First Day Jitters

Many people starting a new job would admit to being nervous, as well as concerned about performing their duties up to their employer's standards. Do you remember your first day on a job? You're coming into a new environment, meeting new people and aren't sure how other employees will receive you.

Do not assume that new employees understand what needs to be done or will "catch on" quickly. Employee orientation and training programs take time and effort, but will increase work productivity, decrease confusion and increase satisfaction for both employer and employee. After completing orientation, the new employee wants to feel welcome by their co-workers and as if they are a part of the team. Employers can ease this transition by ensuring that their relationship gets off to a good start.

Here are some tips for both, you and your new employee to consider:

Tips for Supervisors and Current Employees

• Prepare the new hire's workspace with the appropriate supplies. Make sure it's clean; include a telephone directory, as well as a list of department personnel
• Prepare a description of a typical day for the new employee's position
• Inform co-workers of the new employee's arrival
• Meet with the new employee during his/her first day. Avoid interruptions during this period
• Introduce the new employee to co-workers & a tour of the department
• Assign a mentor for the new employee. Suggest the mentor invite the new employee to join him/her for lunch on their first day
• Get the employee actively involved in current project, as soon as possible
• Encourage the new hire to keep a journal of notes and questions
• Spend a few moments with the new employee at the first day for review, questions and positive reinforcement. Schedule a follow-up meeting during the next two weeks
• Introduce the new employee at the next department/staff meeting
• Provide necessary training
• Be available to answer questions

Tips for New Employees

• Be on time
• Conduct yourself in a professional manner
• Come into the work environment with an open mind
• Don't be afraid to ask questions or for directions when needed
• Be a team player
• Reach out to others; don't be afraid to introduce yourself

It is important to remember that everyone has a first day on the job and we can all help one another to make that first day a positive experience.

XcelHR is an organization that provides Human Resources solutions to small and mid-sized businesses. For more information on new hire management, visithttp://www.xcelhr.com or contact XcelHR at 800.776.0076

By Tammy Giefer, SPHR

The topic of Exempt vs. Non-Exempt employee status comes up regularly in our line of business. I have had countless conversations with employers on this subject and generally the questions and comments that come from business owners are similar. The top five questions addressed most often include

Computer Personnel

There is a common misconception that if the employee works in the computer profession, they are automatically exempt. This is false. The computer exemption does not apply to personnel who are performing help desk duties as their primary job function; i.e., installing hardware/software on computers, installing cable or setting up work stations. If your computer personnel are performing the above as their primary job function, then they will likely be considered non-exempt by the Federal Department of Labor (DOL) and subject to the rules of overtime. If they otherwise qualify for Exempt status, they must also be paid a minimum of $455 per week, or no less than $27.63 per hour.

Further information on the computer exemption can be found on the DOL's computer exemption fact sheet:  www.dol.gov/whd/regs/compliance/fairpay/fs17e_computer.pdf

 Manager Title

Your employee may have a manager or supervisor title, but this alone will not make them exempt. If the manager is performing certain types of tasks - such as clerical work or manual labor as their primary job function or regularly during a significant portion of their workday, then they will be considered non-exempt by the DOL and subject to overtime rules regardless of their title or limited managerial function

 Break Times

This applies to non-exempt personnel. If you are providing your employees with a break time, the FLSA states that an unpaid break period must be a continuous break away from work for a minimum of 30 minutes. I hear this concern expressed time and time again: "My employees take multiple breaks each day; if I counted the number of breaks these employees take, it would add up to far more than 30 minutes". If your employees' break or meal time is not a minimum of 30 consecutive minutes away from their duties or requirements of work, then you must pay them for that break time. State laws vary regarding meal and break time requirements; you should refer to your state laws to determine if you are in compliance.

 Administrative Exemption

Office personnel, such as Administrative Assistants, Payroll Technicians, Office Managers, Supply Managers, etc. are often misclassified as exempt employees. These employees are often mistakenly paid on a salary basis, bringing up another misconception that "If I pay my employee salary, they must be exempt". The key in determining this exemption is that the employee must be in a position to "exercise discretion and independent judgment with respect to matters of significance". This statement is a bit generic and leaves much to interpretation. I have found this explanation of "exercise of discretion and independent judgment", quoted from the DOL website, to be most helpful in determining the administrative exemption: In general, the exercise of discretion and independent judgment involves the comparison and the evaluation of possible courses of conduct, and acting or making a decision after the various possibilities have been considered. The exercise of discretion and independent judgment must be more than the use of skill in applying well-established techniques, procedures or specific standards described in manuals or other sources. 

