Cupid’s Arrows Sting Employers

Yes, nothing like Valentine’s Day to make every romantic’s heart become soft and vulnerable.  Florists, Chocolate purveyors, and Greeting Card companies all rejoice over the ring of the cash register.
Employers, on the other hand, have to be concerned about the mischief these warm feelings can cause in their workplace.

Romance in the workplace is dangerous on many levels.  For starters, the vast majority of relationships don’t end with a trip down the aisle.  I can’t help thinking about Meatloaf’s lover’s provocative question:

Will You Love Me Forever!?!

Let’s face it, at some point the participants break up!! Now there is tension and oftentimes downright resentment toward one or both parties.  Not only that, but co-workers and friends of either party may be brought into the fray.

Forgive this Human Resource professional for putting a damper on the big day and love in general.  But the story only gets worse . . .

“Beware Cupid’s Arrows”

Picture a Supervisor smitten by the cute, young, social media expert in the Marketing department.  Supervisor knows it is not a good idea but like Meatloaf he thinks on it, thinks on it, and then gives in and professes “I’ll love you forever . . .”

Ms. Social Media likes the boss too and all is fine for a while – until it is not.  It doesn’t take much of an imagination to consider what could happen if a pay raise may be considered, or perhaps a performance review that is skewed one way or the other.  Hold your breath employer if there is promotion for anyone in the department on the horizon!!

Sexual Harassment ** Discrimination ** Hostile Work Environment

In today’s litigious society most employers frown upon office relationships and actually prohibit them between members of the same department or if there is any supervisory oversight.  Many have specific policies in their employment handbooks that require disclosure of the relationship or downright forbid it.

What Does Your Policy Say About Workplace Relationships?

Compass Workforce Solutions can help.  Call our office, speak to a human resource professional about your company’s policies or employee handbook at 631-794-7400.  We can help provide a shield to block Cupid’s arrow before it strikes!

Do You Work For Us?… Are you an Employee or 1099?

Picture this scenario. We are a small company.  We need an IT expert to help us make sure the software is up-to-date, the anti-virus actually works,  someone who can reset passwords and set up new computers.  We most certainly do not need a full-time employee – there probably is not enough work for a part-time position.   We need someone who can come in once a month to check up on things; maybe once a week when we grow. Bob in Customer Service has a friend who can do this for us.  He is a retired IT guy and has a few other companies he goes to.

Biz on a Handshake?

So, we hire Bob’s friend John as a 1099.  Nice enough guy, comes in when we ask, does a good job.  Is he an employee or an independent contractor?   Can we do business with him on a handshake?  Few months in John IT is getting more and more requests for his services.  Not enjoying his retirement the way he wants,  he hires three staff to help him out and sends a new person to our office once a week.  Can he do that?

Where’s the Agreement?

Well here’s the deal.  Companies hire independent contractors all the time to help out with things like IT, Human Resources, Accounting, Maintenance, Consulting and the list goes on.  There is nothing wrong with that.  What most companies do not do is have the Independent Contractor sign an Agreement that they are an Independent Contractor and not an employee. You need more paperwork than just the W-9 for the file.  You ask, “Why? We have been doing business like this for years and never had a problem.”  Answer: you have been lucky!

Anyone who your company hires to perform services and is not paid on payroll, needs to have an Independent Contractor Agreement in place.  Basically the Agreement should state they are not an employee of your company, they are responsible for all taxes, they are not entitled to any benefits offered by your firm, and it will allow you to ask for proof of insurance such as Professional Liability….and if they employ anyone besides themselves — Workers’ Comp.

Best Scenario

The best scenario to have is a service provider that is a Corporation or LLC.  If a check is made out to an individual such as John IT, it will send a red flag to an auditor.  The first auditor to notice will more than likely be the Workers’ Comp auditor during your annual audit.  They will ask to see any Agreement in place, invoices, and Certificates of Insurance.  If they do not have Workers’ Comp they will more than likely include them in your policy.

You say that’s not so bad.  But what about taxes, benefits, unemployment insurance?   What if John IT has not filed or paid his federal or state taxes?  The IRS tracks his income to your company.  Guess who will be contacting you or making a visit to your office?

