HR Services

What’s More Important – Cash or Benefits? You May Be Surprised…

No matter the size of your business, employee benefits are a crucial factor in the job market. A QuickBook Payroll study shows that 87% of employees of small businesses would rather get additional benefits instead of a pay raise. If your benefits package isn’t up to par, employees will feel under-appreciated, leading to low morale and, possibly, desertion.

Benefits help employees feel supported and understood in their workplace. Fun perks like free food and drinks, remote work options or flexible work schedules go a long way in keeping morale high and employees satisfied. However, your company doesn’t need to offer all these “fun” benefits. 38% of employees just want an extra week of paid vacation.

In the current job market, 39% of respondents say they are not satisfied with their current benefits offering. Not only did 35% of people looking for a new job in the past year place a heavy focus on better benefits, but also 41% said they wouldn’t want to work for a company that offered no benefits such as health insurance, paid vacation and sick days, retirement plans or dental insurance.

The study also reported the following:

  • 93% get at least one benefit from their small employer, but what they get and how much varies greatly.
  • While 57% get paid time off for vacations, only 48% get paid sick leave and 37% get paid personal time.

Employees highly value a good benefits package. 26% of employees said they would recommend their company to others only if they were offered the right benefits package. Another 21 percent said a great benefits package is what makes them love their job. If you are a small business considering whether or which benefits to offer, it is important to remember that benefits are the key to retaining and attracting productive employees.

Reach out to CorpStrat to learn how we design and manage employee benefits at competitive rates so your company can attract, reward, and retain your employees.

4 Best Labor Law Compliance Practices Your Business Should Adopt

Last time, we explained the importance behind labor law compliance. To recap, employers have a legal responsibility to keep track of any labor law changes and update their posters accordingly. That being said, we understand that poster compliance can be tricky. To help you navigate poster compliance, here are four best practices you can adopt.

1. Stay up to date on labor law changes

Failure to post up-to-date labor law notices can result in hefty fines up to $33,486. Of course, to receive this maximum fine, your company would need to continually or knowingly be in violation of labor law poster compliance. But fines and penalties vary by agency and are determined on a case-by-case basis. So, we advise to make it a habit to research and stay to up to date on labor law changes.

2. Post compliance posters in Spanish, and in any other languages

The requirement for posters in Spanish vary depending on the percentage of workers as well as language fluency and literacy. Additionally, government agencies don’t always provide specifics about language requirements. Regardless, it is an employer’s responsibility to inform all employees of their rights under employment law, no matter what language. So, you should ensure best practice by posting notices in English and Spanish, or in any other dominant language, if you have a large non-English speaking workforce.

3. Display posters in a common area

Have you ever heard of the saying location, location, location? Location is important and poster location is no exception. If posters are not displayed in accordance with labor law poster guidelines, you can be penalized. But there is no need to freak out; all you need to follow are two simple rules:

  • Must be displayed in a common area frequently used by employees.
  • Positioned at eye-level with an unobstructed view.

We personally recommend displaying the posters in the break room, kitchen, or near a time clock for easy access.

4. Purchase employment law posters

With labor law posting requirements changing frequently, we understand that staying up to date is difficult and time-consuming. Since 2013, there has been an average of over 100 posting updates per year. Most businesses do not have the patience, resources or know-how to be compliant successfully each time.

To avoid hassle and save precious time, we advise companies to purchase employment law posters instead of obtaining them from the government. When you purchase posters, they come laminated and ready to be displayed. In addition, your posters will always be correct. There is no need to spend time researching, downloading, and laminating the correct posters when you can streamline the process by ordering from a trusted poster compliance provider, like CorpStrat.

As part of our comprehensive labor law solution, CorpStrat offers a pay-as-you-go labor law poster update service. You don’t have to waste energy looking for the correct posters when you can easily receive posters with our e-update service. So how does it work?

