Ten Tips for Planning a Drama-free Company Holiday Party

The holiday season is upon us, and as an HR executive, I've witnessed the full spectrum of corporate holiday parties, from the joyous celebrations to the ones that took unexpected turns into drama with HR documentation needed. This year, we want to ensure your company's holiday party falls into the former category by sharing the top 10 tips and tricks for success. So, grab another cup of coffee and let's dive into the essential guide to hosting a memorable, drama-free corporate holiday party.

1. Regardless of the time of the party or the location, please consider covering the cost of guests' ride to and from the venue. This is super simple and can be done here in minutes through the Lyft site or Uber site- you can set time and financial boundaries that can stay within your budget and show the team that their safety and ability to participate is your top priority.

2. Do all you can to make this (and all events) as inclusive as possible. Make sure you have an inclusive title (Holiday Party, End of Year Party, etc), be cognizant of the date of the event as to not be in conflict with any of the various religious holidays/events, make sure your venue is accessible for all, make the event voluntary in attendance, and if you have remote employees be creative in how best to include that team as well.

3. Usually when a party goes off of the rails, there is a direct link to a bar. And while we love a good cocktail, we suggest being mindful of how you are incorporating booze into your events. A party built around alcohol can alienate those on the team who may not drink, and can be the catalyst for people to start making questionable decisions. Consider drink tickets, limiting the selection to wine and beer only, or having an activity-focused event to limit the consumption. And make sure you have many options for those who aren’t interested in drinking alcohol.

4. Allow employees to bring a guest. People being able to bring a guest provides a level of comfort for those that might be new to the company or a bit more introverted, but also (usually) provides a bit of a “check and balance” that sometimes proves to be helpful in this setting.

5. Not to sound too HR nerdy here, but for the love of all that is good- please make sure you have up-to-date and signed handbooks prior. The first question Legal is going to ask if something happens is “send me any documentation including signed policies/handbooks” and there really is nothing easier to protect you and your company than having this in place. These should have Code of Conduct, Harassment, (etc.) policies that have helped with these issues in the past.

6. Remind people about the policies prior to the party. Especially anything tied to your marketing/social media posting policies. Oh the things we have seen posted online from these events. My goodness.

7. Have a set start and (more importantly) end time for this event. Partner with the venue to hold to the end time and help close things down. It is likely that people will keep the party going elsewhere, but the “company sponsored” part of this will wrap and lessen the liability here too. You will likely have members of the team who will need to set expectations outside of the event also (e.g, babysitters etc) so holding the end time is important.

8. Have a personal eject button ready. While your team might love you attending the after party and maybe showing a new side of their leader, just remember those memories don’t just go away come Monday. Make sure you know when to call it a night to limit your own involvement.

9. If within the budget, consider hiring security. Having a third party responsible for checking IDs to ensure everyone is of legal drinking age and is on an approved list makes it so you don’t have an internal employee having to do this and not be able to enjoy the party themselves. And if anyone gets too rowdy or needs some encouragement in exiting stage left, security is helpful here too.

10. Make sure people know they have a dedicated resource in HR in case anything does go off of the rails to quickly report issues. In case action is needed, urgency is important and we are on deck to jump in and help however is needed.

Again, your team has worked hard this year and honoring them with an event is important to show your appreciation. Taking steps to rein in the potential for chaos is well worth it in the end.

Navigating Stress: A Leader's Guide to Building Resilience in the Workplace

Stress has always been a part of the workplace, but in today's fast-paced world, it's more significant than ever. As a leader, it's crucial to support your team's mental well-being, help them navigate stress, and foster a resilient work environment. Here are some actionable steps you can take to lead your team to success through challenging times.

1. Create an Open Dialogue

Communication is the key to understanding and addressing stress. Encourage open conversations about stress and mental health challenges within your team. Let your employees know they can come to you with their concerns without fear of judgment. Provide a safe space for them to express their feelings and worries.

2. Promote Work-Life Balance

Encourage your team to maintain a healthy work-life balance. Ensure that they take breaks, use their vacation time, and unplug from work when they're off the clock. Lead by example and show that you value and prioritize a balanced lifestyle.

