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  • 29 Oct 2020 6:15 AM | Bill Brewer (Administrator)

    The burden is on you to stuff your retirement piggy bank.

    by: Ashlea Ebeling | Oct 26, 2020,04:59pm EDT

    How much can you save for retirement in 2021 in tax-advantaged accounts? How does $58,000 sound? The Treasury Department has announced inflation-adjusted figures for retirement account savings for 2021. 

    The basic salary deferral amount for 401(k) and similar workplace plans remains flat at $19,500; the $6,500 catch-up amount if you’re 50 or older also remains the same; but the overall limit for these plans goes up from $57,000 to $58,000 in 2021. That helps workers whose employers allow special after-tax salary deferrals, and self-employed folks who can save to the limit in solo or individual 401(k)s or SEP retirement plans. 

    For the rest of us, IRA contribution limits are flat. The amount you can contribute to an Individual Retirement Account stays the same for 2021: $6,000, with a $1,000 catch-up limit if you’re 50 or older.

    There’s a little good news for IRA savers. You can earn a little more and get to deduct your IRA contributions. Plus, the phase-out income limits for contributing to a Roth IRA are bumped up.

    And the income limits to claim the saver’s credit, an extra incentive to start and keep saving, has gone up.

    We outline the numbers below; see IRS Notice 2020-79 for technical guidance. For more on 2021 tax numbers: Forbes contributor Kelly Phillips Erb has all the details on 2021 tax brackets, standard deduction amounts and more. We have all the details on the new higher 2021 estate and gift tax limits too. 

    401(k)s. The annual contribution limit for employees who participate in 401(k), 403(b), most 457 plans and the federal government’s Thrift Savings Plan is $19,500 for 2021—for the second year in a row. Note, you can make changes to your 401(k) election at any time during the year, not just during open enrollment season when most employers send you a reminder to update your elections for the next plan year.

    The 401(k) Catch-Up. The catch-up contribution limit for employees age 50 or older in these plans also remains steady: it’s $6,500 for 2021. Even if you don’t turn 50 until December 31, 2021, you can make the additional $6,500 catch-up contribution for the year.

    SEP IRAs and Solo 401(k)s. For the self-employed and small business owners, the amount they can save in a SEP IRA or a solo 401(k) goes up from $57,000 in 2020 to $58,000 in 2021. That’s based on the amount they can contribute as an employer, as a percentage of their salary; the compensation limit used in the savings calculation also goes up from $285,000 in 2020 to $290,000 in 2021. 

    Aftertax 401(k) contributions. If your employer allows aftertax contributions to your 401(k), you also get the advantage of the new $58,000 limit for 2021. It’s an overall cap, including your $19,500 (pretax or Roth in any combination) salary deferrals plus any employer contributions (but not catch-up contributions).

    The SIMPLE. The contribution limit for SIMPLE retirement accounts is unchanged at $13,500 for 2021. The SIMPLE catch-up limit is still $3,000.

    Defined Benefit Plans. The limitation on the annual benefit of a defined benefit plan is unchanged at $230,000 for 2021. These are powerful pension plans (an individual version of the kind that used to be more common in the corporate world before 401(k)s took over) for high-earning self-employed folks.

    Individual Retirement Accounts. The limit on annual contributions to an Individual Retirement Account (pretax or Roth or a combination) remains at $6,000 for 2021. The catch-up contribution limit, which is not subject to inflation adjustments, remains at $1,000. (Remember that 2021 IRA contributions can be made until April 15, 2022.)

    Deductible IRA Phase-Outs. You can earn a little more in 2021 and get to deduct your contributions to a traditional pretax IRA. Note: Even if you earn too much to get a deduction for contributing to an IRA, you can still contribute—it’s just nondeductible.

    In 2021, the deduction for taxpayers making contributions to a traditional IRA is phased out for singles and heads of household who are covered by a workplace retirement plan and have modified adjusted gross incomes (AGI) between $66,000 and $76,000, up from $65,000 and $75,000 in 2020. For married couples filing jointly, in which the spouse who makes the IRA contribution is covered by a workplace retirement plan, the income phase-out range is $105,000 to $125,000 for 2021, up from $104,000 to $124,000.

    For an IRA contributor who is not covered by a workplace retirement plan and is married to someone who is covered, the deduction is phased out if the couple’s income is between $198,000 and $208,000 in 2021, up from $196,000 and $206,000 in 2020.

    Roth IRA Phase-Outs. The inflation adjustment helps Roth IRA savers too. In 2021, the AGI phase-out range for taxpayers making contributions to a Roth IRA is $198,000 to $208,000 for married couples filing jointly, up from $196,000 to $206,000 in 2020. For singles and heads of household, the income phase-out range is $125,000 to $140,000, up from $124,000 to $139,000 in 2020.

