Taking on a management role can be demanding; it brings new responsibilities, additional workload and more. It can be even more challenging when an employee has been promoted into the role of manager and is now responsible for supervising former co-workers. In order to succeed, these managers will need to find a way to transition a peer relationship into a successful manager-employee relationship.

Here are some tips for making a successful transition:

• Separate the personal relationship from the professional one. You can remain friendly with former co-workers but should make it clear that personal relationships cannot and will not influence your decisions and actions at work. Creating this separation may involve limiting or eliminating after-work socializing to avoid potential conflicts. This doesn’t mean a manager and his or her employees can’t be social or have lunch together, but if they do, conversation should be limited to general topics such as hobbies and interests.
• Let former peers know that you take your new responsibilities seriously. Some new managers will use jokes or humor to ease into difficult conversations with their employees, but doing so can undermine the seriousness of a counseling session or disciplinary action. Being gentle but firm can go a long way in helping employees improve and can help the manager gain and maintain employees’ respect.
• Treat all employees equally. Playing favorites can create tension and interfere with a manager’s ability to effectively lead the team. It could also invite claims of discrimination in some circumstances. Managers should consistently provide both positive feedback and suggestions for improvement to all of their subordinates. Doing so can promote successful employee development while ensuring fair treatment.
• Ask for help. Many managers have, at some point in their careers, found themselves in the position of managing former co-workers and peers. Talking with others in leadership roles can be a great source of guidance when making this transition.

By separating the personal relationship from the professional one and managing former peers or co-workers with consistency, fairness and respect, an employee can successfully make the transition to manager.

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Speaking before a session of the Society for Human Resource Management’s Employment Law & Legislative Conference March 14, 2011, an unemployment insurance (UI) expert presented a bleak picture of UI costs across the country. The following sobering facts were revealed by Douglas Holmes, the president of UWC, a nationwide association that represents the interests of the business community on national unemployment insurance and workers’ compensation public policy issues:

1. State unemployment taxes increased as a percent of total wages on average by 34 percent from 2009 to 2010 and are expected to increase even more for 2011 and 2012.
2. Thirty-two states have outstanding federal loans of $43.6 billion. The U.S. Department of Labor (DOL) projects a peak in 2013 of up to 40 states and $65.2 billion.
3. Interest on loans is charged at the rate of just over 4 percent for 2011. Under federal law, the interest may not be repaid from the state UI taxes, so approximately $1.7 billion will have to be paid from other sources. Employers in 19 states will pay a special assessment to cover this cost (Alabama, Arkansas, Arizona, Colorado, Connecticut, Delaware, Florida, Hawaii, Indiana, Kansas, Michigan, Minnesota, Missouri, New Jersey, New York, Pennsylvania, Rhode Island, South Carolina, and Wisconsin).
4. The first interest payment from states is due Sept. 30, 2011. Interest continues as long as loans are outstanding.
5. Federal Unemployment Tax Act (FUTA) increases in borrowing states have begun in Michigan, Indiana and South Carolina, and are projected in 24 states for 2011, costing more than $2 billion in additional FUTA taxes.
6. Spending on unemployment compensation is at an all-time high, jumping from approximately $31 billion in 2008 to $120 billion in 2009 and $160 billion in 2010.

Impact on HR

Going beyond the numbers, what does this mean for HR? “Congress will focus on this only when they have to,” Holmes said, noting that state and federal UI taxes will continue to rise, which will increase the cost of hiring. In addition, the increased duration of unemployment compensation will continue to be a disincentive to individuals deciding whether to actively seek and accept work available in the labor market, he noted.

Ronald Adler, the president of Laurdan Associates, a consulting firm in Potomac, Md., stressed that HR professionals “need to understand how much UI is costing their individual companies.” In addition to an increase in the cost of hiring, UI-related risks include increased administrative costs and reduced profitability, he said. In addition, UI activity may trigger an audit by the state UI agency as well as by federal agencies, including the Department of Labor, Internal Revenue Service or Immigration and Customs Enforcement.

So what can HR do?

