Companies to shrink offices as work stays remote after pandemic
The coronavirus pandemic has taught companies many things, one of those being that it may be time to allow employees to work remotely full-time when the pandemic ends. Read this blog post to learn more.
More than half of companies plan to shrink their offices as working from home becomes a regular fixture after the COVID-19 pandemic ends, according to a survey by Cisco Systems.
Some 53% of larger organizations plan to reduce the size of their office space and more than three quarters will increase work flexibility. Almost all of the respondents were uncomfortable returning to work because they fear contracting the virus, the poll found.
Cisco, the largest maker of networking equipment, recently surveyed 1,569 executives, knowledge workers and others who are responsible for employee environments in the post-COVID era. The findings suggest many of this year’s radical changes to work life will remain long after the pandemic subsides.
The poll, conducted for Cisco by Dimensional Research, concluded that working from home is the “new normal.” More than 90% of respondents said they won’t return to the office full time. 12% plan to work from home all the time, 24% will work remotely more than 15 days of each month, while 22% will do that eight to 15 days every month.
Cisco’s Webex video conferencing service has benefited from lockdowns that have kept millions of people working and studying from home. It’s also faces rising competition from Zoom Video Communications.
For employees who do return to the office, Webex is adding environmental sensors that plug into its current video-conferencing gear. That will help companies identify over-used and under-utilized spaces, while complying with room capacity limits and checking if workers are wearing masks.
SOURCE: King, I. (06 October 2020) "Companies to shrink offices as work stays remote after pandemic" (Web Blog Post). Retrieved from https://www.employeebenefitadviser.com/articles/companies-to-shrink-offices-as-work-stays-remote-after-pandemic
U.S. Adds 661,000 Jobs; Unemployment Rate Drops
According to recent studies, the job-loss numbers that businesses saw at the beginning of the coronavirus pandemic has begun to shrink. The unemployment rate fell from 8.4 percent to 7.9 percent in August. Read this blog post to learn more.
U.S. payrolls increased by 661,000 in September, according to the latest report from the Bureau of Labor Statistics (BLS)—falling below what economists expected. The report is more evidence that the pace of hiring has slowed, as more layoffs loom.
The unemployment rate fell to 7.9 percent from 8.4 percent in August. Economists had been expecting an employment gain of 800,000 and the unemployment rate to fall to 8.2 percent.
The economy has now recovered 11.4 million of the 22 million jobs lost in March in April at the beginning of the pandemic, but job growth is stalling—September was the first month since April that net hiring was below 1 million.
This slowdown is occurring as large corporate layoffs not reflected in the report are imminent: Walt Disney Co. announced 28,000 permanent layoffs and U.S. airlines are proceeding with tens of thousands of job cuts.
"The economy may have added jobs, but at a pace way too slow considering how many jobs were lost earlier this year," said Nick Bunker, an economist at the Indeed Hiring Lab. "The unemployment rate may have dropped, but the share of people with a job only moved up slightly. This report is an illusion of progress at a time when we needed accelerating gains in the labor market. We are not where we need to be, nor are we moving fast enough in the right direction as we head into fall."
The BLS report is the last one before the presidential election on Nov. 3.
"The report shows we are still clearly in the snap-back phase of the recovery, as jobs that were switched off because of COVID are blinking back online," said Andrew Challenger, senior vice president of global outplacement and executive coaching firm Challenger, Gray & Christmas, based in Chicago. "While we're seeing jobs come back, there is concurrent destruction occurring in the labor market as companies right-size their organizations to meet the decidedly lower demand they expect to face over the next two or three years," he said.
Employers continue to bring back workers—about half of the workers furloughed or laid off at the onset of the pandemic have now been rehired—but the pace of recovery is slowing while there is still a long way to go, said Julia Pollak, a labor economist at ZipRecruiter, an online employment marketplace in Santa Monica, Calif. "Even after the recent gains, we still have nearly 11 million fewer jobs than before the pandemic," she said. "By comparison, we lost 8.7 million jobs in the Great Recession."
Becky Frankiewicz, president of ManpowerGroup North America, said that the BLS report shows steady improvement, especially hiring in leisure and hospitality and operations and logistics.
Job gains were broad-based, with most sectors of the economy adding to payrolls in September, said Andrew Chamberlain, chief economist at Glassdoor.
Employment in leisure and hospitality increased by 318,000, with almost two-thirds of the gain occurring in restaurants and bars. Despite job growth totaling 3.8 million over the last five months, employment in this sector is still down by millions since the onset of the coronavirus.
Retailers added 142,000 jobs, with most of those coming in clothing stores.
"The recovery is primarily being driven by continued rehiring in the hardest-hit industries including leisure and hospitality, retail and health care," Chamberlain said.
"Many service-sector industries are continuing to recover briskly as many states and cities eased coronavirus restrictions and increased capacity limits on restaurants, gyms and stores," Pollak said. "As restrictions are lifted in the largest cities, we can expect to see a rapid bounce back."
She added that some industries haven't yet begun to recover. "The education sector is still shedding jobs, as are the performing arts and spectator sports, hospitals, coal mines, facilities support services and travel agencies."
Professional and business services contributed 89,000 jobs and the transportation and warehousing sector was up 74,000 jobs. Manufacturing grew by 66,000, financial activities added 37,000 and construction employment grew by 26,000 jobs last month, mostly in residential building. By comparison, nonresidential building gained 5,300 jobs and infrastructure work lost 3,400 positions.
Public-sector employment declined by 216,000 jobs in September, mainly due to state and local public schools failing to reopen due to the national health crisis. "Another deeply concerning thing is that we are down 1.2 million state and local government jobs over the last seven months, more than two-thirds of them in education," said Heidi Shierholz, senior economist at the Economic Policy Institute in Washington, D.C. This will only get worse without aid from Congress, she added.
A decrease of 34,000 jobs in the federal government was driven by a decline in the number of temporary Census 2020 workers. "Nearly a quarter of a million jobs are temporary jobs related to the decennial census that will disappear in the next few months," Shierholz said.
Unemployment Concerning
The official unemployment rate is now in line with previous recessions.
Chamberlain pointed out that the number of workers on temporary layoff declined sharply from 6.2 million in August to 4.6 million in September, "a reminder that the nation's impressive job growth in September is still largely driven by rehiring of furloughed workers as a patchwork of state and local government health restrictions are gradually lifted throughout the country."
But the number of workers whose layoffs became permanent rose in September, a sign that joblessness will become longer lasting. "There was a surge of 351,000 workers who have been permanently laid off," Shierholz said. "This does not bode well at all for the pace of the recovery."
Shierholz argued that the unemployment picture is much worse than the headline number of 12.6 million workers officially counted as unemployed. She said that there were an additional 800,000 workers temporarily unemployed but misclassified as employed and another 5 million workers out of work as a result of the virus but being counted as having dropped out of the labor force because they weren't actively seeking work.