What if John IT fires the worker that comes to your office once a week?   The worker files for unemployment but John IT has not been filing unemployment tax.  Unemployment asks the worker, where did you work?

What happens if one of these agencies determines that the Independent Contractor was actually your employee?  Not only will you receive a fine but you will need to pay their back taxes and provide any benefits that other employees in the firm are entitled.

To protect your firm, have everyone that receives a 1099 sign an Independent Contractor Agreement. Ask to be listed as an additional insured and receive a copy of the Insurance Certificate. Need help sorting this out? Contact us: info@compasswfs.com

Compass Workforce Solutions can help. Call our office, speak to a human resource professional about your company’s policies or employee handbook at 631.794.7400.

This is not legal advice and will not cover all situations and circumstances

Many businesses participate in providing summer intern opportunities.   And, why not?  It’s a ‘feel-good’ chance to give a student some real-world work experience AND gets some of that extra project work done or assists the business in keeping its head above water during the busy summer vacation season.

Some business owners also get the idea that interns are “FREE” help.

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Do I have to pay interns?

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The short answer is “Yes” – that is, if you have them doing any work at all.  In my experience interns are expected to do some work.  So, even if they are receiving college credit for being in your  business, yes, you do need to pay them if they are doing any productive work.

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But aren’t we helping them?

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That may be true but it doesn’t overshadow labor law.  If you work, you get paid.  Period.  There is a very small possibility that you have an intern program that is completely for the benefit of the student (i.e. – where the intern ‘shadows’ and receives mentoring; but does no work) – my advice would be to speak to legal counsel if you ‘think’ you don’t have to pay them.

Are There Other Issues I Need to Think About?

  • Dress Code – especially in the summer. Give them a copy of the company dress code or have HR have a frank discussion about professional business attire.
  • Smart phones – make sure interns understand your workplace rules before they start work.
  • Schedule – they are eager to find a spot so they’ll agree to practically anything (8-5 M-F); but the truth is, it’s summer; and they will likely have to work for the rest of their lives. Let the intern have some fun.  How about M-Th with Friday off?  Or…starting at 10 a.m. so they can stay up late AND still come to work rested?
  • Romance – careful here – we blogged in February about the dangers of office relationships. Interns sometimes attract an inordinate amount of attention.
  • Pay – or should I say – Appropriate Pay – this is not so complicated a question. Just ask yourself, what would you pay Your Kid for the job you are asking them to do?
  • Monitoring the work – it’s important to keep them busy AND have a senior manager get involved in making sure they have a productive summer.
  • School requirements – yes, paperwork may be a pain. But this is a responsibility that must be done in a timely manner so the intern receives appropriate credit upon returning to college.

Have questions about interns in your office? Compass Workforce Solutions can help.  Call our office, speak to a human resource professional about your company’s policies or employee handbook at 631-794-7400 or write to us at info@compasswfs.com.

Jersey City Mandatory Sick Time Ordinance

What Businesses Need to Know:

Concerned business owners are scratching their heads over how and why the Jersey City Council thought it necessary to institute their own version of employment labor law.  Others suggest this is just a copycat version of the NYC paid leave law.  Be that as it may, if you own a business within the confines of Jersey City, effective January 23, 2014 you will need to comply with this new law or risk fines and penalties.

The following are key factors you will need to know and consider:

Size of Business

Under 10 employees – you are required to accrue unpaid sick time.

10 or more employees – you are required to accrue paid sick time.

Accrual Amount – you are required to accrue one hour of time for every 30 hours an employee works up to forty (40) hours in a calendar year.

Eligibility – all employees that work at least 80 hours in Jersey City and are employed for 90 calendar days are entitled to use the sick time accrued.

Notice Requirements – all employers are required to notify the employee of the policy/ordinance at the time of hire (or upon starting work in Jersey City if employed at some other location) AND to have a poster displayed at the work location.  Fines are $100 per employee/$500 per location.

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You are encouraged to read the full ten page text of Ordinance 13.097

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What to do now – Plan to comply!

The law specifies a number of other requirements too specific to get into here (translation to foreign languages/retention of records/rehire requirements/time carryover provisions).

You may wish to work with one of our consultants; Compass Workforce Solutions can help – call 631-794-7400.

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