06Jun

“The COVID-19 pandemic has fundamentally changed employment,” declares this year’s Labor Day Report from Littler Mendelson, one of the largest employment law firms in the world.

“The challenges employees and employers continue to face this Labor Day are enormous and unprecedented. Even when the coronavirus is finally behind us, many of these challenges will remain,” says the report, released on Labor Day.

In five, to-the-point parts the report lays out the current employment situation, explores the changes the pandemic has forced upon the world of work, details the legal complexities and examines federal and state efforts to cope with the crisis.

Business leaders and human resource professionals will find the legal section especially useful. There, the report authors discuss the COVID-inspired lawsuits with a focus on employment issues. The report examines wage and hour cases, layoffs, ADA discrimination, safety and health and similar matters.

In its provocative fifth section, the report attempts to predict what lies ahead, admittedly, says the report, “a fool’s errand.” Nevertheless, it highlights “certain factors and variables” the team of writers suggest will influence the US recovery and put a stamp on the durability of the employment changes COVID-19 has compelled.

Consequently, most of the predictions are really directional signposts, things to watch, rather than outright forecasts. Indeed over half the 10 entries discuss the various surveys and metrics to monitor in order to better judge the direction of the economy and the mood of consumers.

For example, to judge the health of the nation’s small businesses, which the report says is a “bellwether for the economy as a whole,” watch the Census Bureau’s Small Business Pulse Survey.

“The survey asks 20 key questions worth monitoring, including whether small businesses permanently or temporarily closed a location, are operating at the same capacity relative to one year ago, are receiving federal financial assistance, or have changed their operations in other ways.

“How these responses trend over the coming weeks could be informative,” advises the report.

Among the 10 entries in the section are three hints about the future of work:

  • The gig economy – “independent contractor work” the report calls it – will expand, helping to replace jobs that have permanently disappeared. “Because the economic recovery will be long and protracted, individuals will need to look to other avenues find work,” says the report.
  • Online shopping has expanded so much that it may have accelerated the closure of physical stores. In addition, “crowd avoidance may influence the number of people who plan to attend concerts and theaters, take public transportation, or travel when the pandemic subsides.”
  • “A safe and effective COVID-19 vaccine will go a long way to revitalizing jobs that require close personal contact, and boosting consumer confidence.”

The report concludes saying, “The challenges of the past six months have tested the resolve and resiliency of the U.S. population and economy. How businesses fare in the next six months may indicate how long these current struggles will last.”

Photo by Ben White on Unsplash

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Green Key
Jun 6, 2023

Survey: Diversity Is an Organization’s Moral Obligation’

Diversity has long been a workforce priority, if not always broadly shared within an organization, certainly it is and has been for human resources and recruiting professionals.

HR, and we include the recruiting team here, is the group typically tasked with ensuring compliance with government requirements, historically the motivator behind efforts to have a demographically representative workforce.

Now, that’s changed. Driven by calls internally as well as nationally for fairness and balanced representation, organizations say making diversity, equity and inclusion (DEI) a priority has become a moral obligation.

52% of the respondents in a survey of HR professionals and other business leaders said making DEI part of a company’s overall strategy is “the right thing to do.” Of the three reasons respondents gave, moral obligation was the most cited. Close behind were employee expectations and recruitment and retention, both cited by 48% each.

Conducted by the recruitment software provider Workable, the extensive survey probed the details of company DEI efforts, drilling down into the efforts organizations are making, how they measure their progress and who is – and who should be – leading.

Between those organizations that have DEI initiatives and those that have made diversity and inclusion a permanent part of their values, 63% said there is an active effort to promote DEI internally. Another 18% are preparing action or have an interest, but just aren’t sure where to start.

While most efforts go back a year or more, 23.6% said DEI took on importance in 2020; 18.3% acknowledged “it became a consideration for us” last year, while 5.3% said it is now a consideration.