"If all these workers were taken into account, the unemployment rate would have been 12.5 percent in September," she said. "There are also 9 million workers who are employed but have seen a drop in hours and pay as a result of the virus."
Another concern is that the decline in the unemployment rate came along with a 0.3 percentage point drop in the labor force participation rate to 61.4 percent. That's nearly 700,000 people.
"The decline in the unemployment rate in September was mostly for bad reasons—people dropping out of the labor force, not people getting jobs," Shierholz said.
The prime-age employment rate also decreased and long-term unemployment (unemployment lasting more than six months) increased by 781,000 to 2.4 million workers.
However, a measure that counts discouraged workers and those working part-time for economic reasons also declined, falling from 14.2 percent to 12.8 percent.
The unemployment rate fell for all demographic groups. The rate declined for Asian workers from 10.7 percent to 8.9 percent; for Black workers from 13 percent to 12.1; for Hispanic workers from 10.5 percent to 10.3 percent; and for white workers from 7.3 percent to 7.0 percent.
"One surprising thing about the job loss of March and April is that it was fairly racially equitable—the black and white unemployment rates both rose by about 11 percentage points," Shierholz said. "But the period since then has been a totally different story. Since the peak, the white unemployment rate has come down more than 50 percent faster than the Black unemployment rate."
Pollak said that women also continue to bear the brunt of the economic pain. "This is the first recession where the percentage decline in service-sector employment has exceeded that in the goods-producing sector," she said. "The industry distribution of job losses has been unfavorable to women, who are heavily concentrated in face-to-face services. School closures have also had a larger effect on female labor force participation. Since February, the labor force participation rate for men aged 25 to 54 has fallen by 1.6 percentage points, while that for women in the same age group has fallen by 2.8 percentage points.
The unemployment rate for men fell from 8.0 percent in August to 7.4 percent in September. The rate for women dropped from 8.4 percent to 7.7 percent during that time.
Declining female workforce participation is an area to watch and take action to address, Frankiewicz said. "We're advising clients to focus on offering flexible work options, autonomy for people to choose schedules that work best, and to think about the skills that are needed vs. desired for new roles."
SOURCE: Maurer, R. (02 October 2020) "U.S. Adds 661,000 Jobs; Unemployment Rate Drops" (Web Blog Post). Retrieved from https://www.shrm.org/resourcesandtools/hr-topics/talent-acquisition/pages/bls-hr-jobs-unemployment-october-2020-covid19-coronavirus.aspx
8 Diversity Recruiting Mistakes and How to Avoid Them
Diversity in the workplace involves taking a close look at each step within the recruiting process, and companies must commit to their diversity in the hiring process to complete the hiring puzzle. Read this blog post to learn more.
Employers are re-evaluating workplace diversity at their organizations, starting with being more thoughtful about recruiting from a broader range of talent.
"An effective diversity recruitment program involves taking a close look at every step of the recruitment process, from sourcing and recruitment marketing, to screening and interview practices, to how you present an offer," said Matt Marturano, vice president at executive search firm Orchid Holistic Search in the Detroit area.
Companies must commit to their diversity, equity and inclusion initiatives, and hiring is one of the most critical pieces of the puzzle, said Liz Wessel, CEO and co-founder of WayUp, a New York City-based jobs site and resource center for college students and recent graduates. "Most employers think that the reason they aren't hiring enough diverse people is because of a 'top of funnel' problem—not getting enough diverse applicants. However, in most cases, an equally big problem is the funnel itself, meaning they have parts of their hiring process and criteria that don't bode well for underrepresented candidates."
WayUp produced a report identifying eight of the most common barriers to attracting and hiring diverse candidates for emerging professional roles, along with tips for eliminating bias and improving diversity in the hiring process.
1. GPA Requirements
Recruiters can increase the number of Black and Hispanic candidates to their jobs by eliminating GPA minimums.
"By setting a minimum GPA for early-career candidates, companies are inadvertently creating an employment test that disproportionately hurts Black, Hispanic and Native American candidates," Wessel said. That's because data suggest that since Black, Hispanic and Native American students are more likely to come from lower-income households and work longer hours in college, their GPA suffers, she said. She added that data show GPA is rarely correlated to performance.
2. Relocation Stipends
Offering financial support for moving expenses is important to attract diverse, early-career candidates given that low-income students without the means to relocate for a new role are disproportionately Black or Hispanic. Black candidates are almost twice as likely as other candidates to be unwilling to relocate for a position if there is no stipend provided, WayUp found. "This means that Black candidates will be less likely to apply or more likely to drop out of your process or reject your job offer entirely," Wessel said. "Relocation stipends level the playing field for people of all socioeconomic statuses," she added.
Recruiters and hiring managers assume that everyone in college has the financial ability to move to take a job, said Margaret Spence, founder of The Employee to CEO Project, aimed at coaching diverse women to attain C-suite leadership roles. "The reality is that for most minority students, they are existing from a community putting together funds for them to be in school," she said. "They are financially strapped and already working to get by. Recruiters must have cultural awareness to understand that their candidates are coming from different backgrounds."
3. Interview Scheduling
When and how interviews are scheduled can impede engagement with minority candidates. That's because there are millions of low-income students—disproportionately Black or Hispanic—who work while in college, which leaves them less time to schedule interviews during traditional business hours.
"When I was a student, I worked full time as a waitress," Spence said. "That is the reality for many students right now. If you are asking someone to do an interview at 11 a.m., maybe that person is in a class or working a part-time job. It would be better to create a calendar opportunity that allows a student to go in and pick a time when they are available."
4. Interview Technology
The trend toward using video interview technology is growing, but the method presents a challenge to low-income job seekers who don't have access to the technology required. According to a 2019 Pew Research Center survey, only 58 percent of Black respondents and 57 percent of Hispanics reported owning a desktop or laptop computer. And just 66 percent of Black respondents and 61 percent of Hispanics reported having Internet access.
"Leveraging AI or video to help screen candidates seems like an easy win from an efficiency perspective," Wessel said. "But if you're trying to hire diverse entry-level talent, our findings suggest you should rethink that strategy."
The tools and tech-related skills that are needed to be hired are not equally available to everyone, Spence said. "Talent acquisition should get more involved with college career-development programs to teach people how to build a LinkedIn profile and how to apply for a job virtually, instead of just throwing the tech at them. The technology is an enhancement; it cannot be the only tool."
Wessel said the solution is to embrace high-touch recruiting. "Avoid using prerecorded interviews as a method to screen candidates if you can," she said. "Instead, build trust with your candidates by removing bias from the candidate screening process, including the interview itself."
5. Paid Internships
According to Wessel, this one couldn't be more simple: Unpaid internships perpetuate inequality. Most people cannot afford to work for free. The average cost of an unpaid internship for students is $6,800, according to WayUp, and that number only goes up based on the hottest job markets.
Spence shared that a client told her it was having problems getting minority interns to show up on day one. Managers thought they were being ghosted. But when recruiters inquired with the candidates, they realized many people didn't have the money to travel or live as unpaid interns. All the hired interns showed up the following year once the company offered a stipend and housing.
