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NEW FLSA OVERTIME REGULATIONS ARE IN TURMOIL

In September, 21 states sued the Department of Labor to block implementation of the FLSA overtime regulations slated to go into effect on December 1st of this year.  Separately, over 50 business groups challenged the DOL’s authority to establish a salary test for determining if an employee is or is not exempt from overtime. Those two cases were eventually consolidated.  On November 22nd, federal judge Amos Mazzant, a judge for the eastern district of Texas, appointed by President Barack Obama, entered a nationwide preliminary injunction to stop the implementation of the new overtime regulations. The new regulations would have increased the minimum salary for exempt “white collar” executive, administrative and professional employees from $455 per week to $913 per week, or $47,476 per year.

The Federal Court ruled that Congress intended the EAP exemption to apply to employees doing actual executive, administrative, and professional duties rather than an employee’s salary.  The Court concluded, that the new regulations, which raise the salary threshold significantly would have created “essentially a de facto salary-only test.”  The Court explained, “[t]he [DOL’s] role is to carry out Congress’s intent.  If Congress intended the salary requirement to supplant the duties test, then Congress, and not the Department, should make that change.”

This past Thursday, December 1st, the DOL filed an appeal asking the Fifth Circuit Court of Appeals to overturn the preliminary injunction against its new overtime regulations. Since an appeal in the Fifth Circuit can take a year or more, many labor experts and attorneys expect there will be further legislative or administrative action once the Inauguration occurs and a new Secretary of Labor is in place and this likely will happen well before a final court ruling takes place.

However, many employers have already implemented changes, by either raising exempt employees’ salaries to meet the new threshold or reclassifying employees who are still earning less to nonexempt status.  Employers who have already implemented such changes, may want to leave decisions in place as It would be difficult to take back salary increases.  Employers may want to postpone reclassifications that have not yet been done to give the litigation a chance to play out.  And Employers may want to communicate that there may be future changes depending on Federal Court, Congressional, or Trump administration activities.  Employers shouldn’t assume that the overtime rule will be permanently barred and should have a plan to move forward if necessary in the future.

This said, here are a few possible future scenarios that could unfold:

  • A lame-duck Congress comes up with a compromise bill for President Obama’s signature (not likely);
  • President Elect Trump addresses this after his confirmation by abandoning the Obama administration’s defense of the final rule; and
  • The new administration may introduce legislation seeking a compromise, with a lower, or graduated salary threshold increase, and without the automatic escalator clause.

Regardless of what action the current administration or the new administration take, it is very likely we will see more activity at the state and local government levels. Unions are leading the effort for a $15 minimum wage at the state and local levels. They have had some success in California, Oregon, Washington and New York. As part of that effort, adding a doubling of salary for exempt employees is a logical extension of the unions’ efforts. Why? Because the minimum wage effort impacts exempt employees under FLSA. Exempt employees who are not paid for overtime may see their line employees earning more than they do.

WageWatch offers accurate, up-to-date HR metrics, benefit survey data, market compensation data and salary reports that will allow you to stay current with the times. This information is highly beneficial in creating the best salary and benefits packages that meet or rival the industry standards. The PeerMark™ Wage Survey is the only Web-based custom survey tool that allows individual survey participants to select their competitive set for comparison purposes.  Our experienced compensation consultants can assist with your organization’s compensation needs.  We can help you ensure internal equity and compliance with regulations as well as help you structure your compensation programs to support your company’s business strategy and objectives.   For more information on our services, including consulting, salary survey data, benefit survey data and market compensation reports, please call WageWatch at 888-330-9243 or contact us online.

Mindfulness: Embraced by Businesses

In a world where multitasking and information overload are the norm, an old idea, Mindfulness, is becoming increasingly appealing to organizations who are effectively applying it to their businesses.  Mindfulness is training the mind to focus. Our ability to concentrate is seriously compromised the more we multitask. And technology, though useful to us in so many ways has actually impeded our ability to concentrate or to be mindful of what matters moment by moment. If you would like to investigate further for your organization or for yourself, Psychology Today has an overview of the practice

(http://www.psychologytoday.com/basics/mindfulness) on their website.