  1. Receive your all-in-one state and federal labor law poster.
  2. When a change occurs, we alert you with a call, and email you the updated posting.
  3. Print the updated poster.
  4. Display your updated posting in your favorite spot.
  5. Receive an updated all-in-one state on the anniversary of your subscription.

With these four best practices, you are guaranteed to have a worry-free compliance.

Interested in our pay-as-you-go labor law poster update service? Contact CorpStrat to learn more our comprehensive labor law compliance solution and how you can sign up.

Why You Should Be Labor Law Complaint

To ensure smooth business operations, all businesses must comply with federal, state, and local laws and regulations. This includes human resources, sexual harassment training, and ERISA. And labor law is no exception.

Proper labor law poster compliance is required by law. If your business has at least one paid employee, you are required to post city, county, state and federal labor law notices. Failure to post up-to-date labor law notices can result in lawsuits or hefty fines of up to $33,486.

You may be asking, why is labor law compliance so important for your business? The answer is three-fold.

Labor law posters are critical for an employer.

As an employer, making sure labor law posters are properly displayed in a common area and up to date are easy preventative measures. Proper posting can strengthen your legal defense, especially in the event of a lawsuit or employee dispute. In addition, labor law compliance can come to your aid when there is an accident in the workplace, an unannounced Occupational Safety and Health Administration audit, or a Labor Board/ Equal Employment Opportunity Commission inquiry.

Lawsuits and employee disputes are on the rise.

Since the #MeToo movement, lawsuits and disputes, especially surrounding workplace harassment, are on the rise. Discrimination, gender equity, wages, and working conditions are other popular topics in these proceedings. Again, communicating current employee laws and rights can strengthen your legal defense in the long run.

Federal budget for the enforcement of employment laws has been increased to $13.2 Billion.

An increase in budget is a sign of higher regulations, which come in the form of higher OSHA fines and more surprise workplace visits, citations, and labor law poster audits. To avoid fines and cruise through all visits and audits, ensure best practice and properly display your up to date labor law posters in a visible spot where all employees can access it.

Keep your business compliant with the help of HRIS platforms, such as CorpStrat. CorpStrat provides a fully comprehensive, year-round labor law posting solution that includes:

  • Laminated, up-to-date, attorney-approved All-In-One State and Federal Labor Law Posters.
  • QR codes and posting legends for simple compliance tracking.
  • Access to any city and county labor law notices that are required for your business location.
  • Automatic updates every time changes occur in city, county, state, or federal posting requirements.
  • A $25,000 Fine Guarantee.

Let’s talk about your poster compliance needs. Contact CorpStrat to learn more about our labor law poster solutions.

Sexual Harassment Training Compliance may be delayed, but it’s NOT what you think

As we know, California has enacted a series of laws that strengthen the state’s protections against workplace harassment. The deadline for sexual harassment training compliance has been updated to January 1, 2021, a year later than the initial date of January 1, 2020.

Even though companies have an extra year to fully comply with these new harassment laws, we recommend to not delay training. Companies must still provide training to all new employees within the first 6 months of hire. So, in order to ensure best practice, companies need to start implementing them as soon as possible.

We advise companies to use a learning platform, like CorpStrat, to keep employers on track and help with compliance. Employers will be able to easily upload their roster, push out trainings, track progress and secure completion certifications. With a platform, companies will be able to get started on compliance right away. Again, it is important to know that delaying is not best practice.

To recap, here are the new California laws that companies must implement:

  • Require employers with five or more employees in the state to provide sexual harassment prevention training to all employees;
  • Expand and clarify employer liability for workplace harassment; and
  • Prohibit employers from entering certain agreements related to sexual harassment and other unlawful acts in the workplace.

All California employers should become familiar with the new laws. Those with five or more employees should review the new training requirements and ensure that each of their employees receives the required training by the end of 2020.

  • Managers must complete 2 hours
  • Employees must complete 1 hour

The appropriate training must be completed by each employee within six months of assuming his or her job. Each employee must receive the appropriate training once every two years.