    If you earn too much to open a Roth IRA, you can open a nondeductible IRA and convert it to a Roth IRA as Congress lifted any income restrictions for Roth IRA conversions. To learn more about the backdoor Roth, see Congress Blesses Roth IRAs For Everyone, Even The Well-Paid.

    Saver’s Credit. The income limit for the saver’s credit for low- and moderate-income workers is $66,000 for married couples filing jointly for 2021, up from $65,000; $49,500 for heads of household, up from $48,750; and $33,000 for singles and married filing separately, up from $32,500.

    QLACs. The dollar limit on the amount of your IRA or 401(k) you can invest in a qualified longevity annuity contract is still $135,000 for 2021.

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    Source: Forbes

    https://www.forbes.com/sites/ashleaebeling/2020/10/26/irs-announces-2021-retirement-plan-contribution-limits-for-401ks-and-more/#22efe7b0215f

  • 29 Oct 2020 6:12 AM | Bill Brewer (Administrator)

    AUTHOR: Sheryl Estrada | PUBLISHED: Oct. 16, 2020

    Dive Brief:

    • In efforts to advance racial and social equity, Starbucks will link executive compensation to diversity, equity and inclusion (DEI) goals beginning in the 2021 fiscal year (FY21), the company said Oct. 14. The Seattle-based company will also launch an Inclusion and Diversity Executive Council in the first quarter of FY21. Starbucks said it's sharing workforce diversity data "in more detail than we have previously shared," as well as making its filings with the Equal Employment Opportunity Commission public. Other initiatives announced include a partnership with employee resource groups and the launch of a leadership mentoring program.  
    • Starbucks has set a goal of Black, Indigenous, and People of Color (BIPOC) representation of "at least 30% at all corporate levels and at least 40% at all retail and manufacturing roles by 2025," according to the DEI report. In corporate level positions, White individuals represent 65.2% of employees; Asian 19.2%; Hispanic or Latinx 7.4%; Black 3.7%; and employees who identify as multiracial 2.6%. Women represent 69.2% of Starbucks employees in the U.S., overall; and there are roughly 47% BIPOC employees. Starbucks has reached 100% pay equity, according to the report. 
    • A mentoring program will begin in FY21 with a group of executives in senior vice president roles or higher paired with BIPOC directors in corporate and retail roles, the company said. It plans to increase talent development opportunities for BIPOC employees as well as partner with professional organizations that specialize in facilitating development. Anti-bias content will be included in hiring, development and performance assessment toolkits, according to Starbucks. The company will also invest in recognition and development programs for its employee resource groups — Black Partner Network, Hora Del Café, India Partner Network, Indigenous Partner Network and Pan-Asian Partner Network. An Inclusion and Diversity Virtual Leadership Summit scheduled for the second quarter of FY21 will be part of the initiative.

    Dive Insight:

    Starbucks has the responsibility to lead by example and will implement transparency and accountability to meet its commitment, CEO Kevin Johnson said in a letter accompanying the announcement. 

    Executive compensation at Starbucks will now be linked to DEI goals, which is a form of accountability that supports long-term changes, according to Mercer. Starbucks will also focus on racially and ethnically diverse representation on corporate boards of directors by joining the Board Diversity Action Alliance, Johnson said. Starbucks' new initiatives are built on the guidance offered in a prior Civil Rights Assessment conducted by Covington & Burling, according to the company. One of the recommendations was to hire a global chief inclusion and diversity officer. Nzinga "Zing" Shaw was hired for the role beginning at Starbucks in December 2019 "to help establish a strategic vision for the path ahead," the company said. 

    Starbucks also said all leaders in vice president roles or higher will be required to complete a two-hour anti-bias training and "the foundational and racial bias courses from the To Be Welcoming Curriculum," according to the company. This isn't Starbucks' first time partaking in diversity training. The company closed more than 8,000 U.S. stores and its corporate office for several hours in 2018 for racial bias training following an incident in Philadelphia when a store manager racially profiled two Black customers. 

    Starbucks' push toward recognizing and developing employee-led networks is to better understand and support the experiences of BIPOC employees, the company said. The networks could also help Starbucks understand the viewpoints of its diverse customers who advocate for employees. In June, amid national protests calling for racial justice, Starbucks received backlash for banning employees from wearing Black Lives Matter T-shirts and accessories. After a #BoycottStarbucks hashtag went viral, the company designed its own Black Lives Matter T-shirt.