Adler noted that the first step for HR should be to review and verify tax rate notices. Next, ensure that your classifications of employees and independent contractors are correct and ensure that you have properly reported wages—the correct amounts to the correct states, he added.

Next, Adler recommended that HR take steps to protect the company’s experience rating, which impacts the state taxes it must pay. In order to do this, HR professionals should make sure that all UI claims forms are timely and correctly completed. All incorrect determinations and decisions should be appealed. He further recommended that HR attend UI hearings. In addition, he said, HR should notify the state UI agency of rehires and of refusals of job offers.
HR professionals should also look at the broader picture, Adler suggested, and assess hiring procedures and performance management appraisals. Increased effectiveness in performing these tasks may reduce UI claims, he noted. In addition, HR should ensure proper and effective documentation of employment actions and review disciplinary and termination procedures.

And of utmost importance is the training of supervisors and managers, Adler emphasized.
Holmes made the following additional suggestions for HR professionals concerned with the rising costs of providing UI benefits:

• Work with SHRM and business advocacy groups to explain the impact of increasing payroll taxes on decisions to hire.
• Explain the practical impact of individuals staying on unemployment compensation for long periods—loss of job skills; disincentive to accept jobs that are open while claiming unemployment compensation.
• Manage UI claims costs by paying attention to benefit charges, refusals of work, overpayment and fraud.
• Work with state workforce agencies to identify opportunities for unemployed workers for on-the-job training, internships and customized training that may serve some of your needs while reducing unemployment claims.
• State and federal unemployment taxes will continue to increase over the next three years and remain at higher rates for at least 10 years on average, Holmes predicted, so this is not a problem that is going to ease anytime soon.

For more information, visit www.shrm.org

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Some of us struggle with getting to work on time, and this can cause a problem in the workplace.

If you are habitually late for work, this could result in disciplinary action, possibly including termination of your employment.  Here are 5 tips that can help you make it to work on time:

1.     Lay out your clothes the night before work. This will reduce decision making in the morning and shave off 5 to 10 minutes of prep time.

2.     Organize your morning routine. See if you can pare down the time it takes to get ready in the morning.  Shorter showers,  cutting out TV watching, and perhaps brewing your coffee at home rather than stopping for the first cup of joe can help you get an earlier start.

3.     Leave early.  If at all possible, leave for work early to help keep you from feeling rushed or speeding in traffic.  In some cases, leaving your house even five or 10 minutes earlier could cut your drive by 10-20 minutes.

4.     Listen to traffic reports.  Know where the trouble spots are and take advantage of alternate routes to avoid sitting in traffic.

5.     Carpool. This will helps in two ways.  Someone else is counting on you to be on time and in larger cities, it may enable you to utilize the HOV (High Occupancy Vehicle) Lane, which will speed up your drive time.

Remember, it all comes down to disciplining yourself to getting to work on time.  Sometimes, being late is unavoidable, so be sure you know whom to contact when coming in late.  Always refer to your company handbook for specifics on workplace attendance policies.

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Employee retention matters. Organizational issues such as training time and costs, lost knowledge, mourning, insecure coworkers and a costly candidate search aside, failing to retain a key employee is costly. Various estimates suggest that losing a middle manager costs an organization up to 100 percent of their salary. The loss of a senior executive is even more costly.

Employee retention is critically important for societal reasons as well. Over the next few years while Baby Boomers retire, the upcoming Generation X population numbers 44 million compared to 76 million Baby Boomers available for work. Simply stated, there are a lot fewer people available to work.

One of the primary measures of the health of your organization is employee retention. If you are losing critical staff members, you can safely bet that other people in their departments are looking as well. Exit interviews with departing employees provide valuable information you can use to retain remaining staff. Pay attention to what they say. You’ll never have a more significant source of data about the health of your organization.

Here are 4 tips to help you in your employee retention efforts:

A satisfied employee knows clearly what is expected from her/him every day at work. Changing expectations keeps employees on edge and creates unhealthy stress. They rob the employee of internal security and make the employee feel unsuccessful. Provide employees the specific framework within which they clearly know what is expected from them.