3. Identify Mental Health Challenges

Stay attuned to changes in your team's behavior and productivity. Are they frequently missing deadlines, showing signs of burnout, or appearing unusually withdrawn? These could be indicators of mental health challenges. Gently reach out to provide support and resources.

4. Leverage Employee Benefits

Make sure your team is aware of the mental health benefits your company offers. These can include Employee Assistance Programs (EAPs), counseling services, or wellness programs. Encourage employees to utilize these resources when needed and provide guidance on how to access them.

5. Collaborate with HR

Your HR department or consultant can be a valuable partner in managing workplace stress. Work closely with HR to create policies and programs that support employees' mental health. Together, you can develop initiatives, training, and resources to address stress in a proactive and organized manner.

6. Organize Stress-Reduction Workshops

Arrange workshops and training sessions on stress management, resilience, and mental health. Bring in experts or use available resources to educate your team on techniques to cope with stress effectively.

7. Lead by Example

As a leader, your behavior sets the tone for your team. Show that you manage stress well by demonstrating a calm and composed approach to challenges. Lead with resilience, and your team will follow.

8. Encourage Self-Care

Stress can often result from neglecting self-care. Encourage your team to engage in self-care activities that they find personally fulfilling. This might include exercise, meditation, hobbies, or spending quality time with loved ones.

9. Set Realistic Goals

Avoid setting unrealistic expectations that lead to undue stress. Work with your team to establish achievable goals, ensuring they have the resources and support needed to meet these objectives.

10. Celebrate Successes

Acknowledge and celebrate your team's achievements. Recognize their hard work and resilience, as well as their ability to manage stress effectively. This positive reinforcement can boost morale and encourage a more stress-resilient workplace.

By taking these steps, you can help your team manage stress and build a more supportive, resilient, and productive work environment. Remember, leadership plays a critical role in fostering a culture of well-being, so lead with empathy, understanding, and a commitment to your team's mental health. Together, you can navigate stressful times and come out stronger.

Open Enrollment Considerations Following a Reduction in Force

Open enrollment for most companies takes place during Q4 in preparation for a new benefits plan year starting January 1st, and it can be a stressful time as companies juggle insurance carrier deadlines while racing to lock down budgets for the new year. And if a company has to make the difficult decision of conducting a reduction in force (RIF) due to financial reasons, then a layer of complexity is added to the already challenging time-sensitive number of tasks to complete. However, working closely with trusted HR partners and benefits brokers can help make this process as smooth and streamlined as possible. Read on for three factors to consider as you navigate open enrollment for your team.

1. Small Group vs. Large Group

If offering a group health plan to your employees, you will need to determine whether your company qualifies for either a small-group or large-group plan, which is often dependent upon the state in which the plan is based, while keeping in mind that many insurance carriers have minimum participation rules that affect coverage options. For example, currently in California, large group is generally for employers with more than 100 employees while in Texas large group is typically for employers with more than 50 employees. 

Small-group rates are typically age-banded, meaning that premiums will correspond to the age of each employee and rates will increase with age. Large-group premiums are pre-defined and, depending on the state location, employers may have insight into how employees have used company benefits. For example, large group plans in California may determine whether there have been large employee claims (barring employee information protected by HIPAA) in the current plan year which likely would cause premiums to increase for the upcoming plan year.

Additionally, some carriers may also have participation requirements that must be met in order to maintain coverage, regardless of whether an employer is considered a small group or large group. And furthermore, some carriers may require a certain percentage to reside in the state where plans are based. For example, some insurance carriers in the small group market for California require at least 51% of employees to reside in California.

2. Gather Employee Feedback

While it’s ideal to maintain benefits that are currently being offered, evaluating what is important to your employees and adjusting your offerings accordingly can help make your overall benefits package more valued while also staying within your overall budget.

Before finalizing plan options, we suggest sending out a brief survey to employees to better understand what benefits are being used, what challenges have come up (if any), and what employees are hoping to see for the next plan year. However, in an effort to help level set employee expectations, it is important to note that while the survey aims to gather input, changes are not guaranteed.