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    Source: HR Dive

    https://www.hrdive.com/news/starbucks-to-link-executive-compensation-to-dei-goals/587158/

  • 15 Oct 2020 8:06 AM | Bill Brewer (Administrator)

    Don't Balance Money And Life, Integrate Them | TimMaurer.com

    A survey of over 5,400 workers reveals how COVID-19 and the current political environment have contributed to dramatic shifts in what workers value and expect from their organizations.

    SCOTTSDALE, ARIZ. (PRWEB) OCTOBER 13, 2020

    Money or Life? New WorldatWork Survey Shows Dramatic Shift in What Employees Expect from Their Bosses in Exchange for Their Time and Energy

    Worker Value Survey of 5,400 Finds That Safety Replaces Money as the New Currency

    • Almost half would take a lower title and a 30% pay cut to work from home -
    • More than half prefer their organizations take a stand on social issues -

    Employees are putting their safety, security, and personal values over money and titles according to the results of the Worker Value Survey, one of the largest of its kind, conducted by WorldatWork, the Total Rewards Association for HR professionals. The study of more than 5,400 working professionals uncovered significant workplace shifts and reflects the impact of COVID-19 lockdowns and social justice protests. (Journalists contact judy@companyb-ny.com for a copy of the results.)

    The survey found that employees value safety more than money and want to align with leaders who take a clear stance on issues in which they believe. The survey also dug into what benefits are most important.

    “There has been a reckoning. The American Dream — bigger title, more pay — has been pushed aside and replaced with, ‘I want what I do to have meaning; to have a job that makes an impact; and a safe environment that values me as a whole person,” says Scott Cawood, CEO, WorldatWork.

    The survey provides insights into how COVID-19 and the current political environment have pushed core values and current issues to the forefront of the employer/employee conversation. Findings can help business leaders design and deliver Total Rewards programs that give workers a sense of purpose and meaning in their lives.

    According to the survey, employees say:

    ● They are seeking greater work/life balance, even if it means less money and a lower title. 42% of respondents would take 30% less pay and a lower title to work from home and have a more balanced work schedule. Over one-third (33%) of men and almost half (47%) of women say they’d make this trade.

    ● They strongly prefer that organizations take a public stance on social issues. More than half (54%) of respondents want companies to publicly voice opinions, one-third (33%) say they strongly prefer their employers speak out. Younger generations are the drivers for this. Standing for something is more important to Gen Z and Millennials (64%) than to their Boomer (38%) counterparts.

    ● They want their companies to ensure their safety … or they won’t go to work. 50% say they will NOT work for companies if they don’t feel safe. Another 28% say that if they don’t feel safe they are unlikely to work for that company.

    ● They want leaders whose values align with theirs. The majority (60%) state that working for a leader who shares similar social beliefs is very or extremely important. Almost a third (29%) viewed this as somewhat important and only 12% said it was not at all important. Almost two-thirds of Millennial and Gen X respondents want to work with someone who thinks like they do.

    “This attitudinal shift -- across all generations - has implications well beyond the short-term accommodations that companies are making because of the pandemic. Companies must pay attention or risk losing talent to others who are putting employees first,” says Cawood.

    Benefits that matter most now
    The survey also looked at what benefits matter most to today’s professionals. While employees would like to engineer perfect work and life balances, when asked to rank benefits in order of importance, health insurance outranked lifestyle perks such as paid time off, flexible work schedules, and the ability to work remotely. Scoring 21 points higher than any other benefit, 45% of respondents said health insurance was the most/second most important benefit their company could offer.

    Offering a retirement or 401K plan came in second, with 25% of respondents choosing it as their first or second most important benefit. Flexible work schedules and the ability to work from home came in fourth and fifth, respectively.

    Methodology
    The WorldatWork Work Value survey, conducted online, captured responses from 5,417 working professionals, collected between 8/14/2020 – 8/31/2020. 46% of respondents identified as male, 54% identified as female. Respondents were screened to only include those that are full-time employed in the US.

    About WorldatWork®
    WorldatWork is the leading nonprofit professional association in compensation and Total Rewards. We serve those who design and deliver total rewards programs to cultivate engaged, effective workforces that power thriving organizations. We accomplish this through education and certification; idea exchange; knowledge creation; information sharing; research; advocacy; and affiliation and networking. Founded in the United States in 1955, today WorldatWork serves Total Rewards professionals throughout the world working in organizations of all sizes and structures.

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    Source: Cision

    https://www.prweb.com/releases/money_or_life_worldatwork_survey_of_5400_workers_choose_life/prweb17464884.htm

  • 13 Oct 2020 9:06 AM | Bill Brewer (Administrator)

    Employer-sponsored health insurance premiums rose 4 percent in past year: analysis

    BY JESSIE HELLMANN | 10/08/20 

    Employer-sponsored health insurance premiums rose 4 percent over the past year, outpacing the increase in workers’ wages and the rate of inflation, according to an analysis released Thursday by the Kaiser Family Foundation.