6. Job Posts
A common type of unconscious bias can be found in how job posts are written. "The bias in your job post predicts who you'll hire because the language changes who applies to your job," Wessel said. "Job-posting language can deter diverse candidates, but it can also drive more minority applicants when done well," she said.
"It's been an issue for years now," said Tai Wingfield, senior vice president of diversity, equity and inclusion in public relations firm Weber Shandwick's corporate practice. "That also goes for unconscious bias in how interviews are conducted and the types of questions that are asked. These biases have the potential to disqualify diverse talent capable of driving significant innovation."
Marturano said it's easy for stereotypes and bias to creep into job-post language, and taking the time to fully consider what job posts say and how they say it "speaks volumes to diverse candidates about how your organization operates and if seeking an interview would be worth their time and effort."
Wingfield added that "using words like 'fearless,' 'go-getter' or 'will work around the clock' can be very off-putting to those who are very capable but who struggle to maintain an 'always-on' work culture while prioritizing the education of their children during this time. Think about working parents."
Marturano recommended that organizations integrate diversity imperatives into a mission statement, include diverse benefits in the compensation package, and highlight possible career trajectories and any active employee resource groups.
7. School Sourcing
If your company focuses on the same select schools or only the elite schools for campus recruiting, the available talent pool is already diminished.
"By focusing your recruiting efforts on the same schools every year, you're focusing on the same type of candidates and likely discriminating against diverse students who don't get targeted by your company because they don't attend a top school," Wessel said.
Likewise, she said, employers shouldn't just focus on historically Black colleges and universities (HBCUs) to reach diversity hiring goals. "While HBCUs are incredible schools, we recommend taking a more holistic approach," she said. She noted that Spelman College, an HBCU in Atlanta, has just over 2,000 students, most of whom self-identify as Black, but Rutgers University in New Brunswick, N.J., has nearly 3,000 students who self-identify as Black.
"HBCU outreach is critical, but I was a student at the University of Maryland, where we had more Black students in our undergraduate class than nearby HBCU Howard in Washington, D.C.," Wingfield said. "Yes, companies should look beyond the HBCUs, but diversity recruiting requires culturally competent recruiters. Most large colleges and universities have affinity groups to partner with. I was a part of the Black student union. We held networking events and career fairs. Working with the student chapters of professional organizations on campus will also help recruiters find diverse talent from a broader bench of schools."
8. Technical Assessments
Technical assessments are one of the biggest culprits when it comes to bias in the hiring process, Wessel said. Hiring should never be based solely on one of these tests, she said. "Much like standardized tests, technical assessments are unfair to students who don't have access to training. Many universities, especially wealthier ones, are more likely to teach students how to take coding assessments. The same cannot be said for students who attend less economically advantaged universities." Instead, the technical assessment could be used as a guide to help recruiters and hiring managers determine a candidate's weaknesses and strengths, and point out areas for skilling, she said.
Spence said employers that want candidates to be proficient with certain technical skills should be partnering with schools on curriculum. "To move the needle on diversity in the tech space, employers will have to get more involved in developing the education they're seeking," she said.
SOURCE: Maurer, R. (28 September 2020) "8 Diversity Recruiting Mistakes and How to Avoid Them" (Web Blog Post). Retrieved from https://www.shrm.org/resourcesandtools/hr-topics/talent-acquisition/pages/8-diversity-recruiting-mistakes-how-to-avoid-them.aspx
Working from home in a pandemic is not shirking it
Juggling work and personal lives was a challenge before the coronavirus pandemic, but now as many are still continuing to work from home, employes are beginning to become worn down from having to manage their home life and work-life all at once. Read this blog post to learn more.
Working from home, once jokingly dismissed as “shirking” from home, is back as a pandemic lifeline for economies amid a resurgence of COVID-19 cases in Europe. Governments in Britain and France, having goaded workers back to the office after lockdown, are now urging them home again. The sound of frustrated bosses gritting their teeth can be heard across the City of London, as big firms from Goldman Sachs Group to Citigroup pause the back-to-work push while keeping the office open.
There’s a sense of whiplash among white-collar workers, who just weeks ago were told that it was time to put the economy first and get back to their cubicles and open-plan desks. There should also be palpable relief. Being able to pull in a salary while safe at home is a privilege hospital staff, care workers and supermarket cashiers can’t have.
Still, we know from the first wave of lockdowns that those stock images of remote workers logging on from bed with a smile and tousled hair, or of barefoot parents deftly bouncing toddlers on their knee while firing off an email, are a fantasy. While surveys suggest working from home is popular among employees crushed by the grind of the daily commute, the grumbling of CEOs that productivity and company culture are vulnerable isn’t entirely wrong.
The mass push to work from home earlier this year was unprecedented. It represented an estimated 42% of the U.S. labor force (or more than two-thirds of economic activity when weighted by contribution to GDP), but it had drawbacks. The apparent productivity gains of being at home instead of on the subway began to look more like the result of a steadily lengthening work day, according to multiple network operators, rather than supercharged efficiency.
Juggling Zoom calls and childcare made matters far worse, one reason governments in Europe put so much emphasis on reopening schools this fall. “We are home working alongside our kids, in unsuitable spaces, with no choice and no in-office days,” Stanford economist Nicholas Bloom said in March as he warned of a looming “productivity disaster.” He’s usually much more positive: His past research has linked working from home to a 13% rise in performance and a 50% drop in employee departure rates.
While corporate bean counters dream of one day dumping costly commercial real estate for digital offices in the cloud, the reality of the cost of living in big cities means home offices aren’t up to scratch.
More than half of Americans working from home do so from shared rooms or bedrooms; more than one-third have poor internet connections or none at all. A June survey of Japanese workers found that even among early adopters of remote work, only a third found it more productive than working in the office, citing poor equipment. Deutsche Bank AG’s monthly survey of financial-market professionals found their assessment of whether they were on balance more productive or less productive at home declined from 20% in June to 11% in September. (It had plunged to -13% in April as everyone was forced home full-time all at once.)
That’s the short-term assessment. We don’t yet have evidence of mass remote work’s impact of longer term on company productivity, but the current outlook is mixed at best. It’s hard to see how the field of research and development — already being thinned out by recession-related cuts — is going to win out in this environment.
Given there’s little freedom right now to create a hybrid model combining office and home — the preferred option for the majority of workers surveyed at French carmaker PSA Group, for example — bosses should do more to make the work-from-home experiment palatable and safe for all involved. Subsidizing utility bills, workspace equipment like ergonomic chairs, and even expenses such as rent (as one Swiss firm was ordered to do in May) would increase satisfaction. Managerial habits should also change, with more trust given to employees, if companies are serious about attachment to “culture.”
The right to disconnect, which had begun to spread worldwide before the pandemic, is critical. The output gains of remote work come from contented and engaged workers, not the cheaper transaction cost of being able to hire, fire and manage via the Internet.