 

Many Fortune 500 and other organizations are embracing and promoting mindfulness for their workforce.  Business schools are beginning to teach mindfulness and it is included in many MBA programs. In the workplace, mindfulness is a skill that aids concentration, clarity and equanimity.  Present moment awareness keeps your mind from dwelling on the past or obsessing on the future.  Becoming more aware of what is going on around you allows us to be fully focused on the task at hand and more likely to spot opportunities. Mindfulness also makes us more conscious of what is going on within us, helping to identify and remove subconscious thinking that can be obstacles to success. Mindfulness also enhances creativity, innovation, and improves the brain’s ability to process information.  So it is not surprising that more and more corporations are embracing mindfulness as a business practice.

 

To be mindful is to be awake, to be conscious, to be aware and to appreciate the impact of one’s actions. Mindfulness is a mental state achieved by focusing one’s awareness on the present moment, while calmly witnessing one’s thoughts and feelings without judgment.  Mindfulness is a 2,500 year old tradition of Eastern Cultures that now is considered a science of the mind.  Many consider mindfulness to have its origins Buddhism; however, it can be traced back more than 2,500 years ago, when Hindus practiced a range of meditations, which included mindfulness.

 

It may be time to consider mindfulness, as a business skill.  Extensive research has been done over the last 15 years that show mindfulness is linked to psychological and physical, health. It decreases blood pressure, regulates the heart, increases the immune function, and enhances memory.  It essentially, rewires our brain.  The idea that increasing mindfulness may lead to better decision-making deserves attention.

At WageWatch our compensation consultants are focused on your organization’s compensation needs and ready to help you ensure that your compensation programs are supporting your company’s business strategy and objectives. WageWatch also offers accurate, up-to-date benefit surveys, salary surveys and pay practices data that will allow you to stay current with the times. This information is highly beneficial in creating the best salary and benefits packages that meet or rival the industry standards. For more information on our services, including consulting, salary survey data, benefit survey data and market compensation reports, please call WageWatch at 888-330-9243 or contact us online .

MINIMUM WAGE UPDATE JANUARY 2017

Voters in four states Arizona, Colorado, Maine and Washington approved ballot measures that will raise their state minimum wage by between 43% and 60% over the next few years.  Arizona, Colorado, and Maine will incrementally increase their minimum wages to $12 an hour by 2020. Washington’s will be increased incrementally to $13.50 an hour by 2020.

State increases that are effective January 2017 include Alaska, Arizona, Arkansas, California, Colorado, Connecticut, Hawaii, Maine, Massachusetts, Michigan, and Vermont.  New York’s minimum wage will increase again December 31, 2016.  Maryland, Minnesota and Washington DC have minimum wage changes mid- year 2017.

New York is the second state to pass a new law to raise the minimum wage in New York City to $15 per hour by the end of 2018. Washington D.C. followed suit, enacting a law to raise the minimum wage in the District to $15 per hour by July 1, 2020.  California will increase their minimum wage to $15 per hour by Jan. 1, 2022, for employers with 26 or more employees. For employers with 25 or fewer employees the minimum wage will reach $15 per hour by Jan. 1, 2023. Increases may be paused by the governor if certain economic or budgetary conditions exist. Beginning the first Jan. 1 after the minimum wage reaches $15 per hour for smaller employers, the minimum wage is indexed annually for inflation.

Fourteen states began 2016 with higher minimum wages. Of those, 12 states increased their rates through legislation passed in the 2014 or 2015 sessions, while two states automatically increased their rates based on the cost of living.

Of the 11 states that currently tie increases to the cost of living, eight did not increase their minimum wage rates for 2016.

State and City minimum wage increases continue to make front page news. An unprecedented number of cities and counties have moved to adopt higher local minimum wages. In addition, cities are proposing substantially higher wage levels than in past years.  Cities with minimum wage ordinances include San Francisco, San Jose, Los Angeles, Chicago, Seattle (SEA-TAC), Montgomery County and Prince Georges County MD, Santa Fe, Albuquerque, and others have already approved increases. Many other cities have ordinances that become effective in 2017 and beyond.

Follow this link to the WageWatch MinimumWage Chart with details of federal, state and local minimum wage and pending increases:

https://wagewatch.com/resources/Minimum_Wage_Chart_Jan_2017.xlsx

At WageWatch our compensation consultants are focused on your organization’s compensation needs and ready to help you ensure that your compensation programs are supporting your company’s business strategy and objectives. WageWatch also offers accurate, up-to-date benefit surveys, salary surveys and pay practices data that will allow you to stay current with the times. This information is highly beneficial in creating the best salary and benefits packages that meet or rival the industry standards. For more information on our services, including consulting, salary survey data, benefit survey data and market compensation reports, please call WageWatch at 888-330-9243 or contact us online.