The quality of supervision an employee receives is critical to employee retention. People leave managers and supervisors far more often than they leave companies or jobs. It is not enough that the supervisor is well liked or a nice person; starting with clear expectations of the employee, the supervisor has a critical role to play in retention. Anything a supervisor does to make an employee feel unvalued will contribute to turnover.

Many employee complaints center on these areas:

- Lack of clarity about expectations
- Lack of clarity about earning potential
- Lack of feedback about performance
- Failure to hold scheduled meetings
- Failure to provide an environment in which the employee believes they can succeed

The ability of the employee to speak his or her mind freely within the organization is another key factor in employee retention. Does your organization solicit ideas and provide an environment in which employees are comfortable giving feedback? If so, your employees will offer ideas, give constructive criticism and commit to continuous improvement. If not, employees will bite their tongues or find themselves constantly ‘in trouble’, until they leave.

Talent and skills utilization is another factor key employees seek in the workplace. A motivated employee wants to contribute to work areas outside of his or her specific job description. How many people could contribute far more than they currently do? You just need to know their skills, talent and experience, and take time to utilize them.

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Most of us have heard about David Letterman’s alleged affairs with his female subordinates, and this is a useful reminder for employers: create a systematic plan for dealing with workplace harassment and romantic relationships. And then follow it.

As the Letterman case shows, the line between inappropriate behavior, romantic relationships, and harassment can blur. Consensual relationships sometimes sour. Other times, employees enter relationships because they feel compelled to, believing that doing so is a prerequisite to success or advancement. And in the worst cases, employees are explicitly told or threatened that the relationship is a job requirement.

To protect themselves and their employees, employers must walk the difficult line between preventing and correcting harassment, without stifling all consensual, non-workplace conduct.

Here are 10 ways to help manage this sensitive subject:

1) Start with a Harassment Prevention Policy.

A solid harassment prevention policy is the first line of defense. But the existence of a policy on its own is not enough. To be effective, a policy must clearly identify who is protected, explain conduct that is prohibited, and tell employees where to report problems and get help. Additionally, supervisors and managers need to know what to do with information or complaints they receive from their employees. And to make sure everyone knows the rules, employers must be sure each employee has a copy of the current policy and know who to ask when they have questions.

2) Training Requirements

Although federal law does not require harassment training, it is highly recommended and may provide an affirmative defense for the employer when challenged. Also, some states such as California do require harassment training, so insure you check your state requirements.

3) Train Everyone

Training lets employees know company standards, and it tangibly demonstrates the company’s commitment. It is also a good opportunity to share information about the company and management. Taking steps to prevent unlawful harassment and discrimination can help the company avoid or reduce potential damages in litigation. It also reinforces to employees that the company takes the issue seriously.

4) Adopt a Conflict of Interest Policy

Employers can restrict relationships that can create an actual or potential conflict of interest, such as a relationship between a superior and a subordinate. In these situations, employers legitimately worry about the potential for the personal relationship to interfere with business judgment. For this reason, many employers’ policies discourage or prohibit relationships that can cause this conflict. Such policies may also specify that employees are expected to disclose relationships that may create a conflict, so the employer can take appropriate action to address any potential conflict. Be aware of state laws that might prohibit strict non-fraternization policies.

5) Distinguish Harassment from Relationships

Not every romantic relationship is ‘harassment’. Relationships can change though. When consensual relationships end, for example, employers must take seriously later complaints of mistreatment. In one case, an employee claimed a co-worker, with whom she had an on-again, off-again romantic relationship, created a hostile work environment. When the relationship ended, the employee complained to the company about her co-worker’s behavior, and the company responded by disciplining the co-worker. When the employee later sued, the company won because it had acted quickly to resolve the employee’s complaints.

6) Do Not Create Temptation

While employers have little control over how employees spend time away from work, they can do things to control conduct that can affect the workplace. For instance, employers should make clear that harassment prevention policies apply to all work-related events. Management should avoid holding company-sponsored events at venues that may encourage behavior that violates conduct policies. One obvious example is the high incident rate between alcohol and unwanted conduct. Employers also can reinforce that its technology, such as email and telephones, are for business use and not for conducting workplace romance.

