in Chicago. For instance, in Arkansas, employers may discharge employees based on a good-faith belief that the employee was impaired by medical marijuana on company property or during work hours, but a positive drug test alone is not sufficient grounds for a good-faith belief. The employer also needs to observe something in the worker's conduct, behavior or appearance that indicates intoxication or receive information from a reliable person about the worker's impairment. A positive drug test, however, may be sufficient to bar an employee from working in safety-sensitive positions, Morrison noted.
Alaska, Arizona, Delaware and Minnesota state laws also prohibit employment discrimination against qualified medical-marijuana users.
In contrast, employers in some states, such as California, Colorado, Michigan, Montana, Ohio and Oregon can fire employees who test positive for marijuana, even if the use was off-duty and for a medical condition.
"While many states address these issues in their statutes, state courts also have weighed in," Morrison said. In New Jersey, an employer did not have to waive a post-accident drug test for an employee who was a registered medical-marijuana user.
Although marijuana use is not covered by the federal Americans with Disabilities Act, employees may be able to bring state-law discrimination claims. Courts in Massachusetts and Rhode Island, for example, have allowed such claims in recent years, though older court decisions in California and Colorado dismissed state-law claims as pre-empted by federal laws prohibiting marijuana use.
Consider the Job and Business
So what should employers do in light of these differing laws? "You have to consider the needs of the business, in addition to any applicable state laws," Welch said. Federal contractors, drivers and workers in other safety-sensitive positions may be subject to drug-free workplace laws, whereas general office workers may not. Employers that are struggling to fill vacant positions might want to relax their standards.
"More and more employers appear to be treating marijuana use like alcohol use and allowing recreational off-duty use," Welch observed.
SOURCE: Piazza-Nagele, L. (17 January 2020) "Marijuana and the Workplace: What’s New for 2020?" (Web Blog Post). Retrieved from https://www.shrm.org/ResourcesAndTools/legal-and-compliance/state-and-local-updates/Pages/Marijuana-and-the-Workplace-New-for-2020.aspx