The exercise of discretion and independent judgment implies that one has authority to make an independent choice, free from immediate direction or supervision. However, discretion and independent judgment can be exercised even if the decision or recommendation is reviewed at a higher level. Thus, the term "discretion and independent judgment" does not require that the decisions being made have to be final or free from review. The fact that one's decisions may be subject to review and that upon occasion the decisions are revised or reversed after review does not mean that one is not exercising discretion and independent judgment.

 Leave without Pay (LWOP)

Too often, LWOP hours are submitted for less than full-day increments for salaried exempt personnel. The common reasons given by employers are:

• Employee did not request their leave in accordance with our policy
• Employee did not have enough paid time off (PTO) hours available
• Employee did not make up their missed hours that week

Per the Fair Labor Standard Act (FLSA), you may not deduct an exempt employee's hours for partial days off. You may require that your employee use PTO to offset any missed time as long as they receive their full salary. If the employee does not have leave hours available, then they must be paid for the full day*.

Your policy may require make-up hours within the same week or pay period. The key to compliance: Exempt, salaried employees are paid a "salary" for the work they do; they are not paid by the hour. If you treat them as an hourly-paid employees by docking their pay for partial days off, the exempt status will be lost and you will be required to pay them for all hours worked, including overtime at 1.5 times pay. If your employee appears to have a pattern of attendance-related unreliability, please consult with your HR professional to discuss how to address this from a performance management perspective.

*This is a Federal law, State laws may be more stringent

Questions about FLSA rules regarding exempt and non-exempt employee status may be directed to your XcelHR Human Resources department.

Further information may be obtained through www.dol.gov

Tammy Giefer, SPHR is a Human Resources Manager at XcelHR, an organization that provides Human Resources solutions to small and mid-sized businesses. She can be reached at 240.238.3750

The Internal Revenue Service released updated income-tax withholding tables for 2013 reflecting this month's changes by Congress.

The updated tables, issued January 3, 2013 after President Obama signed the changes into law, show the new rates in effect for 2013 and supersede the tables issued on December 31, 2012. The newly revised version of Notice 1036 contains the percentage method income-tax withholding tables and related information that employers need to implement these changes. 

In addition, employers must also begin withholding Social Security tax at the rate of 6.2 percent of wages paid follwing the expiration of the temporary two-percentage-point payroll tax cut in effect for 2011 and 2012. The payroll tax rates were not affected by this month's legislation.

Employers must start using the revised withholding tables and correct the amount of Social Security tax withheld as soon as possible in 2013, but not later than Feb. 15, 2013. For any Social Security tax under-withheld before that date, employers should make the appropriate adjustment in workers' pay as soon as possible, but not later than March 31, 2013. 

XcelHR will handle the withholding changes, so you won't need to take any action to implement them.

As always, however, the IRS urges workers to review their withholding every year and, if necessary, fill out a new W-4 and give it to their employer. For example, individuals and couples with multiple jobs, people who are having children, getting married, getting divorced or buying a home, and those who typically wind up with a balance due or large refund at the end of the year may want to consider submitting revised W-4 forms.

More information can be found on http://www.irs.gov/

 With Democrats controlling the White House and Senate and Republicans controlling the House of Representatives, it seems that we are in for more of the same over the next four years. As with the last four years we can expect to see the EEOC, DOL and IRS to continue with the more aggressive enforcements that were seen during President Obama's first term.

Employers will need to continue to be diligent in enforcing compliance under the Americans with Disabilities Act (ADA) as the EEOC scrutinizes popular defenses by employers. The proper classification of personnel under the FLSA continues at the top of the agenda. We can expect to see continued aggressive efforts by the DOL to audit employer hiring practices with a strong focus on misclassification of independent contractors. The long delayed "right to know" rule may finally be passed requiring employers to provide notice about how pay is computed and to perform a classification analysis for each worker excluded from FLSA. Employers should consult with their HR professionals to determine if they are at risk in this category.

What separates XcelHR from its competition? One major difference is our Government Contracting Division. Watch as Ted breaks down how Xcel's Herndon, VA and Rockville, MD locations have used their close proximity to the Nation's Capital to develop an area of expertise in Government Contracting, as well as get ahead of other PEO contenders.

A picture says a thousand words. Watch our latest HR Quick Clip as Ted illustrates how a small business owner's decision to utilize the services of a PEO versus outsourcing to numerous vendors helps bring pieces of the business together and simplify life.

 In light of conflicting decisions at the district court level, the DC Circuit Court of Appeals has temporarily blocked the NLRB's rule requiring the posting of employee rights, which had been originally scheduled to take effect on April 30, 2012.

In view of the DC Circuit's order, and in light of the strong interest in the uniform implementation and administration of agency rules, regional offices will not implement the rule pending the resolution of the issues before the court.  

If you have received the NLRA poster, you are not required to post the "right to organize" message on your bulletin boards or anywhere else, until the legal issues have been resolved.

XcelHR will keep a watch on this issue and advise you accordingly.