7) Consider Love Contracts

Some employers ask romantically involved employees to sign a ‘consensual relationship agreement’ or a ‘love contract’. This document generally acknowledges a relationship, confirms that it is consensual and will not interfere with job performance, and reinforces the principles of the employer’s harassment prevention policy. The agreement usually states the employee’s obligation to notify the employer of conduct that violates the policy.

8) Stay out of Employee Private Time

As hard as it may be to accept, employers must recognize there is little they can do about consensual relationships between employees that do not affect their workplace performance or conduct.

9) See it From the Eyes of Others

Employees engaged in relationships are not the only ones who may be subject to a hostile work environment. In one case, the court established that a manager’s favoritism for multiple paramours can create a hostile work environment for other employees. In this case, a supervisor engaged in romantic relationships with several women who reported to him, and they were promoted and treated favorably. While a single act of preferential treatment is not unlawful harassment, the court held “severe or pervasive” sexual favoritism can be actionable conduct. And, the person suing need not be the victim of the conduct.

10) Act on Violations or Complaints

An employer’s most important duty is to act on complaints or anytime it becomes aware of potential violations of its harassment prevention policy. An investigation need not be error-free or conducted with sophisticated methods. But it must be prompt, conducted in good faith, and sufficiently thorough under the circumstances. Employers should take all complaints seriously because employees find it very difficult to bring forth these complaints. A complaint may involve a relatively trivial incident; however, an investigation may reveal a larger problem.

This information should not be construed as legal advice.

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The NLRB’s complaint claims that American Medical Response of Connecticut, Inc. fired one of its employees because she posted less-than-flattering comments about her supervisor on Facebook. In particular, the employee used expletives and implied that her supervisor suffered from psychiatric problems. Some of the employee’s co-workers expressed support for her in their comments in response to the posting. Although the employer contends that the employee was terminated because of complaints about her performance – rather than anything the employee posted on Facebook – the NLRB nonetheless issued a complaint and scheduled a hearing for early next year.

At the heart of the NLRB’s case is the well-settled principle that employees generally have a right to communicate with one another about the terms and conditions of their employment. Such so-called protected concerted activities cannot form the basis for any adverse employment actions without running afoul of federal labor law. According to the NLRB, the fact that the communications in this case took place on a social media site does not in any way lessen the protections afforded the employee. Indeed, Acting General Counsel for the NLRB, Luke Solomon, suggested Facebook is akin to a “water cooler.” As a result, the NLRB took into account the employer’s policy of prohibiting employees from making negative comments about supervisors or “in any way” depicting the company on the Internet without permission in reaching its decision to issue a complaint.

Although it remains to be seen whether the NLRB will prevail, its decision to issue the complaint serves as a timely reminder to all employers. Regardless of whether employees are represented by a labor union or not, the National Labor Relations Act applies to all employers, and employers may not interfere with employee-protected concerted activity. Policies that purport to prohibit employees from engaging in “all” or “any” communication regarding the employer can draw unwanted attention from the NLRB. It is no defense that the prohibition applies only to social media or was not intended to chill employee rights.

A well-drafted, comprehensive electronic communications policy is the key to avoiding similar problems. Such a policy allows employers to protect their legitimate interests without unlawfully interfering with protected concerted activities or other employee rights.

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At the first signs of a southbound economy, some companies rush into panic mode:; they slash the staff and hope for the best. Certainly, labor is the biggest expense for most businesses. That’s why many managers believe there is no faster, more efficient way to improve the bottom line than by cutting staff.

But when you add up some of the costs of layoffs, such as severance payments, continued healthcare costs for some former employees, and higher unemployment charges, you may realize you are defeating your purpose. And that’s only part of the picture. Since layoffs create uncertainty, they often prompt a drop in productivity, a decline in quality, a loss of talent as remaining staff members start looking for jobs elsewhere and increased costs to train remaining employees to take up the slack.

That’s just the short term. Once the economy picks up steam, you’ll have to spend money recruiting and training a new workforce. You might be understaffed and unable to keep up with new demand – another strain on profitability.

