As of January 2017, 52 health insurance providers reported 21.8 million HSA/HDHP enrollees, up from 20.2 million in 2016. This is according to a recently released survey from America’s Health Insurance Plans (AHIP) who also reported a 9.2% increase in enrollment in HSA/HDHP from 2016 to 2017 in an analysis of a constant sample of 45 health plans.
Calculating time worked for non-exempt employees who travel for their job is a challenge for many employers. On April 12, the U.S. Department of Labor Wage and Hour Division issued an opinion letter that tackles this question.
On Monday, April 2, the U.S. Supreme Court (SCOTUS) issued a 5-4 decision ruling that an auto dealership’s service advisors that greeted and advised customers on their auto service needs were covered under the Fair Labor Standards Act (FLSA) special exemption addressing auto dealership personnel. This decision overturned a Ninth Circuit Court of Appeals ruling in 2016 that these service providers were not covered by the FLSA’s exemption and were eligible for overtime. At a...
Yesterday, April 10, was Equal Pay Day, which means that women had to work all of 2017 and until April 10, 2018 to equate to what men made in just 2017. On average, women in the U.S. are paid 20% less than men according to the Institute for Women’s Policy Research. This research prompted Lean In, a nonprofit founded by Sheryl Sandberg to empower all women to achieve their ambitions, to start a new hashtag, #20percentcounts.
We’ve discussed impending changes in the way salaries are approached in today’s market. It is understood that many states are banning and have banned the practice of using salary history as a factor during salary negotiations. On Monday, a federal appeals court ruled that salary history cannot be considered as a factor to justify wage inequalities between men and women. To put it plainly, employers can no longer justify paying a man more than a woman based on what she...
A survey of articles on the effectiveness of dependent eligibility audits show employers, on average, find between 4-8% of current participants ineligible for their healthcare plan coverage. In some cases, ineligible dependents constituted for 15% of the dependents receiving health care benefits. The average cost per ineligible dependent to the employer is between $3,500 and $4,500 per year.
When an employee’s workweek fluctuates above and below 40 hours, employers need to understand what they can and cannot do when it comes to payment of wages and overtime. Wage and Hour regulations address employee work hours that fluctuate above 40 hours in a week. When weekly work hours exceed 40, overtime pay at time and one-half is due. However, in a fluctuating work week situation the overtime rate can fluctuate along with the regular rate.
Last week the U.S. Department of Labor (DOL) announced the rollout of a “new” pilot program called the Payroll Audit Independent Determination (PAID) program. This program offers employers a process to self-report wage and hour violations with the DOL to clear them up without being exposed to as many potential damages and monetary penalties.
When promoting an employee to a new position, what pay should be established? Many employers have policies such as “up to 14% from previous base when promoting, including merit.” A policy like that becomes especially problematic when the employee being promoted from one position to another is not even close to the pay range of other employees in the same title.
In today’s society, the right talent is hard to find. When searching for the best candidate for a complex position, compensation is key to attracting the level of talent you need. Having a market-based compensation program is one way to ensure that a company remains competitive. The following seven steps will provide an overview for creating such a program within an organization.
Last week the U.S. Supreme Court reversed and remanded a Sixth Circuit’s long held principal that ruled a lifetime vesting of a benefit could be presumed using a “Yard-Man” inference. What is the Yard-Man inference? It is a legal inference stating that because the collective bargaining agreement (CBA) in question did not specifically address the duration of retiree benefits, it can be inferred that the CBA was meant to bestow lifetime vesting of the benefit and cannot be...
In May of last year, we artfully described the paradox of good economic news and low or moderate wage growth. At the time, the U.S. economy had just added 211,000 jobs, and the unemployment rate had fallen to its lowest level since 2007. However, what was missing in all that good news was signs of substantial wage growth.
Most federal gender pay discrimination cases are brought under Title VII of the Civil Rights Act of 1964. The other applicable law that was intended to address pay discrimination, the federal Equal Pay Act (EPA), was enacted before Title VII and was more narrow-focused.
As unemployment has steadily ticked down for the last several years, economists watched and waited for wage growth to start. Questions as to why a tightening labor market was not resulting in higher pay have been discussed and debated. As late as this week, an article in the New York Times (NYT) pointed to several macro force reasons wage movement was not behaving as economists have predicted.
Since the passage of the Affordable Care Act (ACA), the requirements of the ACA have profoundly impacted small employer plans (under 50 employees) by raising costs at a faster rate than large employer plans.