    Average annual premiums for employer-sponsored health insurance are now $7,470 for a single plan and $21,342 for a family plan, up 4 percent from the previous year. Those dollar amounts include both worker and employer contributions.

    Meanwhile, wages increased by 3.4 percent alongside 2.1 percent inflation. 

    About 157 million people get their insurance through work, and the costs have steadily risen over the years.

    The average premium for family coverage, including the employer contribution, has increased 22 percent over the last five years and 55 percent over the last decade.

    In 2020, on average, workers contributed 17 percent of the premium for single coverage — about $1,243 — and 27 percent for family coverage, or about $5,588.

    Rising health care costs have been one of the reasons behind stagnant wages.

    Eighty-three percent of covered workers had an annual deductible for single coverage that must be met because most services are paid for by the plan, according to the Kaiser Family Foundation analysis.

    The average deductible for single coverage was $1,644 in 2020, similar to the average deductible last year.

    Sixty-five percent of covered workers have coinsurance that requires they pay for a percentage of their care of meeting their deductible.

    The analysis concluded that health care costs were stable in 2020, with premium increases modest and consistent with recent years. However, as the analysis was conducted in the early days of the pandemic, it doesn’t address how employers responded to it.

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    Source: The Hill 

    https://thehill.com/policy/healthcare/520193-employer-sponsored-health-insurance-premiums-rose-4-percent-in-past-year

  • 12 Oct 2020 11:03 AM | Bill Brewer (Administrator)

    People voting in polling place

    Aaron Colby | Oct 10, 2020 

    Many food and hospitality businesses are incentivizing workers to vote. But, how does the law protect workers who are forced to choose between working and voting?

    Encouraging Civic Engagement

    Hospitality organizations of all sizes are encouraging employees to get out and vote. Examples include paid time off to vote, employee and customer voter registration initiatives, closing operations on Election Day, and free meals to poll workers. The encouragement is consistent across non-restaurant employers too. And, it has shown to make a difference.

    Schedule Conflicts Suppressing The Vote

    A Pew Research Center survey from the last national election shows several reasons Americans decided to not vote:

    “While a dislike of the candidates or issues was the most frequently cited reason for not voting, other top reasons included a lack of interest or a feeling that their vote wouldn’t make a difference (15%), being too busy or having a conflicting schedule (14%), having an illness or disability (12%) and being out of town or away from home (8%)....”

    Even so, a recent survey of HR professionals reveals that still less than half of businesses offer workers any time off to vote:

    • Paid Time To Vote. 45% of large organizations (500+ employees) said they are offering paid time off for voting, compared to 43% of medium organizations (100-499 employees), and 55% of small organizations (1-99 employees).
    • Unpaid Time To Vote. 33% of large organizations said they are offering unpaid time off for voting, compared to 30% of medium organizations, and 23% of small organizations.

    Like most Americans, many hospitality workers are scheduled to work when polls are open. But, what’s different is that most hospitality jobs are non-exempt (hourly) and either customer-facing or essential to daily operations, making efficient scheduling and attendance vital to success. There is an increased importance on “showing up to work on time” because absences may lead to lost revenue. The unintended impact can be a partial, albeit real, barrier to participating in the elective process.

    The Right To Time Off To Vote

    Having the right to vote is one thing; having the ability to exercise the right is another.

    Election Day is not (yet) a national holiday, and voters often face long lines at the polls.

    No federal law mandates that businesses give employees time off to vote. The right to time off to vote comes from state law.

    Only 30 states have laws that require time off work to vote. Common nuances between state laws guaranteeing workers time off to vote include:

    • Which workers must get time off to vote? Smaller businesses, newer employees, and independent contractors (like gig workers) may not be covered.
    • When workers may take time off to vote? Some laws provide time off “while polls are open” on Election days, whereas other laws do not specify. This issue may play out in the courts given the higher voting by mail and ballot box during the pandemic.
    • What amount of time off do workers get to vote? State laws differ, ranging from two hours, three hours, a “reasonable time,” “the morning of Election Day,” to depending on whether the worker can get to the polls when not working.
    • Whether workers must be paid for the time off to vote? 23 of the 30 state laws mandate the time off to vote also have some element of pay for the time (the other seven state laws require at least unpaid time off).
    • Whether workers must provide proof of voting? Most state laws do not require workers to present proof of voting, but at least seven do in certain circumstances (such as for documentation to be paid for the time).
    • Whether workers must give advanced notice for time off to vote? Most state laws do not require notice, however, some do require “reasonable” notice or notice a day or two before the election.