If your survey results show that employees are barely using vision coverage yet many are looking for more robust medical options, you might consider changing your vision plan and allocating any additional budget to your medical plans, for example. Or, if employees have expressed that their dental offices do not accept their insurance, you may want to consider changing carriers altogether which could result in an overall decrease in premiums (the new carrier might also offer a rate pass, meaning that premiums will stay in effect without increasing for a certain number of years, typically two).

3. Low-cost Additions

Let’s say that you have determined whether you are considered small group or large group and you have collected employee feedback on benefits offerings. If you still feel compelled to enhance your benefits offerings but are constrained by a tight budget, below are some considerations to take into account:

• Flexible spending account (FSA) - an FSA is a benefit that allows employees to set pre-tax funds aside to cover qualified expenses. While there will be associated plan administration costs, employers are not required to make contributions to these plans, so employees can opt in voluntarily for further potential savings. Typical FSA offerings include a healthcare FSA for eligible medical expenses and health-related costs, dependent care FSA for eligible childcare and eldercare costs, parking FSA, and commuter FSA

• Voluntary life insurance - if it is not within an employer’s budget to offer group term life insurance, companies can opt to provide voluntary life insurance in which employees are responsible for 100% of the cost. However, unlike group term life insurance, employees can decide how much insurance to purchase and they may also have the option to port or convert their policy if they exit the company

• Wellness stipend - offering a set dollar amount that employees can use for company-defined wellness expenses is another pathway that employers can take to expand overall offerings. For example, some employers provide a $50.00/month stipend for employees to use on things such as a gym membership, fitness classes, wellness apps, etc.  However, before implementing an employee stipend, we recommend consulting with your accountant or tax professional for more information on how to handle stipends from a tax perspective.

While a licensed benefits advisor can help with specific rules and regulations, an HR expert can help you navigate the options available to your company. Getting ready to prepare for open enrollment? See our blog post and get in touch with us at hello@retainhr.com!

Benefits FAQ for Leaders!

Here are some of the most frequently asked questions we get from our clients!

What items are considered “employee benefits”?

Employee benefits, often referred to as "perks" or "compensation beyond salary," are non-wage rewards provided by employers to employees as part of their overall compensation package. These benefits can include health insurance, retirement plans, paid time off, wellness programs, and more.

Why are employee benefits important?

Employee benefits are important for several reasons. They help attract and retain top talent, boost employee morale and job satisfaction, improve overall well-being, and can provide financial security and peace of mind to employees and their families.

What are some common types of employee benefits?

Common employee benefits include:

• Health Insurance: Coverage for medical, dental, and vision expenses.

• Retirement Plans: 401(k), pension plans, or other retirement savings options.

• Paid Time Off: Vacation days, sick leave, and holidays.

• Wellness Programs: Initiatives to promote employee health and well-being.

• Life and Disability Insurance: Coverage in case of death or disability.

• Flexible Spending Accounts (FSAs) and Health Savings Accounts (HSAs): Accounts for tax-free healthcare expenses.

• Tuition Reimbursement: Financial support for continuing education.

• Employee Assistance Programs (EAPs): Services for personal and work-related issues.

How do I choose the right benefits for my employees?

The right benefits depend on your company's size, budget, and the needs and locations of your employees. We suggest conducting surveys, gathering employee feedback, and working with HR and benefits providers to tailor your benefits package to the preferences, locations, and needs of your team.

Can employees customize their benefits packages?

Some employers offer flexibility in benefits selection, allowing employees to choose from a range of options to create a customized package. This approach is often seen in flexible benefits or cafeteria-style plans.

Can I change or update my benefits package after it's been established?

Yes, you can change or update your benefits package on an annual basis during Open Enrollment, and it's essential to communicate any/all available changes clearly to employees. Major changes may require advanced notice and consideration of any applicable employment contracts or regulations. (There is the ability to make changes during the year outside of Open Enrollment with a “Qualifying Life Event” (QLE) such as an employee getting married, having a child, or changing locations which may change qualifications for some benefits.)

What role does open enrollment play in benefits administration?

Open enrollment is a specific period during which employees can select, change, or update their benefit options for the upcoming year. It's a crucial part of benefits administration that typically occurs annually.

