Human Capital Management Solutions - HKP

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HR and Benefits
Legislative Review Best Practice Update
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Workforce Management

• HKP is your comprehensive workforce solution
  offering a menu of solutions from one provider.

From hire to retire, HKP can assist with Tax
credits Payroll Retirement plans Benefits Time
attendance HR consulting Benefits consulting
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Workforce Management

• HKPs workforce management solution can
• Provide a greater return on investment
• Simplify your interface, increase efficiency and
  reduce errors
• Allow you to better manage your human capital
• Guard your executive information and support
  confidentiality procedures
• Minimize your risk
• Consolidate your entire human capital system

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Why Does HR Compliance Make Our Heads Spin?
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Building Your HR Infrastructure

• Outdated or no employee handbook
• Undocumented performance-based terminations
• Incomplete/incorrectly completed I-9s
• Unnecessary retention of I-9s
• Lack of position descriptions
• Position descriptions not signed by employee and
  employer
• Position descriptions are not ADA compliant
• Lack of basic HR policies
• Claiming ignorance to federal and state
  employment law
• Keeping up to date on ever-changing laws

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Employee Handbooks

• Provides a basis to establish general daily
  expectations of employment
• Defines the employment relationship
• Explains the expectations of the employee and the
  consequences if expectations are not met
• Demonstrates compliance with state and federal
  employment laws
• Helps maintain consistency

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Employee Handbook Tips

• Ensure you address changing social media policies
• Protect your confidential and proprietary
  information
• Establish standards of conduct
• Articulate leave policies
• Cover harassment and discrimination
• Protect the at will status if applicable
• Take into account federal and state laws
• Enforce a corrective disciplinary process
• Review at least every 2-3 years monitor changing
  laws continuously
• Obtain signed acknowledgements from all employees

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Undocumented Terminations

• He said, she said!

• Governing employee conduct requires establishing
  a written process outlining incremental
  corrective action measures along with
  corresponding leadership training. These are two
  critical components of defending wrongful
  termination claims.

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Whats your process?

• Do you

• Have some type of performance evaluation
  process?
• Offer training to all new and existing leaders as
  to how to effectively and legally manage
  performance?
• Use a progressive disciplinary process?
• Educate your employees/resources as to how they
  will be evaluated?
• Save time and money with consistent processes!

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Completion of I-9s

• Administered by U.S. Citizenship and Immigration
  Services Audited by Immigration and Customs
  Enforcement

• Employers must complete Form I-9 for each
  employee hired to work in the United States after
  November 6, 1986. Even for one day!
• The Employee section must be completed no later
  than the first business day of employment for pay
• The revised form with revision date of July 17,
  2017 is required to be used as of September 18,
  2017
• There are rigid requirements in correct
  completion and retention of the I-9 form.

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I-9 Facts

• ICE has increased employer audits from 300 in
  2008 to nearly 3,000 in 2015.
• Fines are not limited to lack of having an I-9 on
  file. You may also be fined for incorrectly
  completing I-9 or error in correction of I-9s.
• Many employers do not file or purge I-9s in
  compliance with law. You may be fined for I-9s
  that you have retained past the purge rules.
• Many employers retain I-9s some of which have
  the employee documentation attached others which
  do not.
• Law requires that you either retain all employee
  documentation or no employee documentation. May
  be fined if inconsistent practices found!

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Position Descriptions

• What does the ADA have to do with it?
• Why does it matter if theyre signed?
• Employee?
• Employer?
• How can they protect my business?

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Position Descriptions Why?

• Violation of the ADA may result in fines up to
  55,000 for first violation 110,000 for each
  subsequent violation
• Frequently used to support workers compensation
  claims, unemployment claims, FLSA, ADA,
  discrimination laws
• Essential part of fair hiring practices and
  promotional opportunities
• Clearly sets forth expectations in essential job
  duties and working conditions/environment

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State Federal Employment Law

• How knowledgeable are you in the area of state
  and federal employment law?

• Many levels of employee count results in
  additional compliance requirements
• Do you know how the NLRB affects your work
  environment even if union free?
• Do you have your employees classified correctly
  and are you paying in compliance with the FLSA?
• FLSA updates to follow

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Common Employment Law Violations

• Leave administration/FMLA
• Benefits administration/ERISA
• Sick leave (dependent on state)
• PTO/vacation pay out upon separation
• Jury duty
• Military accommodations
• Pay practices state/federal
• Hiring practices
• ACA
• OSHA

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Risk of Non-Compliance

• The majority of unfair employment claims pertain
  to the inconsistent administration of benefits,
  leave, or punitive actions against employees who
  should be protected under state and federal
  employment law.
• Costly
• Time consuming
• Hurts credibility/reputation

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Question You Should be Asking

• Am I compliant with the FLSA?

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DOL FLSA Audits on the Rise!

• Actual Headlines

• U.S. Department of Labor Orders 724,000 in Back
  Wages to be Paid to 275 Area Employees
• Employers Paying the Penalty for Wage and Hour
  Violations
• Employers Jailed for Failure to Pay Back Wages to
  Cleaning Service Workers
• Be proactive, not reactive!

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Benefits Whats Your Strategy?

• Self-Insurance Options?
• QSEHRA (Qualified Small Employer Health
  Reimbursement Accounts)
• Small employers only under 50 FTEs per the ACA
  definition
• Employer must offer reimbursement to all
  similarly situated employees
• Reimbursement amount can be up to 412/month for
  single or 833 for family
• Employer must fund NO pre-tax salary reductions
  from employees allowed
• Employees must provide proof of coverage in order
  for employer to reimburse
• Employee Education
• Recruit and Retain

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Commonly Overlooked Benefit Compliance Items

• Section 125 Plan Document creation and Annual
  Discrimination Testing
• Annual Employee Notices
• ERISA Wrap Plan Document and SPD creation
• COBRA and mini COBRA consult and administration
• Unique State Laws
• HIPAA
• ACA Nonchalance

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Status of Trending HR News

• Background checks
• Employment verification/references
• Sexual orientation nondiscrimination
• Workplace flexibility
• Skills gap preparing for the future
• Trends in HRIS technology
• Electronic Onboarding Open Enrollment
• Recruiting/Talent Pipeline
• Telecommuting/Teleworking

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• Contact information

• www.hkpayroll.com
• 888.556.0123 hrconsulting_at_hkpayroll.com

Thank you!