Posted in Uncategorized on November 15th, 2016 · Comments Off on MINIMUM WAGE UPDATE JANUARY 2017

HOW ABOUT A SIX HOUR WORKDAY?

Can a move to a six hour workday increase productivity and the happiness quotient of employees and their families and at the same time increase productivity and company profits?   In the U.S., more than 60 years after workers, through their unions, began organizing for an eight-hour day in the 1860s, President Franklin D. Roosevelt signed the Fair Labor Standards Act in 1938 for all workers to see limits on working hours — initially 44 hours a week, then phased to 42 and eventually 40 by 1940.

Today some businesses in Sweden are trying out a six hour workday hoping to get more done in a shorter amount of time and ensure people have the energy to enjoy their private lives.   This change is purely experimental and a voluntary one that has not been mandated by law nor implemented nationwide.

A Toyota vehicle service center in Sweden’s second largest city Gothenburg, moved to shorter days thirteen years ago. The service center reported a happier staff, a lower turnover rate, and an increase in profits during that time.  The new system keeps the garages open longer and generates new business.  Employees are doing the same amount in the six hour workday, often more than they did in the eight hour day.  The service center reports that employees have more stamina to do this heavy work, and they have seen greater profits and customers because cars are getting fixed faster.

The most high-profile case in recent months is the publicly funded Svartedalens nursing home in west Sweden which started a trial of a six-hour day in February 2015 to continue until the end of 2016 when they will determine whether the cost of hiring new staff members to cover the hours lost is worth the improvements to patient care and boosting of employees’ morale.   The nursing home has 80 nurses working six hour shifts maintaining their eight-hour salaries while 80 staffers at another nursing home work their standard hours.  At half way through 2016, the nursing home trying the six hour workday has half the average sick leave, the nurses are happier and the care is better.   The study however, equates productivity with quality of care, which doesn’t necessarily translate to white-collar work.

Gothenburg’s Sahlgrenska University Hospital’s orthopedics unit switched 89 nurses and doctors to a six hour day last year, hiring 15 staffers to ensure the hospital work got done. The test was expensive, costing the hospital $123,000 a month, but no one has called in sick since it began and the nurses and doctors have been found to be more efficient.

A number of startup companies have announced that they are also testing the concept. These include Background AB, a creative communication agency in Falun, Dalarna and Filimundus, an app developer based in Stockholm.   Linus Feldt, Filimundus CEO believes that staying focused on a specific work task for eight hours is a huge challenge.  During an eight or more hour workday, employees take frequent breaks and look for distractions and diversions such as social media to make the work day more endurable.  With the six hour work day, staff members at Filimundus are not allowed on social media, meetings are kept to a minimum, and the company does it’s best to eliminate other unproductive distractions.

Most of the companies who have made the shift to the six hour workday have reported a positive impact, from increased efficiency to better communication and fewer staff sick days.  A 2014 Stanford University research paper found a “non-linear” relationship between hours worked and productivity as well as too much work can actually impinge productivity.  According to a study by the Families and Work Institute, overworked employees make more mistakes.  Research has shown that condensing work into more efficient hours is very unlikely to hurt productivity.  There is no need to lower pay and in fact companies are likely to save money through less sick and personal leave, less stress leading to better health, and lower turnover costs.

Opponents to the 6 hour workday feel that if Sweden were to adopt this standard, the economy would suffer from reduced competitiveness and strained finances.  The six-hour day has not being embraced by larger Swedish companies and other towns in Sweden that previously tested shorter workdays ultimately abandoned them.  In the northern city of Kiruna, officials scrapped a six-hour day for 250 municipal employees after 16 years, citing high expenses and resentment among workers who were not part of the program.

The 6 hour work day would be less accepted in the U.S. because the eight+ hour workday ethic is so deeply embedded in our culture.  According to Gallup’s 2014 poll, full-time employees in the U.S. work an average of 47 hours per week.  It will be interesting to watch how the six hour workday plays out in Sweden.  However, even with encouraging results, it’s unlikely that the U.S. will shift to shorter days any time soon.  The rest of the world (outside of Europe) a 40 hour work week would be very nice improvement as well.

