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Compensation & Benefits

Small institution tackles big premium hikes

06/05/2009

When the Lake Forest Graduate School of Management got socked with back-to-back health premium increases of 21.9% and 19% in 2004 and 2005, respectively, its HR execs knew it was up to them to help the employees get healthy.

‘Circle of Growth’ keeps call center turnover low

06/05/2009

In an industry that suffers an 80%-plus turnover rate, The Beryl Companies’ Dallas-based call center loses just 17% of its employees each year. Founder and CEO Paul Spiegelman attributes the low turnover to what he calls his “Circle of Growth” philosophy.

10 steps to stress-free, lawsuit-free termination meetings

06/05/2009

Terminations are the hardest things HR professionals and supervisors have to do—and probably the most legally dangerous. One wrong word can trigger a lawsuit. To handle terminations well, you need to keep calm and communicate your message without escalating the tension. Here’s a 10-step process.

Ohio ranks 10th on business tax index

06/05/2009

Ohio ranked among the nation’s most business-friendly states in the Small Business and Entrepreneurship Council’s (SBEC) Business Tax Index for 2009. The SBEC annually assesses the tax climates for business and entrepreneurs in the 50 states and the District of Columbia.

Who takes Chrysler’s workers’ comp problems?

06/05/2009

As Chrysler sought a buyer, Ohio Attorney General Richard Cordray wondered how much it would cost the state in workers’ compensation payouts. Chrysler self-insures its workers’ compensation, but Fiat may not want to assume that obligation. What happens to workers receiving benefits then?

Use TEAM approach to stay union-free in a union-friendly world

06/05/2009

By now, nearly everyone in HR has heard of the Employee Free Choice Act (EFCA), under which unions would have a much easier time becoming certified. Because unions have become more aggressive and more successful at unionization even without the EFCA, I recommend that employers adopt the TEAM approach to keeping their workplaces union-free.

Beware incentive plans that deduct pay from exempt employees

06/05/2009

The FLSA sets strict rules for who can be classified as an exempt employee not entitled to overtime pay. One of those is the so-called salary-basis test. Exempt employees must be paid the same salary regardless of the quality or quantity of their work in any given pay period. In other words, employers can’t make deductions from pay for poor work.

COBRA subsidy available even after ‘involuntary’ termination

06/05/2009

Under the massive new federal economic stimulus law, employees who suffer an “involuntary termination” have to pay just 35% of the cost of COBRA continuation health care coverage. Employers cover the rest and then the government reimburses them. But what does “involuntary termination” mean?

Use progressive discipline—or prepare to pay unemployment even if conduct was outrageous

06/05/2009

Ohio employees who are discharged for just cause aren’t entitled to unemployment compensation payments. But Ohio courts frequently hesitate to cut off unemployment benefits for one-time conduct that may be outrageous—as long as the employee doesn’t have a history of past disciplinary problems and the employer has a progressive discipline program it didn’t use.

Control costs with furlough strategy that’s flexible, fair

06/05/2009

If your organization is limping through the economic downturn, you’ve no doubt considered cutting down your labor burden to save money. Before you resort to radical surgery—in the form of layoffs—consider a more benign cure that increases the odds of a full recovery. Furloughs—requiring staff to take unpaid time off—can reduce payroll costs without inflicting long-term damage.