There are stories of companies during the Great Depression that had employees wash windows over and over again rather than lay them off. The end result: a fiercely loyal and trained staff ready to jump into action as the economy turned slowly up.

Take a clue from those companies and adopt a contrarian stance when possible. Here are eight strategies to help you adapt to changing economic circumstances with layoffs as a last result. In the end, your company will be more efficient and better prepared to tackle the competition when the economy re-engages.

Strategy #1: Get a playbook – Like a football team, you need a series of defensive plays as the game progresses quarter to quarter. Your company playbook – a combination of a business plan and strategic vision – helps you stay on track during hard times. And expect your employees to achieve the goals in the plan.

Strategy #2: Involve staff - Keep employees appraised of the challenges your company faces. Let them know layoffs are a last resort but you need their help to bring expenses into line. Set up cost-cutting teams and give them goals.

Strategy #3: Dump some perks - This can produce a host of cost cuts. Prime areas for trimming the fat are travel, executive seminars, rental cars, expense accounts and staff retreats.

Strategy #4: Opt for some rescheduling - Consider a four-day workweek, telecommuting, temporary furloughs, flextime and other means to cut payroll costs.

Strategy #5: Trim salaries - Reduce wages by, say, five percent across the board. Offer employees stock options that make up the difference and provide an incentive to work toward the company’s success. Ask senior executives to forgo annual bonuses. Review your sales commission policy for possible cuts.

Strategy #6: Streamline – Restructure your business to enhance performance. Get rid of any department, plan or operation that isn’t contributing to the company’s success. Look for duplicated efforts, obsolete production lines and non-core businesses that can be sold.

Strategy #7: Selectively downsize – Take advantage of attrition and early retirement possibilities. If layoffs are inevitable, consolidate back-office operations first and retain employees who have face-to-face contact with customers. Look to lay off employees who add little value or disrupt others’ performance.

Strategy #8: Beef up coaching – During a slowdown, your employees are likely to have more time for training than when your businesses is steaming full ahead. By adding training, you show employees that you’re committed and willing to invest in their careers. And they’ll be better prepared once the economy picks up steam.

Of course, there’s no way to know how long the economy will remain weak. But with some creative juggling, you can retain employees and give them a stronger determination to make the company succeed.

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Being an effective manager takes work. Also, if you are new to the role with little or no training, you will discover there is a difference between being a great employee and managing great employees.

Being a manager takes courage, drive and a little insanity. Many managers know what to do; they are just overwhelmed with the volume of what they need to do.

Here are 5 tips managers most likely know but tend to forget, so lets review what you already know so you can put that knowledge into practice immediately.

1. Determine Who’s Who. Know the personalities on your team, and who you are. The 4 different ‘playground personalities’ will help you do this. Ask, “What type of kid was I on the playground?”

• The one who made sure everyone got a turn at bat? This is the Peacemaker.
• The one who made everyone line up and count off? The Organizer.
• The one who changed the rules midway through the game? The Revolutionary.
• The one who wanted to play it my way? The Steamroller.

Once you figure out your playground personality, determine whos on your playground. Don’t miss the signs. People are very clear with their body language, word usage and intentions.

Peacemakers appreciate communication and collaboration. If a staff member’s eyes bulge when others argue, that’s a clue.

Organizers are structured and decisive. If an employee comes to a meeting with charts or color-coded paper, he’s an organizer.

Revolutionaries hate routine and prefer to adapt to the moment. You’ll know a revolutionary when you ask, “Where did that come from?”

Steamrollers are smart and opinionated and can solve complex problems. They take opposing views and keep ideas floating at 30,000 feet.

2. Show Respect. Respect starts with the manager. Saying “hello” or “thank you” goes a long way. To show respect:

• Brainstorm ideas with Peacemakers
• Provide meaningful work with deadlines to Organizers
• Assign emergency tasks to Revolutionaries
• Ask Steamrollers for their opinions

3. Face Facts. Not everyone collects facts the way you do, so ask questions, be open to learning and don’t shut down discussions too early. When you think you have the facts, ask again to make sure.