At WageWatch our compensation consultants are focused on your organization’s compensation needs and ready to help you ensure that your compensation programs are supporting your company’s business strategy and objectives. WageWatch also offers accurate, up-to-date benefit surveys, salary surveys and pay practices data that will allow you to stay current with the times. This information is highly beneficial in creating the best salary and benefits packages that meet or rival the industry standards. For more information on our services, including consulting, salary survey data, benefit survey data and market compensation reports, please call WageWatch at 888-330-9243 or contact us online.

Posted in Uncategorized on November 9th, 2016 · Comments Off on HOW ABOUT A SIX HOUR WORKDAY?

Independent Contractor or Employee?

If it walks like a duck and talks like a duck, it’s a duck.  In other words, if you are treating the ‘independent contractor’ like an employee by doing things such as providing work materials and office space, designating working hours, providing training and direction regarding how and when to perform the work, then the ‘independent contractor’ is most likely an employee.  Independent contractor is defined by the Fair Labor Standards Act, IRS regulations, and the decisions of some courts.  Many states also have specific independent contractor regulations.  The IRS and many states have adopted common law principles to define an independent contractor. These rules focus primarily on the level of control an employer has over a service or product. For independent contractors, the company can direct or control only the result of the work done, and not the means and methods in getting to the result.

The rules are not always clear-cut to determine the correct status, but generally characteristics of an Independent Contractor include:

  • The work assignment is temporary and typically for a specific project; and
  • The work assignment is not an integral part of the business and is not something typically done by employees.

The Independent Contractor will:

  • Supply his or her own equipment, materials and tools;
  • Pay for their own expenses;
  • Control the hours worked;
  • Determine how and when to perform the work;
  • Retain a degree of control and independence;
  • Operate under a business name and has his/her own employees; and
  • Advertise his/her business’ services and has more than one client.

Some courts and federal agencies use an “economic realities test” which looks at the dependence of the worker on the business.  If a large portion of a worker’s salary is from one specific company, this may qualify them as an employee. Other factors considered are level of skill, integral nature of the work, intent of the parties and payment of social security taxes and benefits.

Misclassification of an individual as an independent contractor may have a number of costly legal consequences such as reimbursement of all wages including overtime, taxes and penalties for federal and state income taxes, social security, Medicare and unemployment, providing employee benefits and workers compensation for any injuries.

There is no set number of factors that makes the worker an employee or an independent contractor.  Also, factors which are relevant in one situation may not be relevant in another.  The best approach is to look at the entire relationship, consider the degree or extent of the right to direct and control the work, and be sure to document all factors used in your determination process.

At WageWatch our compensation consultants are focused on your organization’s compensation needs and ready to help you ensure that your compensation programs are supporting your company’s business strategy and objectives. WageWatch also offers accurate, up-to-date benefit surveys, salary surveys and pay practices data that will allow you to stay current with the times. This information is highly beneficial in creating the best salary and benefits packages that meet or rival the industry standards. For more information on our services, including consulting, salary survey data, benefit survey data and market compensation reports, please call WageWatch at 888-330-9243 or contact us online.

SALARY RANGE DISCLOSURE

The question of whether or not to share salary grades and ranges with employees continues to be debated.  Some companies provide their salary structure to all employees, some provide portions of the structure on a need to know basis, while others hold the information in the strictest of confidence.  Non-disclosure of salary ranges can create confusion and even suspicion and distrust among employees.  Alternatively, companies that share information about pay ranges tend to have more committed employees and higher retention rates.  Salary ranges are also an effective tool for recruitment.

 

There are many advantages to disclosing pay ranges to your employees.  Full transparency can help cultivate a culture of fairness and provide employees with a greater understanding of how their role impacts company goals.  The salary ranges are a useful tool for managers to align employee expectations with market realities and to manage pay progression within their departments.   They are also helpful to employees when making decisions about their next career move.

 

A well-defined compensation strategy can help you communicate your salary structure, and handle questions and potentially difficult conversations with greater success.  Employees can still disagree, but communicating honestly about pay at least provides a better understanding.

