5 Things Every Manager Should Know
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1 5 Things Every Manager Should Know Claudia St. John, SPHR, SHRM-SCP, President, Affinity HR Group, LLC Karen Mattull, SPHR, SHRM-SCP, Director of Human Resources, BeachFleischman PC Lesson #1 1
2 Lesson #1 Gut Hires Avoid Over-Reliance on Personal Factors Prefer Structured Selection Tools Structured Interviews Behavioral Assessments/Tests Reference Checks Try Before You Buy Remember Success in Lower Position May Not Predict Success in Supervisory Position Avoid Prohibited Questions Q Original name of an applicant. Q Maiden name. Q How long have you lived at your current address? Q Do you own your home? Q Where were you born? Q Birthplace of parents or spouse. Q Require birth certificate, naturalization or baptismal records. Q When were you born? Q How old are you? Q Date of high school graduation. Q Questions about religion. Q Race, complexion of skin or attitude about working with co-workers of different race. Q Requirement of a photograph. Q Questions about physical characteristics (i.e., weight, height, color of hair, etc.). Q Marital status. Q Presence of children or intention of having children. Q Gender. Q Any medical information or questions about use of workers compensation benefits. Q Citizenship (may ask about legal right to work in the United States but this will be addressed later). Q Lineage, ancestry or national origin. Q Dates of military service or if receiving veteran disability pension. Q Listing of clubs, societies or lodges where applicants have membership. Q Do you belong to a labor union? Q Do you own a car? 2
3 Lesson #2 Lesson #2: Misclassification Of Employees Review Standards/Seek Advice Is your worker an Independent Contractor or a bonafide Employee? Is your Employee correctly classified as exempt (salaried) or non-exempt (hourly) Example: Assistant Plan Administrator Get it right before you hire! 3
4 Misclassification Of Employees Resource: US DOL Factsheet 17a US DOL Factsheet 13 Exempt vs. Non-Exempt Administrative Exemption The employee must be paid a salary not less than $455 per week ($23,660/year); AND Primary duty must office or non-manual work directly related to the management or general business operations of Company or Client; AND Primary duty includes the exercise of discretion and independent judgment with respect to matters of significance. Executive Exemption The employee must be paid a salary not less than $455 per week ($23,660/year); AND The employee must direct the work of at least two or more other full-time employee; AND The employee must have the authority to hire, fire, advance, promote or change of status of other employees 4
5 Exempt vs. Non-Exempt Employees Change to Minimum Compensation Increasing from $455 per week (or $23,600/year) to Approximately $970 per week (or $50,440/year)* Final regulations haven t been released. Expected end of 2016 More info: Google: DOL Fact Sheet 17a Independent Contractors Current standard for testing whether worker is independent: IRS Common Law Standards: Is the worker on payroll and receiving a regular paycheck? Does the worker supplies his or her own equipment, materials and tools? Are all necessary materials supplied by the employer? Can the worker can be discharged at anytime and can s/he choose whether or not to come to work without fear of losing employment? Does the worker control the hours of employment thus indicating they are acting as an independent contractor? Is the work temporary or permanent? 5
6 Independent Contractors Independent Contractors The new guidelines downplay the control test and focus instead on economic dependence, or the degree to which the duties performed by the contractor are both essential to the employer s business and constitute a majority of the contractor s income. More specifically, DOL s new interpretation relies on six interrelated factors: The extent to which the work performed is an integral part of the employer s business. The worker s opportunity for profit or loss depending on his or her managerial skill. The extent of the relative investments of the employer and the worker. Whether the work performed requires special skills and initiative. The permanency of the relationship. The degree of control exercised or retained by the employer. Lesson Independent #3 Contractors 6
7 Lesson #3: Not Having a Handbook A proper employee handbook sets behavioral expectations confirms company adherence to law emphasizes management discretion Be sure policies are adhered to consistently courts look at policies and practices Don t borrow your friends handbook or download one from the internet! Is your current handbook compliant? Probably not, if. It is more than 3 years old It is more than 60 pages You have expanded into other states since it was drafted 7
8 Lesson #4 Lesson #4: No Documentation Be Proactive and DOCUMENT! Treat employee with respect Select your timing/setting carefully Avoid surprises Document! Remember: Those who are treated with respect & care recover more quickly and are less likely to sue 8
9 Lesson #5 Lesson #5: No Feedback Develop Feedback Skills & Habits Supervisor has co-equal responsibility for employee s success SMART standards and expectations Specific Measurable Achievable Relevant Time-bound Provide continuous, specific performance feedback 9
10 Resources 12: The Elements of Great Managing, Rodd Wagner and James K. Harter, Ph.D The Dream Manager, Matthew Kelly Tell Me How I'm Doing: A Fable About the Importance of Giving Feedback, Richard L. Williams Ph.D. Transforming Teams: Tips for Improving Collaboration and Building Trust, Claudia St. John Resources Claudia St. John Affinity HR Group, LLC Claudia@affinityHRgroup.com Karen Mattull BeachFleischman PC Kmattull@beachfleischman.com
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