4. Find the Humor. Humor should never be personal, but try to find the absurdity that invades everyone’s workspace and lighten the mood. Humor helps employees relate to you and builds camaraderie for difficult tasks.

5. Put it all Together. Managers get paid to get work done. Just when you have a plan, something goes wrong. Don’t immediately go to Plan B. Leverage personalities and the way each approaches a problem.

Understanding employees and empowering them to tackle their work in a manner that suits them will help you blossom into a confident, seasoned professional.

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Candidates applying for jobs with the city of Bozeman, Montana, are asked to list “any and all” Web sites, chat rooms and social networking groups they use (“including but not limited to Facebook, Google, Yahoo, YouTube.com, MySpace, etc.”) – along with their usernames and passwords.

Many hiring managers Google applicants’ names or look for them on Facebook, but actually logging in to their personal profiles is something new entirely.

Why does Bozeman want that access? According to city attorney Greg Sullivan, it’s “to make sure the people that we hire have the highest moral character and are a good fit for the city,” The Consumerist reports.

Sullivan also said the city doesn’t look at “the things that the federal Constitution lists as protected things” (whatever that means).

The story drew a lot of attention and outcry from the media, potential Bozeman employees and HR pros. That’s not surprising, considering there’s a debate going on about whether hiring managers should even look at candidates’ profiles, let alone obtain log-in information.

Apparently all the press got the city rethinking that part of the application. In a recent press release, Bozeman announced it will “suspend its practice of reviewing candidates’ password protected internet information until the City conducts a more comprehensive evaluation of the practice.”

What do you think? Did the public overreact to Bozeman’s hiring practice, or was the negative response justified?

Should social networking profiles play any role in the background check process at all?

Let us know what you think in the comments section below.

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Recent Staff One Presentation Developing an Effective Social Media Policy

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So how does an employer stay competitive without spending a lot of money?  There are several things employers can do that cost little, but can go a long way in eye of an employee.

1.       Communicate.

Communication creates a sense of security for an employee.  Not only communication about operations and product offerings, but culturally and structurally as well.  If people feel that they have a good understanding of where the company is going and how it is going to get there, they are generally more connected and invested in it.  Communication creates a purpose and meaning to come and work every day.

2.       Be flexible.

Increasing flex-time or being more flexible with work schedules is a great way to add value in the eye of the employee.  Being aware of the scheduling needs of employees and then trying to meet those needs creates a loyalty and appreciation to your company.

3.       Recognition and Rewards.

Recognizing a job well done or rewarding employees that have just finished a project shows that they are appreciated for their efforts and it is noticed.  Rewards could be anything from an extra vacation day or a gift card to a restaurant.  They don’t have to cost a lot to have a significant impact.

These are just a few ways employers can keep their employees productive, content, and loyal through wage freezes or layoffs.  Eventually the economy will turn and the last thing an employer needs to worry about when this happens is finding good employees.  Remember, investing in the your human capital doesn’t have to cost much, but will pay huge dividends in the future.

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 The issue facing business owners is that they must pay 65 percent of the COBRA premium and then file for reimbursement through a payroll tax credit.  Employees pay the other 35 percent.  This discounted rate could potentially cause a dramatic increase in COBRA election by former employees.

 To avoid substantial penalties, employers were required to mail out COBRA notices by April 18, 2009 to eligible employees who had been laid off since September 1, 2008.  This new regulation affects most companies with 20 or more employees.

Some companies are worried that the federal requirement could cause cash flow problems because of the up-to-three-month delay for reimbursement.  And cash flow problems could cause some financially strapped companies to lay off more employees, freeze or cut salaries, or eliminate some benefits.