 

For salary range communications to be effective, you need to ensure your structure grew out of current and competitive market data that was carefully matched to your jobs and that a thorough and accurate market analysis produced the resulting salary ranges.  You will need to be able to define and defend your labor markets, survey sources, how pay ranges were determined and how jobs were assigned to grades and corresponding pay ranges.  If you have done the job properly, explaining and defending the salary ranges should be easy.  Be prepared to respond to questions regarding employee’s compa-ratio or position in the salary range and/or market point.

 

Salary ranges can help with communications during the merit increase process, especially if pay increases are based on performance and/or position in range.  Some information does not need to be shared.  For example, executive salaries (typically above the Director level) are normally not disclosed and actual salaries of employees do not need to be disclosed except under a union bargaining agreement.  Be selective and discreet about the information that you share as well as how it is presented.

 

Employee complaints about salary usually stem from a few core issues, including perceiving salary decisions as unfair, confusion regarding the compensation system and disputes regarding their performance evaluations.  If jobs have been fairly and objectively evaluated and priced against both internal and external factors and there is nothing to hide, if you can defend and explain your decisions, then why not consider full disclosure of your salary structure?

 

At WageWatch our compensation consultants are focused on your organization’s compensation needs and ready to help you ensure that your compensation programs are supporting your company’s business strategy and objectives. WageWatch also offers accurate, up-to-date benefit surveys, salary surveys and pay practices data that will allow you to stay current with the times. This information is highly beneficial in creating the best salary and benefits packages that meet or rival the industry standards. For more information on our services, including consulting, salary survey data, benefit survey data and market compensation reports, please call WageWatch at 888-330-9243 or contact us online.

OPEN ENROLLMENT SEASON

Benefits Open Enrollment is underway at many lodging and gaming companies across the country.  New federal, state and local government regulations; an increasingly competitive job market; rising cost of benefits; and, new technology application have kept employee benefits managers very challenged over the past several years.  Some of the latest trends impacting Employer benefit plans are discussed in this blog.

Apps are emerging to help consumers find lower cost in-network providers and identify fair prices for services such as lab and radiology imaging. Similarly, apps are available for consumers to compare cost of drugs among the pharmacies in their area and make better use of their prescription formulary to reduce their costs further.  Technology is making it easier and more convenient for consumers to participate in wellness programs with new apps and services.  Wearable devices continue to grow in popularity and advance in capabilities that inspire fitness goals that can impact wellness initiatives.

Cost reduction strategies such as spousal surcharges for coverage of a working spouse if the spouse’s employer offers health insurance, Dependent audits  to weed out ineligible covered dependents will also continue to become commonplace in order to reduce a plan’s cost.

Targeted marketing strategies are more and more popular that use employee demographics, personal preferences and benefits enrollment data to tailor messaging specific to the employee.  These tailored messages can be used throughout the plan year.

Continuing to gain traction with employers are high-deductible health plans (HDHP) such as health savings accounts (HSAs) and health reimbursement arrangements (HRAs).  HSAs while paired with a HDHP are tax-advantaged accounts to which employees and employers may contribute funds for employees’ health benefit expenses. Individuals can claim tax deductions up to the limits for contributions they make to the accounts when filing their annual income tax returns.

Employee expectations and needs are expanding to nontraditional benefits offerings, such as fraud protection services, telemedicine and bill negotiation services.

These are some of the key items that are trending in employee benefit plans for 2016 and into the 2017 plan year.   Benefits specialists should help employers make the selection process easier by providing streamlined, practical decision-making tools. Communication about benefits should also take place throughout the year, instead of in a single “information dump” just prior to enrollment.

At WageWatch, our expert evaluators provide businesses in a large range of industries with accurate and beneficial benefits survey data, compensation surveys and salary reports to ensure that payment and benefits plans are on par with those in the industry. For more information on market compensation data, please call WageWatch at 888-330-9243 or contact us online (https://www.wagewatch.com/Contact/ContactUs.aspx).

Posted in Uncategorized on October 18th, 2016 · Comments Off on OPEN ENROLLMENT SEASON

INCENTIVE PLAN ESSENTIALS

Well-designed and well-implemented incentive plans can be an important tool for overall company success, but they also have the potential to be ineffective and even damaging if not carefully thought out.  Poorly designed incentives can have too much discretion, too much complexity or just too many measures that can undermine their power and advantage, and they can become just another way to distribute pay.