None of this is to idealize the world of physical offices, so easily skewered by the likes of Scott Adams’s Dilbert. And complaining about neck pain, or bosses constantly “checking in” online, might ring hollow to medical staff and delivery drivers who are on the frontlines. But given remote work is now such a critical lifeline for the economy, it would be a shame to let the current experiment fail as others have before. Choosing between your job and your health is a grim trade-off, and one that really shouldn’t exist in a pandemic like this one.
SOURCE: Laurent, L. (25 September 2020) "Working from home in a pandemic is not shirking it" (Web Blog Post). Retrieved from https://www.employeebenefitadviser.com/articles/working-from-home-in-a-pandemic-is-not-shirking-it
How to Help Your Small Workplace Team Succeed
Often many small workplace teams have higher rates of productivity, due to a lesser amount of disruptions. Although there are more projects put onto single people instead of groups, it may not be a bad thing. Read this blog post for helpful tips on how to help your small workplace team succeed.
Are small workplace teams effective? Some savvy business innovators think so. After all, it was Amazon.com founder Jeff Bezos who once said, "If you can't feed a team with two pizzas, it's too large."
Academia agrees. A 2019 Harvard Business Review study leans toward smaller teams. The study suggests that small workplace teams can "disrupt" conventional wisdom and get things done, according to authors Dashan Wang, a management professor at Northwestern University, and James A. Evans, a sociology professor at the University of Chicago.
"Our research suggests that team size fundamentally dictates the nature of work a team is capable of producing, and smaller team size confers certain critical benefits that large teams don't enjoy," Wang and Evans stated.
The study sought to "measure the disruptiveness" of workplace teams using "an established measure of disruption that assesses how much a given work destabilizes its field."
"This told us how the research eclipsed or made us rethink the prior 'state of the art,' setting a valuable new direction for others to follow," Wang and Evans wrote.
Why Small Teams Can Succeed
As Bezos and the Harvard Business Review study authors show, bigger is not necessarily better when it comes to workplace teams.
"Given the right resources, small teams can be incredibly powerful," said Michael Solomon, co-author of Game Changer: How to Be 10x in the Talent Economy (HarperCollins Leadership, 2020) and co-founder of 10x Management, a technology talent recruiting firm in New York City.
Solomon deploys an armed forces analogy to highlight the effectiveness of smaller workplace teams.
"If we think about the military, special ops are usually small units of highly trained, highly synchronized individuals who have prepared extensively, know each other incredibly well and are working toward a common goal," he said. "If companies can create a culture for small teams where there is a shared mission, a safe environment for constructive feedback and trust, there is little that can't be done."
For one project at his company, Solomon said, a team of between three and five people replaced a group of 35 to rebuild a product. "It was the right group of people with the right skills in the right culture, and they were able to literally achieve 10 times the result" of the larger team.
While smaller, more-nimble teams are commonplace at small businesses and startups with tight budgets, the concept can work at any company.
"Small teams can definitely be competitive against bigger teams, but the strategies are different," said John Doherty, chief executive officer and founder of GetCredo.com, a digital marketing company in Denver. "For instance, bigger teams will often have a lot more meetings and voices at the table, whereas smaller teams tend to motivate around a singular goal and focus. It really depends on what a company wants to achieve."
Getting Results with Smaller Teams: Top Tips
Team-building experts advise managers to consider these tips when building small teams:
Build an "ownership" mindset. Emphasizing ownership in a specific skill set is a great way to build small teams.
"Giving each person on a team an area of ownership helps small teams become more effective," Doherty said. "For example, I own business and marketing, my business partner owns the technology/software side, and we also have specialists on accounts, operations and finance."
Doherty's team uses Front, a business management tool, to steer tasks to the right person. "If something comes into our respective e-mail inboxes that should be handled by someone else, we can easily assign it to them and keep moving forward," he said.
Make accountability non-negotiable. Since fewer staffers are available, holding team members accountable is a must for small workplace teams.
"A smaller workplace team needs a combination of ingredients to succeed," said Deborah Sweeney, CEO of MyCorporation.com, a business startup services provider in Calabasas, Calif.
Sweeney lists several traits she looks for when building smaller, efficient company teams:
- They must own their responsibilities. "Team members must be accountable for their work and for being able to drive assignments and initiatives."
- They should be accessible. "There must be an understanding of how to reach a team member with open communications leading to answers."
- They must be flexible. "Being flexible is important, as things quickly change and each member of a team must be nimble enough to handle those changes."
- They must be creative. "Smaller workplaces have fewer resources and less budget than companies with more money and team members. Creativity allows you to brainstorm ideas with your team that are cost-effective. These ideas may help differentiate your brand [from] an expensive option."
Start planning early. Waiting until the last moment to get an assignment started and accomplished is a non-starter for those managing smaller teams.
"Sometimes, starting late cannot be helped, as some assignments come through with tight deadlines," Sweeney said. "When that happens, it's critical that managers address the new priority with their teams, put a hold on existing work, and divide and conquer to quickly get the item with the most urgency completed."
When possible, managers should also encourage small teams to work ahead. "If they're caught up with one piece of their workload, have them start a piece that has been set aside for later," Sweeney added.
Curb team meetings. "With a smaller staff, I strive to avoid meetings," said Lotus Felix, founder of Flawless Content Shop, a content marketing company in West Palm Beach, Fla. "Conventionally, meetings may appear as the backbone of businesses, but there is so much your team can achieve when you slice down the frequencies of these meetings. At Flawless Content Shop, we have been able to up our monthly output by 175 percent by keeping some days entirely meeting-free."
Felix said having a full day without meetings allows his team to build incredible momentum. "This way, my staff can get fully enveloped in their daily to-do lists," he said.
Give your team flexibility, across the board. Felix strives not to "drown staffers in overbearing professionalism.
"For example, we don't have a strict dress code," he noted. "Personally, I have gone to the office in slippers. I wear ripped jeans on casual days, and most Fridays I Rollerblade to work."
Felix said he views this as "a deliberate attempt to unshackle my small team, giving them more vacuum for creative expression."
Measure performance and value. Focus on how your workplace team adds value using three measures: how they help make money, save money or reduce your company's risk.
"Keep track of your team's accomplishments and, as much as possible, determine the return on investment for your smaller team's contributions to the company," said Terry McDougall, owner of Terry B. McDougall Coaching, in Highland Park, Ill. "When you can demonstrate a positive return on investment, this is generally when C-suite leaders feel confident that increased investment in your team will result in a greater return for the company."
Let go of bad performers. Above all else, don't let underperforming team members stick around, because total team performance can suffer.
"With smaller teams, one bad apple can really destroy the culture of a team," Solomon said. "Believing that you can overlook one underperforming or difficult member of the team may be the biggest mistake managers make in running small teams."