How the new COBRA rules work:

• The federal government will provide a 65 percent subsidy for up to nine months of the COBRA premium retroactive to March 1 for certain terminated employees.
• To be entitled to the subsidy, employees must have been involuntarily terminated between September 1, 2008, and December 31, 2009, and must be eligible for COBRA.
• A special election period exists for individuals involuntarily terminated on or after last September 1 who had not elected COBRA.  They will have 60 more days after receiving the notice to elect coverage, which is retroactive to March 1 if they lost their jobs before then.
• The employer pays the 65 percent on the employee’s behalf and is then reimbursed through a payroll tax credit.  Large companies may be reimbursed either weekly or monthly, but smaller employers must file for the credit with their quarterly payroll taxes.
• The employee must pay 35 percent of COBRA before the employer can request reimbursement of the other 65 percent.  Employers that do not charge the full COBRA premium will not be entitled to reimbursement of 65 percent of the maximum COBRA premium.

 For more information, visit www.irs.gov/pub/irs-drop/n-09-27.pdf or www.dol.gov/ebsa/cobra.html

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Federal and state laws may limit what can be considered in making an employment decision. You cannot base an employment decision on race, sex, religion, national origin, disability, veterans’ status, filing a workers’ compensation claim, use of benefit plans, serving on a jury, etc.

Courts have also expanded potential liability for employers who discharge employees in violation of “Public Policy” reasons.  For example, if an employee accuses his employer of firing him for refusing to carry out some unlawful request or claims he was fired for reporting allegedly unlawful acts on the part of his employer, that person could be considered as a “whistleblower” and can bring a wrongful discharge lawsuit.

While employment lawsuits arise out of all sorts of circumstances, the event which causes most legal actions is a discharge or termination of employment. Therefore, we must be increasingly sensitive to what can and cannot be done in connection with a termination. The manner in which a termination is handled is critical.

Successful supervisors avoid having to discipline employees by treating them in a fair and reasonable way. Once employees understand what is expected of them, they will usually do their jobs effectively. Do not be afraid to ask for the kind of action you expect from individuals. How else will they know?

Progressive Discipline System

If discipline becomes necessary, Staff One advocates a progressive discipline system to deal with problem employees and minimize the possibility of wrongful discharge and discrimination claims.  The system basically imposes goals, timetables, and progressively greater disciplinary measures upon an employee whose performance continues to be unacceptable. The system also recognizes that certain infractions or misconduct will be sufficient for immediate discharge. It is absolutely mandatory that this system be used uniformly with all employees.

 Below are the steps to an effective progressive discipline system.

Step 1: Verbal Warning

A verbal warning is usually adequate for a first offense. Be sure to discuss the problem in private with the employee, explaining what was done wrong and what will happen if another violation occurs. Be sure to document the warning in writing, and send a record of the conversation to Staff One to be placed in the employee’s personnel file.

Step 2: Written Warning

If after receiving a verbal warning the offense is repeated, a written warning should be used.

Review the facts of the case with the employee and in the presence of another supervisor at your level or above. Tell the employee what action will be considered if another violation occurs. A limit should be set on the number of written warnings allowed before other action is taken. Make a record of the meeting, stating the facts that were reviewed with the employee and the action taken (use Staff One’s Employee Written Warning Notice). Have the employee sign the notice, after allowing him or her to enter comments. If the employee refuses to sign, have the supervisor sign the notice attesting to the employee’s refusal. Send the warning to Staff One to be placed in the employee’s personnel file.

Step 3: Suspension

A suspension without pay may be considered for employees as deemed necessary. Contact your Staff One Client Service Executive or Staff One’s Corporate HR Department for guidance.

Step 4: Discharge

Terminating an employee can present a difficult and sometimes hazardous situation. A recent nationwide survey showed that half of all companies that fired anyone had a suit or legal charge brought against them. You can help minimize this risk by considering the effects of any termination. It is always unpleasant to terminate an employee, but try to carry out the termination in a rational manner, not out of anger and never on the spur of the moment.

Call Staff One Client Services Department or your Client Service Executive before proceeding with any termination action. Together, we will discuss your plan and the reason(s) for the termination.

Many times, you may overlook the “protected activities” an employee might say are the real reasons for the termination. For instance, has the employee recently filed a workers’ compensation claim (a “protected activity”)?

Termination Meetings

This is a crucial step in the process. Terminating an employee is never easy, and the very fact that it is such an uncomfortable situation may cause you to be nervous or make a mistake. So, before you terminate an employee, contact your Staff One Client Service Executive or Staff One’s Corporate HR Department for guidance.