How can I ensure my employees understand their benefits?

Effective communication is key. Provide clear and accessible materials, conduct benefits orientation sessions, offer one-on-one consultations, and use digital tools to help employees understand their options and make informed choices.

What is the difference between mandatory and voluntary benefits?

Mandatory benefits are those required by law, such as social security contributions. Voluntary benefits are optional benefits offered by employers that employees can choose to participate in based on their individual needs and preferences.

Remember that benefits can vary widely depending on location, company size, and industry, so it's essential to consult with legal and HR experts when designing and managing your benefits program.

Navigating Benefits Enrollment

Benefits Enrollment Guide for Small Business Owners and Startup Founders

Here's a helpful step-by-step guide to help you navigate the benefits enrollment process:

Step 1: Understand Your Budget

Before selecting benefit options, it's essential to assess your budget and determine how much you can allocate to employee benefits. Consider your business's financial health and long-term sustainability. While it is important to be as generous as you can be, it is more important that you make sure your benefit contributions align with your financial plan so that you do not have to pull back benefits in the future. The goal here is to pick plans that are responsible for your company now, knowing that on an annual basis you can grow the overall offerings by either adding more options, raising the company contribution amounts, or adding wellness programs or perks.

Step 2: Define Your Benefits Package

Decide which benefits you want to offer to your employees. Common options include:

• Health Insurance: Explore different health insurance plans that suit your team's needs. It is critical to understand where your current employees reside and where your projected headcount/growth plans might have you expanding locations to ensure your plans will cover. You will also need to consider the amounts of deductibles and co-pays for your team. 

• Retirement Plans: Consider options like 401(k)s, IRAs, or SIMPLE IRAs- many of which are simple to implement and an inexpensive benefit for your team.

• Wellness Programs: Promote employee well-being with wellness initiatives.

• Life and Disability Insurance: Consider offering protection for unexpected events. This is also usually an inexpensive benefit to the team that is well appreciated.

Step 3: Choose a Benefits Provider

Select a benefits provider or insurance broker who can help you find the best plans for your budget and needs. They can also assist with compliance, enrollment, and other audit/administrative tasks.  There are a ton of brokers out there and we have worked with many- if you would like a referral please let us know and we are happy to introduce you to some of our favorites!

Step 4: Communicate Effectively

Clearly communicate benefit options, enrollment deadlines, and the enrollment process to your employees. Ensure they understand the value of the benefits you're offering. We encourage the building of benefit guides (most which can be created within your HRIS system directly), holding Open Enrollment meetings to present the new plans and instructions on how to enroll, and preparing FAQs for easy reference for your employees as they evaluate plans. And remember, sometimes members of the team are facing very personal and confidential health issues within their family so having a safe and objective third party to help with this process is often appreciated.

Step 5: Streamlined Enrollment

Make the enrollment process as straightforward as possible. Use online platforms or apps to simplify enrollment, allowing employees to choose and manage their benefits easily. Also make sure timelines are understood and plan to potentially send reminders to the team and individuals who have not prioritized this. Also, it is important to fully explain what happens if people do not complete their enrollment (usually they will default to a specific plan) and that changes can not be made until Open Enrollment next year. 

Step 6: Review and Optimize

Regularly review your benefits package to ensure it aligns with your business goals and your employees' needs. Be open to making adjustments based on feedback. We suggest polling the team through a survey to better understand the needs of the business.

Your employees are your most valuable asset, and offering a comprehensive benefits package can help you build a motivated and engaged team that's ready to take your startup to the next level.

If you have any questions or need assistance with benefits enrollment, please don't hesitate to reach out to our HR team. We're here to help you every step of the way. Additionally, we have a FAQ post specifically for Founders who are considering their benefits options for their teams here!

Company Wellness Program Ideas

In today's fast-paced, competitive business world, companies are increasingly recognizing the value of their most important asset – their employees. A happy, healthy, and engaged workforce is crucial for achieving business success. One effective way to promote employee well-being and boost productivity is by crafting a well-thought-out employee wellness program. However, creating an effective wellness program for your company is not a one-size-fits-all endeavor. Just like there is not a quick fix diet pill, there’s no quick fix answer on what your company’s wellness program should be, or the ever-changing health and wellness needs of your employee base.  The best place to start understanding the best wellness perks for your company is by understanding the specific needs and preferences of your team and then adapting plans and perks based on employee feedback.  Below we discuss why employee wellness matters and share a list we’ve gathered of not so surprising, yet most appreciated and utilized wellness perks, along with new ways to think about how to implement them.