In his book, Game Changer, Solomon talks about workers with a "sabotage impulse" who "avoid responsibility for their own actions and are very quick to blame others. No one is eager to have them around because they never feel safe with someone around ready to blame others for their own mistakes."
Too often, team leaders overlook these behaviors in hopes that the worker will rectify his or her behavior.
"In reality, these types of individuals … can be incredibly destructive for small workplace teams," Solomon said. "It's very important to remove them quickly to avoid an adverse impact on the rest of the team."
SOURCE: O'Connell, B. (29 September 2020) "How to Help Your Small Workplace Team Succeed" (Web Blog Post). Retrieved from https://www.shrm.org/resourcesandtools/hr-topics/people-managers/pages/helping-small-teams-succeed-.aspx
Too much screen time from remote work? These tips can combat uncomfortable eye strain
Sitting behind a desk can cause more than just neck and shoulder pain, it can also cause many eye problems and not just headaches and hazy eyes. Read this blog post for helpful tips.
With much of the workforce working from home, employees are spending more time than ever on digital devices — and it’s been a real headache.
Too much screen time causes eye strain, which often leads to headaches, dry and irritated eyes, and neck and shoulder pain, according to a study by the Vision Council. Light emitted from digital devices can also suppress melatonin levels, preventing a good night’s sleep. To combat the uncomfortable side effects of screen time, optometrists and online retailers are marketing blue light filtering glasses, which claim to reduce or eliminate eye strain by blocking the light that causes it. But do they really work?
“Some people say it’s a hoax, some say it helps — but in my experience, about eight or nine out of 10 patients say they really notice a difference after using blue light lenses,” says Dr. Alina Reznik, an optometrist with the mobile optometrist company, 20/20 Onsite. “I do love these lenses — I’ve seen people feel more comfortable and get better sleep throughout the night.”
Eyes are also exposed to blue light from the sun, but staring at screens for long periods of time is what causes eye fatigue, Reznik says. Blue light filtering glasses and contact lenses are designed to prevent blue light from entering the eye and causing symptoms.
“When blue light enters the eye, it scatters and our eye perceives it as glare and has to work overtime to keep our vision clear and focused,” says Jen Wademan, an optometrist with VSP — the largest vision insurance provider in the U.S. “It’s like a muscle — if you engage that muscle, it fatigues.”
The optometrists say blue light exposure also causes people to stop blinking while using digital devices. Wearing blue light lenses can help prevent that, they say.
“You don’t think about it when it’s happening, but when we’re on our computer or phone, we don’t blink as much,” Wademan says. “Blinking lubricates our eyes, so when we don’t do it as much, our eyes get dry and irritated.”
Wademan and Reznik recommend that employees talk to their optometrist about different options for combatting eye fatigue — even those who don’t need corrective lenses to improve their eyesight. Reznik says employees can find high-quality lenses online, but employees need to do a lot of research to verify their legitimacy.
“When people say blue light lenses don’t work, it’s often because they’re not wearing them long enough, or because they’re using low-quality lenses that aren’t actually blocking the blue light,” Reznik says.
People with 20-20 vision can still use vision benefits to purchase lenses to combat eye fatigue, Reznik and Wademan say.
“There’s so many blue light filters on the market online, but your best option is to have an eye exam to talk about your concerns,” Wademan says. “[Optometrists are] held to higher standards, so you can validate that the lenses are high quality.”
Wademan pointed out that people with perfect eyesight should still visit an eye doctor regularly.
“What we do is more than just vision, we look to make sure your eyes are running efficiently and properly,” Wademan says. “We’re also able to monitor chronic conditions like glaucoma and diabetes through eye exams to address them quickly.”
Reznik and Wademan say blue light exposure is not the only vision concern employees should address during the pandemic. The amount of time people spend looking at their screens without breaks, and the distance between themselves and the monitor, have an impact on vision health too.
“You can actually make yourself near-sighted by not taking breaks to look out the window into the distance,” Reznik says. “Our eyes are like muscles, and muscles need to be engaged in order to work properly.”
In addition to wearing blue light lenses, Reznik and Wademan say employees should practice the 20-20-20 rule: look away from your screen every 20 minutes at something 20 feet away for at least 20 seconds. Computer screens should also be placed at arms’ length to reduce eye strain. But, most importantly, they said employees and their children should have regular appointments with their eye doctor.
“So much of what kids learn is through their eyes, so it’s really important to make sure they’re running efficiently,” Wademan says. “We can’t do much without our eyes, so if you have vision benefits, you should definitely use them.”
SOURCE: Webster, K. (24 September 2020) "Too much screen time from remote work? These tips can combat uncomfortable eye strain" (Web Blog Post). Retrieved from https://www.employeebenefitadviser.com/news/tips-for-combatting-eye-strain-from-too-much-screen-time
HR Professionals Struggle over FMLA Compliance, SHRM Tells the DOL
In addition to the daily struggles that HR Professionals have to resolve, they are faced with many frustrations that have stemmed from the federal Family and Medical Leave Act (FMLA). Read this blog post to learn more.
In a Sept. 15 letter to the U.S. Department of Labor (DOL), the Society for Human Resource Management (SHRM) highlighted many of the challenges and frustrations that confront HR professionals as they comply with the federal Family and Medical Leave Act (FMLA).
"SHRM supports the spirit and intent of the FMLA, and our members are committed to ensuring employees receive the benefits and job security afforded by the act," wrote Emily M. Dickens, SHRM's corporate secretary, chief of staff and head of Government Affairs. "While it has been more than 25 years since FMLA was enacted, SHRM members continue to report challenges in interpreting and administering the FMLA."
The letter, developed with input from SHRM members, was in response to a request for information issued by the DOL's Wage and Hour Division on July 17. The DOL solicited comments and data "to provide a foundation for examining the effectiveness of the current regulations in meeting the statutory objectives of the FMLA."
According to Ada W. Dolph, a partner at Seyfarth Shaw who practices labor and employment law in Chicago, “SHRM’s comments echo what we are hearing from clients in terms of their challenges in implementing FMLA leave, particularly now with the patchwork of additional state and local leave requirements that have emerged as a response to COVID-19."
She added, "Our experience shows that regulatory gray areas add significant costs to the administration of the FMLA and impact the consistency with which the FMLA is applied to employees. We are hopeful that [the DOL] will implement SHRM’s proposed revisions, which provide much-needed clarity for both employers and employees."
Wide-Ranging Challenges
In its comment letter, SHRM addressed several issues its members have reported:
CHALLENGES WITH CONSISTENTLY APPLYING THE REGULATORY DEFINITION OF A SERIOUS HEALTH CONDITION
"Continuing treatment by a health care provider" as currently defined in federal regulations creates uncertainty for SHRM members on how to treat an absence of more than three consecutive days, according to SHRM's letter. "If there is not 'continuing treatment,' then it does not constitute a 'serious health condition' under the regulations," the letter explained. "However, if the employee does receive additional treatment, it's not clear whether these initial three absences are related to a serious health condition."
