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Compensation & Benefits

In wake of AIG debacle, 10 steps toward better bonuses

04/07/2009

Bonuses have gotten a bad name lately. But the howls of outrage that followed news of AIG execs’ huge retention bonuses shouldn’t sound the death knell of pay for performance. Here are 10 tips for making your bonus system work in today’s economy.

After AIG debacle, it’s time to review your bonus plan

04/07/2009

Bonuses have gotten a bad name lately. But the howls of outrage that followed news of AIG execs’ huge retention bonuses shouldn’t be the death knell of pay for performance. Here are 10 tips for making your bonus system work in today’s economy.

Expect ‘lawsuit tsunami’ in wake of Ledbetter Fair Pay Act

04/07/2009

On Jan. 29, President Obama signed the Lilly Ledbetter Fair Pay Act, which may be the most important change in anti-discrimination laws in decades. It applies to all pending compensation-related lawsuits, but limits back pay to two years. Employers can look ahead to many years of legal wrangling over the interpretation of the seven key words of the act: “a discriminatory compensation decision or other practice.”

Retirees leave utility with lifetime benefits

04/07/2009

When employees of Penasco Valley Telecommunications retire, they walk away with health, dental, life and vision insurance for life—and free cell phone service for a year. The Artesia, N.M., telecommunications cooperative has 90 employees with an average tenure of 17 years.

How does an employee’s FMLA leave status affect how we conduct a layoff?

04/07/2009

Q. I am the HR manager of a company with about 350 employees. I have just learned that the company is eliminating one product line and, as a result, there will be a layoff in that department. One of the employees who would be laid off is on FMLA leave. How do I handle this situation? …

IRS clarifies COBRA subsidy’s ‘involuntary termination’ language—sort of

04/07/2009

When the mammoth American Recovery and Reinvestment Act of 2009 (ARRA) economic stimulus law was enacted in February, lots of the details were still fuzzy. Now the IRS has defined a key term that governs who qualifies for the 65% COBRA subsidy built into the law. The only trouble is, the definition poses more questions than it answers.

Beware last-ditch efforts to claim FMLA leave

04/07/2009

Sometimes, an employee whose job is in jeopardy will try to protect it by initiating a lawsuit intended to intimidate her employer. She may call in sick instead of showing up for a termination meeting, hoping to create an FMLA retaliation or interference claim. Here’s how to handle such tactics.

Watch out! Firing employee who needs maternity leave may be sex discrimination

04/07/2009

It’s time to check your policy on maternity leave. An Ohio appeals court has ruled that it may be discrimination if you don’t provide maternity leave to employees who don’t qualify for your usual leave plan because they haven’t been on the job long enough.

When employee returns from FMLA leave, ensure position is truly equivalent to former job

04/07/2009

Employees who return from FMLA-covered maternity leave are supposed to come back to the same or a substantially equivalent position. Don’t make the mistake of offering a position that has the same title and pay, but which involves very different duties. That’s especially true if those duties are more onerous for a new mother.

Furloughs and unpaid time off create wage-and-hour problems

04/07/2009

Family-friendly practices have suddenly taken a back seat as struggling businesses focus on the bottom line. Now employers are looking for other ways to give employees time off, albeit involuntarily. But when employers impose furloughs, forced shutdowns and reduced work schedules on exempt salaried employees in increments of other than a full week, it can jeopardize exemptions under the FLSA.