Why Employee Wellness Matters

1. Improved Employee Health

The most obvious and immediate benefit of an employee wellness program is improved health. When employees are encouraged to engage in activities that promote physical well-being, such as regular exercise, proper nutrition, and stress management, they are less likely to suffer from health issues. This leads to fewer sick days, reduced healthcare costs, and increased productivity.

2. Enhanced Job Satisfaction

A comprehensive wellness program can significantly boost job satisfaction. When employees feel that their employer cares about their well-being, they are more likely to be engaged and committed to their work. In turn, this reduces turnover rates, as satisfied employees are less likely to seek employment elsewhere.

3. Increased Productivity

Healthy employees are more productive. Regular physical activity and a balanced diet not only boost energy levels but also enhance cognitive function and creativity. A wellness program can help employees manage stress, leading to better decision-making and problem-solving abilities.

4. Lower Healthcare Costs

By proactively promoting health and well-being, employers can reduce healthcare costs. Preventative measures can help employees avoid costly medical treatments and interventions. This, in turn, results in lower health insurance premiums for both the company and its workers.

Company Wellness Options

Health Insurance:

Company sponsored health benefits will forever and always be at the top of most employee wellness expectations. Employees appreciate plans that cover not only medical, but also dental and vision expenses, even if they have to contribute to the premium.  However, if you are a small employer - you might not yet be in a financial position to afford health insurance that feels competitive, but there are options to look into to layer on some inexpensive benefits.  So think about starting small and building your health benefits gradually over time as your business grows.  A Qualified Small Employer Health Reimbursement Plan (QSEHRA) is a great first step to providing assistance towards health insurance and our partner Take Command is a great resource for learning more. And if you are a bit bigger and would like to look at more traditional plans, we are happy to help you evaluate your options or introduce you to brokers we have found to be the best to work with.   

Mental Health Support:

Offering mental health support and resources can be a significant benefit to your employees, especially in today's stressful work environment.  Post pandemic this is a wellness perk that has climbed to the top of the wellness wishlist.  Privacy and confidentiality around mental health needs are critical to employees, so outsourcing may be best. Calm for Business, Ginger, and Headspace are a few worthwhile options.  This benefit is particularly helpful if your company isn’t yet able to afford to offer comprehensive medical, dental, or vision benefits or if your industry is particularly stressful for employees.  Mental health support and resources offered by employers help their employees feel supported and cared for. A Calm Business mental health trends study found that 42% of respondents said work challenges are the main reasons they seek mental health support with 67% believing their employers should help their employees manage their stress and anxiety. Plus, a balanced and healthy employee is a productive and thriving employee so it is a win/win!

Onsite Company Wellness Initiatives:

Promoting physical wellness by providing ways for employees to stay active continues to be a trend in the industry. The good news is that companies have a myriad of options available to help employees to stay active. The best part about promoting physical activity as part of your wellness program is that it’s a perk that doesn’t have to cost the company a dime.  

Team Leader: We suggest nominating an internal “wellness expert” employee or committee (there’s usually at least one person on the team who loves wellness and wants to lead the charge here!) who can suggest wellness initiatives for the company. 

Walking Meetings: Some of our clients have loved implementing Wellness Wednesday Walks where there is a goal of moving meetings to walking meetings- ideally outside (weather and safety permitting.) 

Team Snacks/Meals: As the company grows and has more flexibility in the budget we have helped implement healthy snacks/lunches for teams to allow for healthy choices when folks are hungry

Gym/Classes: Once a company grows a bit and has some flexibility in the budget for the team we suggest considering gym membership reimbursements, team yoga and meditation classes onsite (which can be especially beneficial when a member of the team is certified and interested in teaching a class or two!) 