    Bottom line: whether it is because you have the time, your company gives you the time, or you carve out the time, exercise your right to vote.

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    Source: Forbes

    https://www.forbes.com/sites/aaroncolby/2020/10/10/exercising-the-right-to-time-off-to-vote/#337a3eb668a4

  • 07 Oct 2020 9:06 AM | Bill Brewer (Administrator)

    AUTHOR: Ryan Golden | PUBLISHED: Oct. 1, 2020

    Companies largely haven't cut back on fitness classes, citing cultural and employee-health concerns as cause for continued investment, sources told HR Dive.

    During the U.S. public-health response to COVID-19, many employees witnessed the closure of their physical workplaces and other community fixtures, including gyms, yoga studios, spas and similar facilities.

    The latter group of closures affected employee engagement and retention efforts among employers that offer benefits programs centered around physical fitness and personal wellness. According to the Society for Human Resource Management's 2019 Employee Benefits survey, nearly one-third of U.S. employers offered fitness center memberships or subsidies or reimbursements for fitness classes. Such arrangements were more common than on-site fitness centers or classes, offered by 29% of employers as of last year.

    Prior to the pandemic, physical fitness benefits formed "a major component" of wellness strategy, according to the SHRM survey. But providers that facilitate these benefits told HR Dive that COVID-19 necessitated a massive shift.

    Providers follow the remote trend

    Since March, a number of employers have closed physical worksites and asked employees to work from home. Per a July survey by Gartner, more than 80% of company leaders planned to permit some form of remote work after the pandemic.

    The move to online work was accompanied by a movement to online delivery of certain employee benefits, including many healthcare services. A shutdown of in-person care led to increased use of telehealth services, and experts in the space suggested telehealth can continue to be an important part of the benefits ecosystem moving forward.

    A similar development may be emerging with respect to fitness benefits. ClassPass, a fitness class booking platform with a business-to-business product, pivoted "very quickly" to virtual offerings as certain markets entered lockdown, said Nicole Wolfe, the company's head of corporate programs.

    Ryan Golden/HR Dive, data from the Society for Human Resource Management's 2019 Employee Benefits survey

     

    Employees using ClassPass can access online video sessions either by signing up for them in advance or by accessing pre-recorded content on demand. Since the move to virtual delivery, users are trying new types of programs in different markets, Wolfe said. Those based in New York, for example, might take yoga sessions delivered by studios in London. Fitness centers have also helped the company navigate certain public-health closures. When officials in San Francisco prohibited indoor workouts, some providers held outdoor events like bootcamps instead.

    One-on-one fitness sessions have increased in popularity since the pandemic began, perhaps due to the fact that group classes are no longer available in many markets, but employers are also using ClassPass benefits as a way to team build, Wolfe said.

    Other vendors made a similar transition. Peerfit, which offers an employee-benefit platform for scheduling personalized fitness activities, launched a digital product that made use of existing digital classes and other activities already on its provider network. It also allowed employers to purchase this digital product without the company's traditional brick-and-mortar offering, said Emma Maurer, vice president of enterprise health at Peerfit.

    Before the pandemic, Peerfit also emphasized the ability of its platform to bring employees together via shared fitness experiences. That's continued during the pandemic, Maurer said. Streamed classes allow employees to invite their co-workers to join virtually.

    "We are seeing our users starting to go back to in-person classes," Maurer said, adding that the number of subscriptions and views of digital content on Peerfit is also down from April. Providers within the company's network are beginning to reopen, albeit with additional health and safety precautions. "Gyms are taking this health crisis seriously and there are additional precautions that our members need to know about," she said.

    COVID-19 hasn't led to significant cuts

    Digital offerings might make sense in the current environment as some research suggests a potentially negative outlook for brick-and-mortar fitness centers. For example, a TD Ameritrade survey of U.S. adults published in May found 61% planned to exercise at home instead of paying for the gym. Across the country, reopening gyms and similar locations have struggled to comply with public regulations and mitigate the risks of exercising indoors during a pandemic, NPR reported in September.

    Yet these observations haven't necessarily caused employers to drop fitness benefits. Most large-employer members of the Business Group on Health, roughly 80%, "have no plans to open on-site fitness centers anytime soon," said LuAnn Heinen, vice president of BGH and leader of its Well-being and Workforce Strategy Institute. "Clearly that only reflects the impact of COVID and not the import and the value of fitness programs that employers know employees need and value," she added.