Before you even consider incentives, make sure you know the company’s strategy and the critical measurements of success.  You will need to know the specifics regarding what you want to achieve, what kinds of improvements, behaviors and outcomes do you want; why aren’t these improvements happening now and what’s preventing them from taking place; what obstacles to the outcomes will employees face, how will employees respond to and try to overcome these obstacles, and is this what you want; Do employees have the skills, experience, systems and support they need to overcome these obstacles and if not, what is lacking?

The potential incentive must be big enough to get the employees’ attention.  Incentives can create a focus on results, but you have to first get the employee’s attention.  Because the opportunity for financial rewards motivates some more than others, your incentive plan will have a greater chance of success if you carefully define what the size of the opportunity must be in order to get the majority of your employees’ focus.

The performance or results required to earn the incentive must be within the employees’ control or significant influence and should be perceived as achievable with some extra effort or stretch.  It should be easy to see and understand the relationship between one’s effort, the results of that effort and the reward.   The incented performance needs to be perceived as a desirable, stretch goal to get and keep the employee’s attention. The payout must be worth the effort required to “stretch.”  The actual payout after the final measurement is made needs to justify the attempt that was made to achieve the full objective.

Develop robust tools for performance reporting so that the employee participants always know where they stand in relation to their goals and payouts.  The payout should be forecast as the performance period proceeds in order to keep the employees’ focus on the desired outcome.   Too much subjectivity in the measurements will turn a Plan into a surprise bonus.   The sources of the measurements should be available to every participant on a regular basis and calculations for determining payouts must be simple and easy to understand.

Incentive plans will also be more valued and accepted by employees when they are a compliment to an already competitive base salary plan.  Incentive plans are not meant to remedy non-competitive pay issues.  Finally, critical factors for a plans success lie in keeping it simple and ensuring good plan communications.

Incentive plans, or any other reward vehicles, cannot drive the performance-improvement bus alone. Unless you identify and remove the barriers to performance, and create the setting in which performance improvement is possible and even likely, throwing incentive money at the problem will likely have little positive impact and could produce some very real negative consequences.

WageWatch offers accurate, up-to-date HR metrics, benefit survey data, market compensation data and salary reports that will allow you to stay current with the times. This information is highly beneficial in creating the best salary and benefits packages that meet or rival the industry standards. The PeerMark™ Wage Survey is the only Web-based custom survey tool that allows individual survey participants to select their competitive set for comparison purposes.  Our experienced compensation consultants can assist with your organization’s compensation needs.  We can help you ensure internal equity and compliance with regulations as well as help you structure your compensation programs to support your company’s business strategy and objectives.   For more information on our services, including consulting, salary survey data, benefit survey data and market compensation reports, please call WageWatch at 888-330-9243 or contact us online.

Posted in Uncategorized on October 12th, 2016 · Comments Off on INCENTIVE PLAN ESSENTIALS

WHY ORGANIZATIONS ARE FINDING VALUE IN EMOTIONAL INTELLIGENCE (EI)

Emotional Intelligence (EI) is about being able to control your own emotions and the emotions of others.  Having emotional intelligence means being emotionally aware, able to identify, harness and apply those emotions to tasks like thinking and problem solving. Emotionally intelligent people will also have the ability to manage their own emotions and the emotions of others.  For example, having the ability to cheer someone up or calm someone down.

Emotional Intelligence impacts one’s attitude and outlook on life.  It can lesson mood swings, depression and ease anxiety.  People with high EI are better at conflict resolution and can be better negotiators as they are better able to understand the desires and needs of other people.  Relating to others in a positive way, understanding their motivations and building strong, sold bonds with co-workers ultimately allows those with higher emotional intelligence to be stronger leaders.

In today’s workplace, it is important to have open communication, team work, and a mutual respect among employees and their supervisors.  Employees do not check their emotions at the door when they come to work.  Interactions with people in the workplace will involve emotions.  Managers who possess emotional intelligence can better understand and motivate the employees that they supervise.  Employees with higher emotional intelligence can overcome minor indifferences and focus on what needs to be achieved for the greater good of the team.

Human Resources can help create a more emotionally intelligent workforce by hiring employees who exhibit a high EI, by evaluating employees using EI criteria, integrate EI into performance management systems and offer training to improve emotional competence.  During the interview process, employers can look for certain traits such as:  People Skills, Self-Awareness, Empathy, Self-Management, and Motivation.