There are so many ideas here and all can help promote a healthy and productive workplace with high morale.  Remember that the best comprehensive wellness program for your employees can vary based on their unique needs, so it's important to regularly collect feedback and adapt your wellness perks accordingly. Additionally, creating a customizable approach where employees can choose the perks that suit them best can be a valuable option as well. And if you haven’t thought about this for your company before and want to chat through it- we are a phone call away!

California Parental Leave 101- Birth Parent

Parental leave, particularly in California, is complex and confusing for both employers and employees. As an example, we are using parental leave in California for the birth-parent, but can help you navigate through state-by-state compliance for all leave of absence needs. 

There are two components to birth-parent parental leave in California: job protection and wage-replacement. 

1. Job-protected leave for new parents is a legally mandated or employer-provided benefit that allows eligible employees to take a specified amount of time off from work following the birth or adoption of a child. During this leave, the employee's position and job security are protected, meaning they cannot be terminated, demoted, or subjected to adverse employment actions solely because they are taking this leave.

2. In California, wage replacement for maternity leave is primarily provided through the state's Paid Family Leave (PFL) program, which is part of the State Disability Insurance (SDI) system. SDI and PFL offer partial wage replacement to eligible employees who need to take time off from work to bond with a new child, whether through birth, adoption, or foster care.

It’s also important to understand that PDL, FMLA, and CFRA provide job protection only and disability Insurance (DI) and Paid Family Leave (PFL) provide wage replacement benefits only. 

We will discuss the two components more in-depth below:

Job Protected Leave:

Pregnancy Disability Leave (PDL), the California Family Rights Act (CFRA), and the Family and Medical Leave Act (FMLA) are three distinct legal provisions that pertain to leave from work in the context of pregnancy and family-related issues.  Let us explain each of them in more detail:

• Pregnancy Disability Leave (PDL):

• Purpose: PDL is designed to provide job-protected leave to pregnant employees for disabilities related to pregnancy and childbirth.

• Duration: PDL typically provides up to four months (or 88 workdays) of unpaid leave for an employee's pregnancy-related disabilities.

• Eligibility: To be eligible for PDL, an employee must work for an employer with at least five employees and must be disabled due to pregnancy, childbirth, or related medical conditions.

• Benefits: During PDL, employees may be entitled to continue receiving group health insurance benefits, but it doesn't provide for paid leave.

• California Family Rights Act (CFRA):

• Purpose: The CFRA is a California state law that provides eligible employees with up to 12 weeks of job-protected leave for certain family and medical reasons, which can include pregnancy and bonding with a new child.

• Duration: CFRA provides up to 12 weeks of unpaid leave within a 12-month period. CFRA begins when disability leave ends.

• Eligibility: To be eligible for CFRA, an employee must work for an employer with at least 5 employees and have been employed for at least 12 months and worked at least 1,250 hours during the 12-month period before the leave is requested. Employees who have been with their employer for less than 12 months may become eligible for CFRA if their 12-month anniversary occurs during their PDL. 

• Benefits: Unlike PDL, CFRA provides broader coverage, as it can be used for various family and medical reasons, including bonding with a newborn or adopted child, caring for a seriously ill family member, and the employee's own serious health condition. It's unpaid leave, but employees can use accrued paid time off, such as vacation or sick leave.

• Family and Medical Leave Act (FMLA):

• Purpose: The FMLA is a federal law that provides eligible employees with job-protected leave for certain family and medical reasons.

• Duration: FMLA provides up to 12 weeks of unpaid leave within a 12-month period. Some military family leave provisions extend the leave duration.

• Eligibility: To be eligible for FMLA, an employee must work for an employer with at least 50 employees within a 75-mile radius, have worked for the employer for at least 12 months, and have worked at least 1,250 hours during the 12-month period before the leave is requested.

• Benefits: FMLA can be used for various family and medical reasons, including pregnancy, bonding with a newborn, caring for a seriously ill family member, or the employee's own serious health condition. While it is unpaid, employees can use accrued paid time off to receive compensation during their leave.