    Other Business Group members are either continuing with plans to open such centers in the future or have existing centers open in select locations, Heinen said, and vendors that offer access to digital fitness classes have become popular. "Companies that didn't already have those kinds of options are certainly looking into them," she explained.

    Moreover, pushback on virtual fitness classes has been minimal, Heinen said. On a recent benchmarking call of BGH members, one HR representative said they had received some internal pushback on virtual-class usage. For the most part, however, Heinen said she hasn't heard talk of any cuts to fitness benefits from members. "Things may be a little bit on pause and getting recalibrated, but we haven't heard about cuts — I haven't."

    This tracks with findings about employers' larger well-being investment during the pandemic. A survey conducted earlier this year by Willis Towers Watson found the vast majority of employers would not be changing their wellness benefit budgets, said Regina Ihrke, North America well-being leader at the firm.

    The two vendors who spoke to HR Dive noted that they were both flexible with their payment options as the pandemic set in. Wolfe said that ClassPass has traditionally moved away from a per-employee-per-month payment model so that employers are paying for workers who actually use the program. "When the pandemic hit, we actually froze all our memberships," Wolfe said. "Now it's really kind of on them to determine when they want to come back on."

    "Things may be a little bit on pause and getting recalibrated, but we haven't heard about cuts — I haven't."

     

    LuAnn Heinen

    Vice President, Leader of Well-being and Workforce Strategy Institute, Business Group on Health

    "I think everyone was worried," Maurer said, noting that Peerfit's many public-sector clients faced falling revenues and had difficulty maintaining existing benefits without making adjustments, as did others. The company offered clients the opportunity to freeze their contracts for up to 60 days, keeping the benefit an option for employees if they wanted to buy fitness experiences for themselves. "It was more from a position of compassion [to freeze the contracts] than really anything else."

    Peerfit is now seeing interest from clients in ramping up their fitness benefits, Maurer said, adding that employers may be concerned about COVID-19 causing workers to feel isolated. "I think employers are looking for a way to build back their culture, to create a sense of connectivity and togetherness again."                                         

    What wellness may look like post-pandemic

    Employers who spoke to HR Dive mainly confirmed the importance of wellness benefits moving forward. Ultimate Kronos Group, the company recently formed from the April merger of Kronos and Ultimate Software, set up virtual fitness classes for employees and their children over the past few months, and the company plans to hold a competitive company-wide step challenge in October as employees work remote, said Chief People Officer Dave Almeda.

    Tess Hamberg, a wellness consultant employed by Aetna who works with engineering consulting firm WSP, said that WSP shifted its wellness strategy to focus on supporting employees during the transition to working from home. WSP had already brought on ClassPass before the pandemic, and the ability to offer virtual access to classes was a component of a broader strategy to better match benefits strategy to the virtual environment.

    Those virtual offerings are likely to be a permanent feature of WSP's benefits package moving forward, Hamberg said; "It’s like the cat's out of the bag at this point because we realize that it's an option that's now available to us. COVID really pushed a lot of people to realize we can do all these offerings that we didn't think of before or just never utilized."

    Worries about employees' mental health are also likely to continue, Ihrke said, but employers who've spoken to Willis Towers Watson noticed increased engagement on digital communications regarding mental health, even as use of employee assistance programs decreased at some firms.

    Those concerns can be addressed by digital offerings, though sources still perceive deficiencies in mental healthcare in the U.S. "COVID, like so many other things, exposed the cracks, the weakness and the needs that we haven't met in our healthcare system," Heinen said. "If [companies] didn't have a full suite of virtual benefits, they certainly have it now."

    But wellness isn't one-dimensional. "There is this 'watch out' phase that's now starting to get heightened in not ignoring the physical well-being aspects," Ihrke noted, due to worries that employees are getting less activity and making less healthy decisions. "I think there is concern that, if we ignore that piece too long and just focus [on] mental health, we are going to face more significant issues long-term."

    In the meantime, gyms, studios and other businesses are moving to accommodate the virtual trend long-term. "I think it's here to stay," Maurer said. "[Providers] have kind of learned that they needed another way to stay alive … if folks were still fearful of going back to gyms then they would need to offer virtual content."

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    Source: HR Dive

    https://www.hrdive.com/news/fitness-benefits-moved-online-during-covid-19-but-will-they-stay-there/586229/

  • 07 Oct 2020 8:29 AM | Bill Brewer (Administrator)

    Companies to Shrink Offices as Remote Work Becomes ‘New Normal’

    Ian King | Tue, October 6, 2020, 3:03 PM PDT

    More than half of companies plan to shrink their offices as working from home becomes a regular fixture after the Covid-19 pandemic ends, according to a survey by Cisco Systems Inc.