SHRM pointed out that several members "have suggested increasing the time period of incapacity, indicating they spend a lot of time processing employee certifications for missing four days that they believe more readily falls under sick time or paid time off."
Further guidance, including criteria and examples of when employers may obtain second and third medical opinions, "would be helpful, as many SHRM members reported declining to challenge an employee's certification at all because the conditions under which they may challenge those certifications are unclear or cumbersome," SHRM said.
Members also reported that obtaining documentation from health care providers on the need for employees to take leave to care for a family member with a serious health condition was difficult, and that doctors were often vague about identifying how the employee fits into the caregiving equation.
CHALLENGES WITH INTERMITTENT LEAVE
SHRM members reported that intermittent leave-taking is the most likely FMLA leave to be abused by employees.
"Employees are permitted to take incremental leave in the smallest increment of time the employer pays, as little as .10 of an hour, which members reported allowed employees to use the time to shield tardiness or other attendance issues," the letter read. "SHRM strongly urges [the DOL] to increase the minimum increment of intermittent or reduced schedule leave that is unforeseeable or unscheduled, or for which an employee provides no advance notice." SHRM suggested several alternative approaches.
For instance, the DOL could:
- Require that employees take unforeseeable or unscheduled intermittent or reduced schedule leave in half-day increments, at a minimum.
- Establish a smaller increment, such as two hours, that automatically applies in any instance in which an employee takes unscheduled or unforeseeable intermittent or reduced schedule leave.
Additionally, when an employee takes intermittent or reduced FMLA leave, an employer may transfer an employee to an alternative position. However, under current regulations, employers may only require such a transfer when the leave taken is for "a planned medical treatment for the employee, a family member, or a covered servicemember, including during a period of recovery…."
"Given the potential burden and hardship that intermittent and reduced-schedule leave have on employers, SHRM believes that an employer should be permitted to temporarily transfer an employee on intermittent or reduced-schedule leave to an alternative position, regardless of whether the leave is foreseeable or unforeseeable or whether it is scheduled or unscheduled," SHRM told the DOL.
CHALLENGES REGARDING EMPLOYEES WHO ARE CERTIFIED FOR INTERMITTENT LEAVE FOR CONSECUTIVE YEARS
Employees continue to regularly exhaust and replenish their 12-week FMLA entitlement, based on the rolling 12-month entitlement period, SHRM members reported.
"Combined with the Americans with Disabilities Act Amendments Act requirements to accommodate absences under some circumstances, these unrelenting absences become unreasonable and unduly burdensome to employers," SHRM commented.
Similarly, many SHRM members reported being frustrated that there weren't more mechanisms to challenge potential abuses of intermittent leave (e.g., when employees take every Friday or Monday off).
FRUSTRATION WITH EMPLOYEES NOT PROVIDING SUFFICIENT NOTICE OF THE NEED FOR LEAVE
Many employees provide notice of even foreseeable leaves after the leave has begun, noted SHRM, which recommended that notice of foreseeable leave be required prior to the commencement of leave and not "as soon as practicable."
SHRM also suggested that "a more definitive requirement be imposed so that employees understand clearly that they must provide notice of leave prior to beginning leave," and that "if an employee does not give advance notice, it should be the employee's burden to articulate why it was not practicable to provide such notice prior to the start of the leave. If they are unable to meet this burden, the regulation should permit and specify the consequences."
DIFFICULTIES OBTAINING TIMELY RESPONSES FROM EMPLOYEES AND THEIR PHYSICIANS TO SUPPORT THE REQUESTED LEAVE
If an employee fails to provide sufficient information to demonstrate that he or she may seek FMLA leave, then the employee can be required to provide additional information "to determine whether an absence is potentially FMLA-qualifying," SHRM explained. "However, there is no deadline by which the employee must provide this clarifying information, resulting in extensive, continued delays and continued administrative burdens."
SHRM recommended tightening this time frame to seven days and that the DOL "endeavor to provide firmer and clearer deadlines and notice requirements throughout the regulations."
SHRM members also reported that health-provider fees for completing paperwork often slowed or halted the certification process and asked whether providers' ability to impose these fees could be limited.
New FMLA Forms
Overall, SHRM members expressed satisfaction with recently updated FMLA forms. However, members continue to report that the information received from medical providers is often unclear and that they struggle to determine whether the reported condition constitutes a serious health condition.
The new forms do not account for the possibility that an employee does not qualify for FMLA because the employee doesn't meet the requirement of being unable to perform the functions of his or her job. "As such, we suggest that the medical provider be given the option to indicate that an employee does not meet this requirement," SHRM wrote.
Many members suggested that the DOL allow completion of online forms to speed processing times and reduce the administrative burdens of processing FMLA leave.
Among other issues, SHRM members also reported struggling with how to effectively reconcile FMLA with other leave laws enacted in the wake of the COVID-19 pandemic.
SOURCE: Miller, S. (21 September 2020) "HR Professionals Struggle over FMLA Compliance, SHRM Tells the DOL" (Web Blog Post). Retrieved from https://www.shrm.org/resourcesandtools/hr-topics/benefits/pages/hr-professionals-struggle-over-fmla-compliance-shrm-tells-the-dol.aspx
Pandemic Forces Organizations to Get Creative in Prepping Young Employees for the Workplace
Many are still having to work remotely, and become introduced to a company while not in an office setting. This may be hard for many entry-level beginners, interns, and recent college graduates. Employers are now trying to find ways to creatively prepare young employees for a non-traditional workplace. Read this blog post to learn more.
Pairing remote "buddies" with interns, creating leadership boot camps and hosting virtual presentations with college students are a few of the ways employers are preparing young employees for the workforce at a time when the pandemic has forced many employers to adopt a work-from-home culture.
"This pandemic has necessitated all employers to be agile and adapt to a 'new age' workforce and workplace—namely, a decentralization of employees and ability to work remotely," pointed out David Owens, director of campus recruiting at Addison Group, a national staffing and recruiting firm based in Chicago.
"Prepandemic, the majority of internships and entry-level employment opportunities were in-office or involved a majority of in-person daily responsibilities and tasks. Thankfully, in today's climate, we have the capability and technology to shift these in-person or in-office duties virtually. Leading organizations were already transitioning to a more modern concept of work," he said.
"This has been a hot-button inquiry from new graduates and this incoming generation of talent, many of whom are looking for their future workplace to be flexible and agile. More and more organizations will be tested on their adaptability to offer similar work options."
The pandemic has created a need for more in-depth and strategic partnerships with colleges and universities for recruiting students, Owens noted. Hosting a virtual panel or presentation for students is a better option right now than setting up a booth at a widely attended career fair, he said.
"I also recommend forming strategic partnerships with related student organizations and clubs that have a strong presence on campus. Additionally, be an ally to students, many of whom are stressed-out enough adapting to a hybrid or entirely virtual school year. Offer resume reviews, mock interviews, short-stint internships and networking events. Even if they don't apply for a full-time position, it helps to build brand recognition, and they could even end up applying to work at your organization down the road."