Emotionally aware staff can assimilate into the workplace with greater ease than those who are simply competent at their job.  Emotional Intelligence can strengthen organizational culture, increase resiliency and flexibility, ultimately leading to a greater competitive advantage in the market.  An emotionally intelligent organization where employees share strong connections and are able to work more effectively with each other should result in greater productivity.

Managers and business owners can’t let themselves lose sight of the fact that their employees are people, with real lives and emotions that impact how they think, feel, and act. Managers with emotional intelligence understand that their staff members are people first and workers second.  Incorporating emotional intelligence into your personal and organizational management philosophy may be the best way to retain key employees and help with overall organizational success.

WageWatch offers accurate, up-to-date HR metrics, benefit survey data, market compensation data and salary reports that will allow you to stay current with the times. This information is highly beneficial in creating the best salary and benefits packages that meet or rival the industry standards. The PeerMark™ Wage Survey is the only Web-based custom survey tool that allows individual survey participants to select their competitive set for comparison purposes.  Our experienced compensation consultants can assist with your organization’s compensation needs.  We can help you ensure internal equity and compliance with regulations as well as help you structure your compensation programs to support your company’s business strategy and objectives.   For more information on our services, including consulting, salary survey data, benefit survey data and market compensation reports, please call WageWatch at 888-330-9243 or contact us online.

Posted in Uncategorized on October 5th, 2016 · Comments Off on WHY ORGANIZATIONS ARE FINDING VALUE IN EMOTIONAL INTELLIGENCE (EI)

JOB ANALYSIS AND JOB EVALUATION PROCESSES

The Job Evaluation Process consists of a broad spectrum of activities which begins with the Job Analysis Process. Though two separate processes, Job Analysis data will be needed and used during the Job Evaluation process. Job Analysis is a comprehensive process while Job Evaluation is a comparative process. Job Analysis is done to develop a job description, while Job Evaluation is a systematic way of determining the value/worth of a job in relation to other jobs in an organization. Complete scrutiny of jobs and their roles in the organization is done in both processes.

An organization undertakes the task of job analysis and evaluation for one or many purposes such as designing new organizational roles and jobs, aligning roles and pay to organizational changes, managing succession in organization, reviewing existing pay structure, auditing legal compliance of pay policies or implementing benchmark pay structures.

During the Job Analysis process an in-depth examination is performed to gather information about every minute detail of a job. Information collected during the job analysis process will be used to write the job description.  You will need to collect data regarding the tasks performed by the job, the education and experience required, the working conditions, responsibilities and authorities, and the skills and abilities needed to perform the job. Job data can be collected using an open-ended questionnaire, checklist, or by interviewing incumbents and/or supervisors.

Job Evaluation is the process of determining the importance of a particular job in relation to the other jobs of the organization. Job Evaluation takes place early in the process of creating a salary structure for an organization. Job factors such as skill, effort and decision making authority are assigned a weight, or points, according to how much of that particular factor is present in the job. This determines the relative worth of jobs and their respective position or grade in the salary structure. Jobs with more worth are compensated more than jobs with lesser worth.  Ranking the jobs in order of worth after a thorough job evaluation creates a structure for the assignment of salary ranges.

Job Analysis and Job Evaluation are important to an organization to ensure a sound organizational structure, internal pay equity and external market competitiveness.  The data and analysis resulting from these two processes will be critical for other human resource processes such as recruitment and selection, training and development, performance appraisal, as well as various compensation processes.

WageWatch offers accurate, up-to-date HR metrics, benefit survey data, market compensation data and salary reports that will allow you to stay current with the times. This information is highly beneficial in creating the best salary and benefits packages that meet or rival the industry standards. The PeerMark™ Wage Survey is the only Web-based custom survey tool that allows individual survey participants to select their competitive set for comparison purposes.  Our experienced compensation consultants can assist with your organization’s compensation needs.  We can help you ensure internal equity and compliance with regulations as well as help you structure your compensation programs to support your company’s business strategy and objectives.   For more information on our services, including consulting, salary survey data, benefit survey data and market compensation reports, please call WageWatch at 888-330-9243 or contact us online.

Posted in Uncategorized on September 27th, 2016 · Comments Off on JOB ANALYSIS AND JOB EVALUATION PROCESSES