    Some 53% of larger organizations plan to reduce the size of their office space and more than three quarters will increase work flexibility. Almost all of the respondents were uncomfortable returning to work because they fear contracting the virus, the poll found.

    Cisco, the largest maker of networking equipment, recently surveyed 1,569 executives, knowledge workers and others who are responsible for employee environments in the post-Covid era. The findings suggest many of this year’s radical changes to work life will remain long after the pandemic subsides.

    The poll, conducted for Cisco by Dimensional Research, concluded that working from home is the “new normal.” More than 90% of respondents said they won’t return to the office full time. 12% plan to work from home all the time, 24% will work remotely more than 15 days of each month, while 22% will do that eight to 15 days every month.

    Working From Home Trend to Continue After Covid

    A quarter of those surveyed say they'll be WFH half the time

    Source: Cisco Survey

    Cisco’s Webex video conferencing service has benefited from lockdowns that have kept millions of people working and studying from home. It’s also faces rising competition from Zoom Video Communications Inc.

    For employees who do return to the office, Webex is adding environmental sensors that plug into its current video-conferencing gear. That will help companies identify over-used and under-utilized spaces, while complying with room capacity limits.

    Underscoring the importance of conferencing software, according to the survey, 98% of all meetings post Covid will include a remote attendee. That doesn’t mean users are happy with their current experience. Some 98% shared frustrations with video conferences.

    Top Ten Gripes About Conference Calls

    Cisco survey reveals unhappiness with meeting technology


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    Source: Bloomberg

    https://www.bloomberg.com/news/articles/2020-10-06/companies-to-shrink-offices-as-work-stays-remote-after-pandemic

  • 01 Oct 2020 6:56 AM | Bill Brewer (Administrator)

    Friday, September 18, 2020

    California employers with as few as five employees must provide family and medical leave rights to their employees under a new law signed by Governor Gavin Newsom on September 17, 2020. The new law significantly expands the state’s existing family and medical leave entitlements and goes into effect on January 1, 2021.

    Senate Bill 1383 (SB 1383) also expands the covered reasons for protected leave and the family members whom employees may take leave to care for under the law.

    Expanded Eligibility to Small Employers

    Under pre-existing law, employers were not required to provide family care and medical leave under the California Family Rights Act (CFRA) (Cal. Gov. Code section 12945.2), if the employee seeking leave worked at a worksite with fewer than 50 employees within a 75-mile radius. Similarly, employers were not required to provide “baby bonding” leave under the New Parent Leave Act (NPLA) (Cal. Gov. Code section 12945.6), if the employee seeking leave worked at a worksite with fewer than 20 employees within a 75-mile radius.

    SB 1383 repeals CFRA and NPLA and expands the obligation to provide leave to small employers not covered before. The new law requires employers with at least five employees to provide an otherwise eligible employee with up to 12 workweeks of unpaid job-protected leave during any 12-month period for certain covered reasons. The employer must maintain and pay for the employee’s coverage under a group health plan for the duration of the leave at the level and under the conditions coverage would have been provided if the employee had continued in employment continuously for the duration of the leave.

    Additional Covered Family Members and Expanded Reasons for Leave

    SB 1383 also expands the covered family members and potential reasons for which an eligible employee may take leave. Under SB 1383, eligible employees may take leave to bond with a new child of the employee or to care for themselves or a child, parent, grandparent, grandchild, sibling, spouse, or domestic partner.

    Under the prior CFRA statute, leave for purposes of caring for a family member was available only if the family member was the employee’s child, a parent, spouse, or domestic partner.

    With the enactment of SB 1383, all eligible employees will be able to care for grandparents, grandchildren, and siblings, unlike under the prior CFRA statute.

    SB 1383 contains other significant changes. It requires an employer that employs both parents of a child to grant up to 12 weeks of leave to each employee. Under pre-existing law, the employer only had to grant both employees a combined total of 12 weeks of leave.

    The new law also requires employers to provide up to 12 weeks of unpaid job-protected leave during any 12-month period due to a qualifying exigency related to the covered active duty or call to covered active duty of an employee’s spouse, domestic partner, child, or parent in the Armed Forces of the United States. Lastly, SB 1383 does not permit an employer to refuse reinstatement of “key employees” as was previously allowed by the CFRA under qualifying circumstances.

    Under SB 1383, employees will still need to meet eligibility requirements, including 12 months of service and 1,250 hours worked for the employer in the previous 12-month period, to qualify for family and medical leave.