Online Networking
"We've been hosting online network events for individuals who are looking to come into the industry," said Carla Diaz, co-founder of BroadbandSearch, a company with 15 employees who all work remotely. Her company helps clients find the best Internet and TV service.
"Since we have connections within the world of ISPs [Internet service providers] and the like, we thought it would be a great idea to give up-and-coming professionals the chance to meet people within the industry—especially since many networking events were canceled as a result of COVID-19."
The events are not large, she said, but they can help young adults make important connections. Some, for example, have led to internships at Broadband.
'Firsthand Exposure'
Synoptek, a global systems integrator and managed information technology (IT) services provider headquartered in Irvine, Calif., designed DiscoverIT for recent college graduates in the U.S. It is a six-month, highly intensive training in technology, project management, the Information Technology Infrastructure Library, security and leadership. The program includes mentorship and technical and leadership boot camps, according to Danielle Andersen, vice president of global human resources at Synoptek.
The company continued its college recruitment program during the pandemic, hiring six employees during the summer.
"The program gives fresh college graduates firsthand exposure to IT consulting," she said.
And its 12-month mentorship, which pairs mentees with a company business leader at its various sites, has been using Microsoft Teams during the pandemic to meet semimonthly. It's a chance, Andersen said, for mentees "to gain more in-depth knowledge about our business model, polishing their professional image and building overall leadership skills."
The coronavirus outbreak should not be a hindrance for young professionals, said Sonya Schwartz, managing editor at Her Aspiration in the Jackson, Miss., area and founder of Her Norm, a relationship website. Her fully remote company, which employs six workers, hires at least one new graduate per department annually and plans to continue to do so, she said.
"I make sure to expose them to the ins and outs of the company to make them more familiar with the whole working process. There is a specific employee assigned for their virtual training, and chatrooms designated for them are made to ensure that all of their questions or clarifications are answered," Schwartz said.
A senior employee assigned to train a new employee also serves as the new hire's guide for daily tasks.
"Initially, we ask the new grad which part of their career they want to focus on and enhance so that they could undergo training, and, once they have decided, we will assign them to the person who we believe can contribute and can train them well in that field and will also serve as their immediate superior," she said.
Trainees attend meetings with potential clients to learn the importance of effective communication and are assigned minor projects, such as conducting research and minor layout of content. They also are given social media management tasks to develop industry-related skills.
Buddy System
The Expense Reduction Group in Baltimore stresses role modeling as a way to prepare and transition emerging professionals, according to founder and CEO Michael Hammelburger. The company, which opened in 2019, employs four staffers.
"Each new hire is unique; that's why I have implemented a buddy system for them," said Hammelburger, financial consultant for small and midsize businesses.
"We assign each of our newbies a tenured employee they can ask any question about the company to make them feel more comfortable as they adjust to their new workplace." During the first six months of hire, each buddy does a daily Zoom meeting, and there are weekly team meetings that include the buddy's new-hire cohort.
"It also breaks away from the formal onboarding seminars that are dull and boring. During our feedback process, our new hires always mention how easy it became for them to adjust."
SOURCE: Gurchiek, K. (23 September 2020) "Pandemic Forces Organizations to Get Creative in Prepping Young Employees for the Workplace" (Web Blog Post). Retrieved from https://www.shrm.org/resourcesandtools/hr-topics/organizational-and-employee-development/pages/pandemic-forces-organizations-to-get-creative-in-prepping-young-employees-for-the-workplace-.aspx
How the Supreme Court Could Rule on the Affordable Care Act
On Nov. 10, the U.S. Supreme Court will hear arguments on whether the Affordable Care Act (ACA) is constitutional, in whole or in part. The court is expected to rule on the matter before its term ends in June 2021.
Only those justices sitting on the court when the case is heard will vote, and it is not yet known if a new Supreme Court justice will be confirmed when the case is argued. A vacancy on the nine-justice court was created by the death of Justice Ruth Bader Ginsburg on Sept. 18.
In the meantime, "the health care law remains fully in effect during the litigation, including all employer coverage obligations and reporting requirements," said Chatrane Birbal, vice president of public policy at the Society for Human Resource Management.
Complex Case History
The Supreme Court's options for deciding this case are shaped by the complicated history of litigation over the ACA.
The origins of the case go back to 2012, when the court upheld the constitutionality of the ACA's penalty on individuals who lack health coverage—the so-called individual coverage mandate—as a justifiable exercise of Congress' power to tax.
In December 2017, however, President Donald Trump signed into law a tax bill that eliminated the ACA's penalty on individuals who lack health coverage. Afterward, several Republican state attorneys general, led by the state of Texas, filed a lawsuit arguing that the health care statute itself, or at least the parts of the act closely linked to the individual mandate, were no longer valid. Democratic states and the House of Representatives, led by Democrats, stepped in to defend the statute.
In December 2018, a Texas district court struck down the ACA but stayed its ruling pending appeal, concluding that the individual mandate is so connected to the law that Congress would not have passed the ACA without it.
On appeal, in Texas v. United States, a split panel of the 5th U.S. Circuit Court of Appeals deemed that the individual mandate was unconstitutional, but the panel instructed the district court to rehear the matter and "to employ a finer-toothed comb on remand and conduct a more searching inquiry into which provisions of the ACA Congress intended to be inseverable from the mandate."
However, on March 2, 2019, before the district court could carry out the appellate court's directive, the Supreme Court announced it would hear the case in its term beginning in the fall of 2020, blocking the lower courts from taking further action.
5th Circuit Ruling Was Narrowly Focused
When the 5th Circuit instructed the district court to rehear the matter and to focus on those ACA provisions that Congress intended to be "inseverable from the individual mandate," this suggested, legal analysts said, that the appellate court was unlikely to overturn the ACA in full.
"Only the individual mandate was declared unconstitutional, and the portion of the lower court's decision invalidating the rest of the Affordable Care Act [was] vacated," according to an analysis of the appellate ruling by Segal, an HR consultancy. As a result, "plan sponsors know that the entire Affordable Care Act will not be overturned."
Had the case proceeded at the appellate level, the 5th Circuit might have struck down those parts of the law directly related to the individual mandate. The appellate decision noted, for instance, that community rating, which prevents insurers from varying premiums within a geographic area based on age, gender, health status or other factors, might be among the provisions determined to be "inseverable" from the individual mandate, because the increase in revenue to insurers from the mandate was meant to offset the decrease from these restrictions.
The ACA's guaranteed-issue provisions, which ban insurers from rejecting coverage based on a person's pre-existing conditions, might also be inseverable, the appellate decision noted.
Supreme Court's Options
The Supreme Court has the following options when it decides the case, The Washington Post and other sources have reported:
- To dismiss the case on technical grounds, leaving the statute in place. The court could decide, for instance, that Texas and the individual plaintiffs lacked standing to bring the lawsuit.