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The Staff One HR Outsourcing Business Stimulus Program is designed for businesses with fewer than 750 employees. Participants in the program will receive a wide array of HR services that are typically only available to FORTUNE 500 companies.

For additional details on the program, companies can visit www.staffone.com/stimulus. To qualify for the program, companies must contact Staff One prior to April 15, 2009 and become a client by June 1, 2009. Existing clients are not eligible for the program.

To read the full press release, click here.

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• Military caregiver leave: Implements the requirement to expand FMLA protections for family members caring for a covered service member with a serious injury or illness incurred while on active duty. These family members are able to take up to 26 workweeks of leave in a 12-month period.
• Leave for “qualifying exigencies” for families of National Guard and Reserve members: The law allows families of National Guard and Reserve personnel on active duty to take FMLA job-protected leave to manage their affairs – “qualifying exigencies.” The rules define “qualifying exigencies” as situations involving: 1) short-notice deployment, 2) military events and related activities, 3) childcare and school activities, 4) financial and legal arrangements, 5) counseling, 6) rest and recuperation, 7) post-deployment activities and 8 ) additional activities where the employer and employee agree to the leave.
• New employer notice obligations: The final rules consolidate all employer notice requirements into a “one-stop” section of the regulations to clear up some conflicting provisions and time periods. Further, they clarify and strengthen employer notice requirements so employers can better inform employees about their FMLA rights and obligations, and allow for a smoother exchange of information between employers and employees.
• New employee notice rights: The final rules modify the current provision that had been interpreted to allow some employees to notify their employers of their need for FMLA leave up to two full business days after an absence, even if they could provide notice sooner. Under the final rules, the employee must follow the employer’s normal and customary call-in procedures, unless there are unusual circumstances.
• New medical certification process: The final rules recognize the advent of the Health Insurance Portability and Accountability Act (HIPAA) and the applicability of HIPAA’s medical privacy rule to communications between employers and employees’ health care providers. Responding to concerns about medical privacy, the rules add a requirement that limits who may contact the health care provider and bans an employee’s direct supervisor from making the contact.
• Clarification of waivers of rights: The DOL has finalized its longstanding position that employees may voluntarily settle their FMLA claims without court or departmental approval. However, prospective waivers of FMLA rights will continue to be prohibited.
• Definition of “serious health condition”: While the rules retain individual definitions of “serious health condition,” they add guidance on some regulatory matters. If an employee is taking leave involving more than three consecutive calendar days of incapacity plus two visits to a health care provider, the two visits must occur within 30 days of the period of incapacity. The rules define “periodic visits to a health care provider” for chronic serious health conditions as at least two visits to a health care provider per year.
• Clarification of light-duty FMLA rules: At least two courts have held that an employee uses up his or her 12-week FMLA leave while on a “light-duty” assignment. Under the final rules, time spent in light-duty work does not count against an employee’s FMLA leave entitlement, and the employee’s right to job restoration is held in abeyance during the light-duty period. If an employee is voluntarily doing light-duty work, he or she is not on FMLA leave.
• Application of FMLA leave to awarding perfect attendance awards: The final rules change how perfect attendance awards are treated to allow employers to deny a “perfect attendance” award to an employee who does not have perfect attendance because he or she took FMLA leave-but only if the employer treats employees taking non-FMLA leave in an identical way.
• Clarification of “leave stacking” rules: The updated rule contains technical changes to be consistent with the U.S. Supreme Court’s decision in Ragsdale v. Wolverine World Wide Inc. The court ruled that the regulation’s so-called “categorical” penalty (requiring an employer to provide 12 additional weeks of FMLA-protected leave after the employee had already taken 30 weeks of leave ) was inconsistent with the statutory limit of only 12 weeks of FMLA leave and contrary to the law’s remedial requirement that an employee demonstrate individual harm. The new rule removes these penalties and clarifies that if an employee suffers individual harm because the employer did not follow the notification rules, the employer may be liable.

The new employer notice obligation will be the most critical to follow.  There are new FMLA forms and deadlines for the notification.

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