“what’s the business outlook for...

SLS Consulting, LLC 2017

“What’s the Business

Outlook for 2017?”

Presented by:

Sharon L. Sellers, SHRM-SCP, SPHR, GPHRPresident, SLS Consulting, LLC

(843) 819-5129

[email protected]

“Human Resources Services and Training for

U.S. Employee Management Worldwide”

“Please Insure Your Seatbelts

Are Completely Fastened”

mailto:[email protected]


HR Outlook for 2017


HR Outlook for 2017

• FLSA -Overtime Rules

• Life with Trump:

• NLRB

• EEOC

• ACA

• Immigration Reform

• OSHA

• Trends in the Workplace

• South Carolina Outlook


FLSA:

Fair Labor Standards Act of

1938, Amended 2004


Overtime Rules under FLSA

(2004 version) Exempt – Exempt from overtime

Executive, Administrative, Professional,etc.

OR those that make at least $100,000/yr

Non-exempt – Must be paid overtime Manual Labor

Any employee who makes less than $455/wk, ($23,660/yr)

Some exceptions

Primary Concern of the

Proposed RuleWAGES –

Minimum Wage for the Exemption

From $455/week or $23,660/yr

to $913/week or $47,476/yr*

Regardless of geography

Proposed – Increase each year based on CPI



Slide courtesy of SHRM

So Where Are We Now?

November 22, 2016 – Courts Granted

Emergency Motion for Preliminary

Injunction – STOPPED Proposed Rule

December 1 - Dept of Justice on behalf of

DOL filed appeal

Final briefs for the appeal weren’t due until

Jan 22 (Inauguration- Jan 20)



If appeal withdrawn, injunction stands.

Change dies. For now, we stick with 2004

version.

If appeal is not withdrawn, it plays through

the courts.

If the Change dies, then there are several

Bills in Congress to amend FLSA more

gradually



Bills regarding Overtime/Exempt Rules:

Senate: S3464

House: HR5813

Calls for a gradual increase over time


FLSA Marching Orders – What Businesses should do now

Audits showed that many – especially

SMALL businesses - had employees

misclassified.

Only the amount is up for question – the

duties test is still the duties test.

Make sure your employees are in the

correct classification.


Marching Orders

Make sure your PAY PROCESSES are

correct – Pay employees for ALL TIME WORKED if non-exempt

Don’t negotiate COMP TIME for non-exempt private

sector

Monitor (and pay) if employee spends “off duty” time

doing any work (emails, phone calls, text, etc.)

If in doubt, get your positions audited



“Hours Worked” for Overtime

Includes ANY time working for your organization – whether approved or not: Answering business telephone

Checking business emails

Sending or receiving a business phone call on cell

Sending or receiving a business related text message

Coming in early or staying late without permission to finish a project


Life with Trump

What

Else?


Life with Trump

National Labor Relations Board• Quickie Elections

• Board Rulings from Hell

• Social Media

• Joint Employer Status

• Micro-Unions

• Confidentiality

• Handbook Restrictions


Life with Trump

National Labor Relations Board• Richard Griffin, General Council, leaves Nov

2017

• 1 Republican, 2 Democrats, 2 Vacancies

• Philip Miscimarra, Acting Chair

EEOC –


Chair Jenny Yang and ME! Chair Victoria Lipnic

1 Rep, 3 Dems, 1 Vacancy, General Council is Vacant

EEOC – Reporting

Requirements effective 2018

Reporting regarding Gender & Wages

Interesting to see if this stays on track

Change position on sexual orientation and

gender identity?

Position regarding Retaliation?


The PPACA and

The American Health Care Act


The PPACA and

The American Health Care Act


Starting in 2020, PPACA imposed

a 40 percent excise tax on

employers’ plans that cost more

than $10,200 for individuals and

$27,500 for families. As of March 7,

2017, The Ways and Means

Committee’s proposed that the

American HCA would impose the

tax but delay it until 2025.

S 2075 and HR 2050 - bills to repeal the Cadillac Tax

http://www.commonwealthfund.org/publications/issue-briefs/2016/june/cadillac-tax

Life With Trump

What About Immigration Reform and Trade

Reform?


Immigration Reform, Trade Reform and

Foreign Direct Investment (FDI)


“We’ve made other countries rich while the wealth, strength, and

confidence of our country has disappeared over the horizon.

One by one, the factories shuttered and left our shores, with not even a

thought about the millions upon millions of American workers left

behind.

The wealth of our middle class has been ripped from their homes and

then redistributed across the entire world.”

----President Trump’s Inauguration Speech

Immigration Reform, Trade Reform and

Foreign Direct Investment (FDI)


Life with Trump

OSHA

New Rules Effective Dec 1, 2016 -Drug

Testing and Safety Incentives:

No blanket post-accident drug test policy Reasonable suspicion – get supervisors trained

Reasonable procedures for reporting work

related injuries and illnesses

No incentive awards based on # of injuries

over a period of time


Life with Trump

OSHA

No Major Changes to Standards Expected

However, in 2016 Congress passed a bill for

penalties to be adjusted for inflation


Life with Trump

OSHA

Remember – In South Carolina, OSHA is a

State Plan


Across the Country…

States/Local Gov’ts making

changes: Wage Gap Transparency

Parental Leave (CA, NJ)

Predictable Scheduling (San

Francisco, NY City)

Minimum Wage (multiple

states)

Pay Equity (CA, MD, NY)


HR Outlook in South Carolina



Proposed Bills -

Workplace Fairness Act – adds sexual

orientation and gender identity to existing

nondiscrimination laws

SC Workforce Opportunity and Stability

Act – Equal Employment and Equal Pay,

full wage disclosure for employers, can’t

ask wage history of applicants, repetitive

requirements regarding sharing of wage

info (already in NLRA)SLS Consulting, LLC 2017


Proposed Bills -

Pregnancy Amendment – reasonable

accommodation for medical issues related

to pregnancy, no adverse action, cannot

require leave, lactation accommodation,

new poster requirement

Band the Box – not ask about criminal

record until after the interview

(H3059/S191,H3062/S192)



Proposed Bills -

Raise Minimum Wage (H3085/S142)

Put Patient First Act (H3128/S212) –

Medical Marijuana act

Freedom of Employment Contract Act –

Repeals Right to Work (H3029) – REALLY?


General Trends in HR in SC

Unemployment in SC:

Ranked by Worst to Best (Oct. 2016)

#1 Orangeburg 9.3%

#38 (tie) Dorchester 4.2%

Berkeley 4.2%

#46 Charleston (Best) 3.7%


General Trends in HR in SCChange in Employment

Unemployment Low

Record # of Employees ACTIVELY looking for new

employment

Cherry picking (stealing workers) will be the norm

Mature workers coming back into the workforce

Smart employers will try to find ways to lure mature

workers

Benefits – If $ is limited, Stick to insurance, 401k,

Leave – the “nontraditional” benefits don’t attract

and retain if other benefits aren’t present



Thank You!

Presented by:

Sharon L. Sellers, SHRM-SCP, SPHR, GPHRPresident, SLS Consulting, LLC

(843) 819-5129

[email protected]

“Human Resources Services and Training for

U.S. Employee Management Worldwide”
mailto:[email protected]

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