- To affirmatively uphold the ACA.
- To uphold the statute while finding the individual mandate to be void without its penalty, essentially maintaining the status quo.
- To uphold the statute but void both the individual mandate and other provisions closely linked to the mandate.
- To strike down the law in full, although that option has been viewed as unlikely by legal analysts. Should it happen, however, the effect of the ruling would likely be delayed, giving Congress the opportunity to correct the statute's constitutional defects or to pass a replacement health care law.
According to an analysis by the nonprofit Kaiser Family Foundation, "If the Supreme Court adopts the position that the federal government took during the trial court proceedings and invalidates the individual mandate as well as the protections for people with pre-existing conditions, then federal funding for premium subsidies and the Medicaid expansion would stand, and it would be up to states whether to reinstate the insurance protections."
If that were to happen, Congress also could reinstate protections for people with pre-existing conditions.
Joe Biden, the Democratic presidential nominee, has voiced his support for the ACA, sometimes referred to as Obamacare, pointing out how it safeguards people who might not otherwise qualify for coverage. His campaign website says, "Because of Obamacare, over 100 million people no longer have to worry that an insurance company will deny coverage or charge higher premiums just because they have a pre-existing condition—whether cancer or diabetes or heart disease or a mental health challenge."
President Trump has also pledged to maintain these protections even as his administration supports the lawsuit that seeks to overturn the act. During his acceptance speech for the Republican presidential nomination, Trump said, "We will always, and very strongly, protect patients with pre-existing conditions, and that is a pledge from the entire Republican Party."
In Case of a Tie Vote
"If the case is heard by the current eight justices and results in a 4-4 vote, the justices could reschedule oral argument or delay consideration until [Texas vs. United States] can be reheard by a full Court," wrote Katie Keith, a former research professor at Georgetown University's Center on Health Insurance Reforms and a contributor to the Health Affairs blog. "This might mean Texas would be reheard later in the spring depending on the timing of confirmation."
Alternatively, "the Court could issue a 4-4 ruling, which would maintain the status quo and leaves the appellate decision intact. In this instance, the 5th Circuit's ruling would stand and the case would be remanded back to the district court," she noted.
If that is the outcome, "the ACA would remain in effect while the district court undertook a provision-by-provision severability analysis," Keith noted. "The litigation would continue for years as we await a new district court decision, another appeal to the 5th Circuit, and most likely a return to the Supreme Court."
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Thinking Ahead "Employers will be wise to give some thought to how they might react to different outcomes, Mercer, an HR consultancy, advised. "For example, if some common provisions eliminated by the ACA like annual/lifetime dollar limits on essential health benefits, ending dependent coverage at age 19/23, or the previously mentioned pre-existing condition exclusions were permitted again, would an employer reshape their plan design to curb costs? If the employer 'play-or-pay' mandate (the 30-hour rule) were struck down, would an employer move full-time eligibility back to 40 hours?" Concluded Mercer's consultants, "There is much to consider with these possible ACA changes," should they come to pass. |
SOURCE: Miller, S. (23 September 2020) "How the Supreme Court Could Rule on the Affordable Care Act" (Web Blog Post). Retrieved from https://www.shrm.org/resourcesandtools/hr-topics/benefits/pages/how-the-supreme-court-could-rule-on-the-affordable-care-act.aspx
Strategies for maintaining employee trust during executive turnovers
While being in the midst of the COVID-19 pandemic, it's important to keep employee trust and confidence intact. As there may be turnovers and layoffs happening with executives, it's key to communicate with employees that their employers are listening. Read this blog post to learn more.
As businesses struggle with the obstacles of maintaining a new workplace normal in the midst of the coronavirus crisis, ambiguity and unpredictability can threaten employee trust and confidence.
Sweeping layoffs across all industries are putting more pressure on that delicate relationship between employers and employees. Employers increasingly must reassure employees about their job security and the stability of the company, and how they respond will have long-term ripple effects on loyalty and potential turnover, experts say.
“A CEO’s exit or a round of layoffs can have a detrimental effect on employee retention and well-being if not addressed properly,” says Laura Hamill, chief science officer and chief people officer at Limeade, an employee experience company. “It’s important to show employees as soon as possible that you are listening, that you understand their concerns, and that you are working to address them.”
Just before the virus took root in the U.S., former Walt Disney CEO Bob Iger unexpectedly stepped down at the end of February. Around the same time, Expedia laid off 12% of its global workforce, which came on the heels of Wayfair’s January layoffs. Online travel agency Booking announced in early April that CEO Glenn Fogel has tested positive for coronavirus but still plans to continue with his responsibilities.
These major changes can create a lot of uncertainty within an organization, leaving HR and senior leadership in charge of keeping the business on track and reducing employee turnover.
“CEO shake ups [and layoffs] can create two disharmonies,” says Dania Shaheen, vice president of people operations at Kazoo, an employee experience platform. “There is always a lot of noise created with things like this, gossip about why someone stepped down. This tends to be very distracting from what the business is actually doing.”
The often abrupt departure of a CEO can also lead to a shift in strategy, Shaheen says. While a CEO’s vision for a company can be a rallying cry within the organization when that changes, it can upset the company culture. But there are steps employers can take to get out ahead of this.
In the case of Disney, Iger has remained on board to insure the strategy he has established remains in place. This can help ensure a smoother transition of power.
“The more transparent [a company is] and the more open they are internally about what’s going on is going to be key,” Shaheen says.
Frequent and open communication is another necessity for employers during times of business tumult, Hamill says. By planning for the worst-case scenario and having a clear communication policy, organizations can address employee concerns, collect feedback, gauge sentiments, and implement change quickly. Employers shouldn’t wait until they have all of the answers buttoned up.
“When a major change occurs, organizations need to put employees first,” Hamill says. “Be transparent with employees and offer two-way communication – ensure that people feel supported. This needs to come from all angles — from leaders, managers, and internal teams like human resources.”
An organization’s culture is only as strong as the example being set by its senior leadership. In response to mass layoffs and financial losses, many CEOs and other executives have decided to take pay cuts or forego their salaries. New Disney CEO Bob Chapek will take a 50% pay cut, while Iger — who remains with the company as executive chairman — will forgo his entire salary.
Dick's Sporting Goods announced that CEO Ed Stack and President Lauren Hobart will forgo their salaries and Marriott CEO Arne Sorenson will not take home any salary for the rest of the year. The rest of the executive team will take a 50% pay cut.
When organizations set an example that you’re focused on protecting your employees, it will instill trust and create a more loyal workforce.
“Culture is absolutely critical for growth and success and you want to make sure that the culture stays steady,” Shaheen says. “You have to make sure you’re continuing to build a very purpose driven culture.”
SOURCE: Schiavo, A. (06 April 2020) "Strategies for maintaining employee trust during executive turnovers" (Web Blog Post). Retrieved from https://www.employeebenefitadviser.com/news/strategies-for-maintaining-employee-trust-during-executive-turnovers