DEI Motivators - blog.jpg

Workable’s report quotes one of the respondents who wrote, “We have just put some initiatives in place, specifically around racial diversity in response to the [Black Lives Matter] movement.” Another commented, “This started with a walk-out of the company that was organized by an anonymous group of employees, but included a large group of employees.”

Overall, 73.4% of respondents, including those who identified as a minority, believe their company is making progress, though there are differences depending on the specific industry and gender of the respondent. For example, 77% of men believe “meaningful progress” is being made while 71.4% of women and 73.4% of minorities say so.

When it comes to who should have responsibility for an organization’s DEI, there’s agreement that everyone should have some, but a difference between management and team members.

Asked “Who should be responsible for overall DEI initiatives in your company,” 39% of respondents said “everyone.” And the percentage who said that was nearly identical regardless of their position in the company hierarchy.

But in separating respondents by role, Workable found only 22% of those at the executive or director / manager level thought they should be responsible, while 29% of staff thought so.

Workable says, “There are two ways to look at this: first, it could be the tendency to say, yes, it needs to happen, but the actual work should be owned by someone else, or it could be that employees are looking to their leaders to set direction and define the culture of the company.”

“It’s safe to suggest that our respondents wholly believe we’re in it together and that someone should absolutely take ownership of initiatives to ensure DEI progress.”

But, ultimately what Workable found is that HR or a dedicated DEI manager or group is actually doing the work of leading DEI initiatives.

Though the survey was relatively small and select – 788 responses coming from among Workable’s clients with almost a third in the IT and tech sector – the results point to a broad support for diversity, equity and inclusion.

“The commitment is clear,” writes Workable in the conclusion. “The information is readily available. There is work to be done – and it involves every one of us. Real, tangible action speaks louder than words and statements, and your employer brand may depend on it. With time and business smarts, we’ll all get there.”

Photo by Clay Banks

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Green Key

Open Enrollment is Going Virtual This Year

The dog days of summer aren’t likely to have you thinking of health plans, life insurance, 401ks, or any of the other benefits employers offer. That is, unless you’re in HR.

This year, open enrollment – the weeks in October and November when employees make choices about their benefits – is going to be so different from those of the past that HR professionals began their planning while the rest of us were cleaning the barbecue for the summer ahead.

BenefitsPRO made that point a month ago writing, “In terms of benefits enrollment and communication, we will see major disruption.”

Across the country, HR leaders are rethinking how to present and communicate benefits information. With many employees likely to still be working remotely and even where they’re not, the usual group meetings are too much of a health risk, so HR professionals are turning to virtual presentations and digital messaging.

Heather Garbers, VP voluntary benefits & technology at HUB International, tells BenefitsPRO, “We are already seeing more employers adopting text messaging services and centering communications around digital campaigns, and we expect this trend to become normal operating procedure moving forward.”

The Society for Human Resource Management (SHRM) predicts that employers will take their open enrollment campaigns online, offering virtual benefits fairs. Some will plan their own event; more will use a commercial service.

Megan Taggart, client and participant engagement senior manager at ConnectYourCare, says an online benefits fair is superior in some ways to the traditional in-person events. “An online fair allows employees to check out webinars, download resources and speak privately with benefit account experts according to the employees’ schedule,” she explains in the SHRM article.

But virtual benefits fairs and meetings have their downsides, the SHRM article notes.

“Virtual benefits fairs, by themselves, don’t create the same sense of urgency that in-person events do,” says Jon Stuckey, VP at the benefits communication firm Segal Benz. Hosting a live presentation with Q&A is one way to generate interest. Stuckey suggests conducting a survey or raffle as other ways to drive engagement.

A different issue is reaching those employees who may not be online. There are also legal requirements to consider says SHRM. Information about retirement plans can be delivered digitally, but “only for employees who regularly use a computer as part of their integral duties or for those employees who affirmatively consent.”

Mailing open enrollment information to employees in addition to making it available online “may be preferable,” says SHRM. “This is especially true considering that sometimes it’s the employee’s spouse who makes the benefit decisions.”

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