The deadline for initial compliance with these requirements is now January 1, 2021.

Contact CorpStrat to learn more about our learning platform ASAP! Don’t delay.

The Gig Economy and California Bill AB 5: What You Need to Know

A California bill signals a ‘brand new ball game’ for gig economy businesses, such as Uber, Lyft, Airbnb, and Postmates.

With the California Legislature passing a bill expected to make the gig economy workforce more expensive in California, the governor has also signed the bill this month, meaning workers will soon face new limitations within their independent contractors.

The legislature passed Assembly Bill (AB) 5, a bill that largely codifies the 2018 Dynamex Operations West, Inc. v. Los Angeles County Superior Court decision. That decision made it harder to justify classifying workers as independent contractors instead of employees.

Dynamex and the new bill are putting major stress on businesses such as ride-share giants Uber and Lyft since they along with other gig economy entities rely on the independent contractor model, which is a far less expensive way to staff their businesses than hiring employees who are eligible to form unions, collect benefits, and be covered under an array of state and federal laws.

Employers need to take a careful look.

The passage of AB 5 “creates a brand-new ball game” related to independent contractors. Once it’s finalized, employers will have to look carefully at how the new statute will affect their workforce.

Almost every workforce in the state will be affected in some way.

The new statute affects more than just wage and hour issues. Since it broadens the definition of an employee, many more workers will come under laws such as Title VII of the Civil Rights Act of 1964 and other anti-discrimination laws as well as the National Labor Relations Act. Also, the state’s sexual harassment training requirements must be done for those classified as employees under the new statute.

Benefits – yes, companies with 50 and up must “offer” and provide “affordable” healthcare benefits under the ACA. This, combined with the added payroll taxes and workers compensation coverages could be a colossal blow to businesses.

Both the federal and state governments have focused on misclassification of employees as independent contractors for the past decade, and California law includes a penalty for misclassification in addition to other potential liability.

For example, a California employer faces liability for misclassification in addition to liability for not paying for workers’ compensation insurance and unemployment insurance on workers determined to be employees.

The governor signed the bill as of September 13, 2019. Even after the bill is signed, the issue may not be over since Uber and Lyft have put resources behind a possible ballot initiative to allow them to keep their independent contractor model.

CorpStrat provides companies with tools to attract, reward and retain their staff, through delivery and council on benefits, insurance, payroll, technology, and HR services. Contact the CorpStrat offices today to learn more!

Sexual Harassment Training Updates

Last month we presented you with an overview of the new California laws around sexual harassment in the workplace. We are back today with an update on the deadline of when workplaces are required to comply.

Instead of January 1, 2020, the deadline for initial compliance for the below requirements is now January 1, 2021. Although companies now have an extra year to fully comply with these new harassment laws, we recommend starting to implement them as soon as possible, for best practices. It is also important to keep in mind that all companies must complete the training with new hires within the first 6 months of hire.

As a refresher, California has recently enacted a series of laws that strengthen the state’s protections against workplace harassment. The new laws are as follows:

✔️ Require employers with five or more employees in the state to provide sexual harassment prevention training to all employees;

✔️ Expand and clarify employer liability for workplace harassment; and

✔️ Prohibit employers from entering certain agreements related to sexual harassment and other unlawful acts in the workplace.

All California employers should become familiar with the new laws. Those with five or more employees should review the new training requirements and ensure that each of their employees receives the required training by the end of 2020.

✔️ Managers must complete 2-hours – employees 1-hour.

The appropriate training must be completed by each employee within six months of assuming his or her job. Each employee must receive the appropriate training once every two years.

The deadline for initial compliance with these requirements is now January 1, 2021.

CorpStrat has a learning platform that can help employers easily comply for a nominal expense. With our platform, you can easily upload your roster, push out trainings, track progress and secure completion certifications.

Contact us to learn more ASAP! Don’t delay.