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    Source: The National Law Review

    https://www.natlawreview.com/article/new-california-law-significantly-expands-employee-entitlement-to-family-and-medical

  • 24 Sep 2020 8:02 AM | Bill Brewer (Administrator)

    texas school reopening

    Marguerite Ward 

    Sep 14, 2020, 10:11 AM

    • One out of every five businesses have had employees quit or reduce their hours due to childcare needs during the pandemic, per a recent survey of about 235 employers by HR nonprofit WorldatWork. 
    • To prevent more employees, mainly women, exiting the workforce, more companies are stepping up and expanding childcare benefits. 
    • Bank of America's global HR lead Sheri Bronstein said providing childcare benefits is crucial to not only the company's success, but maintaining a healthy economy. 
    • In addition, KPMG, PwC, and other top companies have expanded or added new childcare benefits recently.

    A childcare crisis in the US has already begun. 

    Some 21% of companies have seen employees quit their jobs to help their child learn from home during the pandemic, according to an August survey of about 235 employers by HR nonprofit WorldatWork. Data from childcare provider Bright Horizons found that 13% of working parents have quit or reduced their hours in the last few months because of childcare conflicts, Human Resource Executive reported

    If that data is indicative of the larger US population, that's hundreds of thousands of Americans, mainly women, exiting the workforce right now or scaling back their careers, as economists predicted. This is because, while some other highly industrialized countries offer national, affordable childcare, the US does not

    Right now, the Republican-controlled Senate is sitting on two bills, the Child Care is Essential Act and the Child Care for Economic Recovery Act. They would provide a combined $100 billion in direct childcare funding over the next five years, including $50 billion in immediate pandemic relief. 

    But it's unclear if the legislation will be passed. 

    In the absence of a public program or bailout thus far, more companies are taking it upon themselves to keep their workers, well, working.

    Take Bank of America for example, the company recently announced that eligible employees can get unlimited reimbursements of $75 or $100 per day, depending on their compensation, to pay for childcare arrangements. The policy, among others, goes through the end of the year. 

    Bank of America's Sheri Bronstein, the company's chief human resources officer, spoke with Business Insider about the decision.

    "We don't want to have a childcare crisis, in the macro sense, because if we do, we're not going to be able to have productive employees and teammates who can do their jobs. It's just one of the most important things," she said. 

    Providing childcare benefits isn't just good for business (and workers) in the short-term. Employees will remember how their companies treated them during this time, too, down the line. 

    "There will come a time when the employment market is better and this is the time to really create that bond, that loyalty and continue to drive culture," she said.

    Here's what employers are doing to support working parents. 

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    Source: Business Insider

    https://www.businessinsider.com/discount-daycare-childcare-employee-benefits-kpmg-citibank-dell-2020-9#palo-alto-networks-has-extended-work-from-home-availability-through-july-2021-and-gave-each-employee-1000-per-year-to-spend-on-a-number-of-flexible-benefits-like-tutoring-for-children-6

  • 22 Sep 2020 7:56 AM | Bill Brewer (Administrator)

    Walmart pay increases: Retailer raising wages for 165,000 employees

    Kelly Tyko | September 17, 2020 

    Walmart is giving approximately 165,000 hourly workers a raise by introducing new leadership roles and "cross-training opportunities."

    The retail giant announced it was introducing a "team-based operating model" in Supercenters, similar to one that has been successful at Sam’s Club over the past year and in Neighborhood Market stores this year.

    "We’re investing in new roles and skills training to give us the flexibility to serve customers anytime and anywhere," Dacona Smith, Walmart U.S. chief operating officer, said in a blog post Thursday. "In turn, associates will have more room for career and pay growth."

    Smith said the pay increases will start in October and take the place of the annual increase employees typically have to wait until February or April to receive.

    Smith said the new structure "is built around higher-skilled jobs of the future, and the compensation for those roles reflects that."

    The new salaried and hourly roles come with higher pay and Walmart will also raise pay for some current salaried employees including digital, asset protection and auto care center assistant managers.

    "The new wage ranges for the hourly team lead roles start at between $18 and $21 an hour and can go up to $30 an hour in Supercenters," Smith said. "Through this new, tiered structure for team leads, we’re creating room for pay and career growth while investing in areas like pickup and delivery as customers increasingly turn to those options."

    Smith said Walmart also is investing in some hourly positions including the deli and bakery where minimums are "increasing from $11 an hour to $15 or higher.

    "We are re-investing in several ways to provide associates with higher and more consistent base pay," Smith said. "Likewise, for these select hourly roles, this increase will also take the place of the regular quarterly bonus and become part of their base pay going forward, offering more predictability and more pay in their hourly wages."

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    Source: USA TODAY

    https://www.usatoday.com/story/money/2020/09/17/walmart-wage-increase-165000-employees-new-leadership-roles/3480101001/ 

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