It's important to note that CFRA may be used for reasons related to pregnancy or childbirth beyond the disability period covered by PDL, such as bonding with a new child. These two laws often work together when an employee needs time off due to pregnancy or related conditions, however, unlike FMLA, PDL and CFRA do not overlap. It's also essential to understand which laws may overlap in some situations, and the specific provisions can vary depending on your location, employer size, and individual circumstances. 

When you are putting your employee on LOA, it’s important to change their status in your company HRIS, understand and determine how employee benefits, such as health insurance, retirement contributions, stock options, etc. will be affected during this time. We also recommend that you maintain thorough documentation of the LOA process, including copies of all written communications and forms, as well as any agreements or arrangements made with the employee.

Wage Replacement:

In California, PFL (Paid Family Leave) and SDI (State Disability Insurance) are two related programs that provide financial support, generally 50 - 60% of weekly wages earned, to individuals who have just had a baby or need to take time off from work for family or medical reasons. 

Below is a detailed explanation outlining how these wage replacement programs work for the birth parent. 

• California Paid Family Leave (PFL): PFL is a component of the SDI program, and it provides wage replacement benefits to eligible individuals who need time off from work to bond with a new child. This can include parents who have just had a baby through birth, adoption, or foster care.

• Eligibility: To be eligible for PFL benefits in California, you generally need to have earned a minimum amount of wages and paid into the SDI program. You should have earned at least $300 in wages in the base period and meet other eligibility requirements.

• Wage Replacement: PFL offers partial wage replacement, typically equal to a percentage of your regular wages, up to a certain maximum weekly benefit amount. The percentage is usually around 60-70% of your earnings, depending on your income. The maximum weekly benefit amount is subject to change and may be adjusted annually.

• Duration: PFL benefits can be received for up to eight weeks within a 12-month period. These weeks can be taken within the first year after the birth of the child.

• State Disability Insurance (SDI): SDI is a separate program in California that provides partial wage replacement to individuals who are unable to work due to a non-work-related injury, illness, or medical condition, including pregnancy and childbirth.

• Eligibility: Eligibility for SDI is similar to PFL, with requirements related to wages and contributions to the program.

• Wage Replacement: SDI provides partial wage replacement for eligible individuals who are temporarily disabled, including those who are temporarily disabled due to pregnancy or childbirth.

• Duration: The duration of SDI benefits for pregnancy and childbirth is typically determined by the individual's medical condition and the advice of a healthcare provider.

It's important that the employee apply for these benefits through the California Employment Development Department (EDD) as soon as they become eligible and anticipate taking time off. The specific benefit amounts and rules may change over time, so it's advisable to check the EDD's website or contact them directly for the most up-to-date information on PFL and SDI benefits in California.

It is not lost on us how complicated parental leave is in California, and every state is different so managing LOA can be exponentially complex if you have employees in a variety of states. Stay tuned for upcoming blog posts that will outline parental leave in CA for non-birth parents, as well as parental leave in other frequently asked about states. And if you need some help with your policy or have questions about a current employee who is needing to take parental leave- we are just a phone call or email away and happy to help.

*This information is current as of October 2023- but these details and qualifications change frequently. It is critical to have an up-to-date parental leave plan that is compliant- let us know if you need some help!

California's Potential Game-Changing Employment and Labor Bills: A Comprehensive Overview

California, long a pioneer in progressive labor laws, is once again mixing it up and proposing some pivotal bills to shape worker protections and employer responsibilities in the state. If these bills pass, companies big and small need to be ready to make some big changes, and have a strategic plan in place with their HR partners for implementation and execution of new policies. In the 2023 legislative session, several pivotal bills have been introduced, including SB 616, SB 497, SB 525, AB 1228, AB 1356, and additional FEHA discrimination bills. Governor Newsom has until October 14, 2023 to sign these bills into law, approve the bills without signing them, or veto the bills. These proposed laws promise to usher in a new era of rights and responsibilities for employees and employers in the Golden State. While much more is included in the actual bills- we put together some quick summaries of some of these bills each below.

SB 616: Increase in Minimum Number of Sick Days

This bill would increase the minimum number of annual sick days to five days or 40 hours for full-time employees and the accrual cap from six days to 10 days.

SB 497: Presumption of Retaliation

This bill mandates a presumption of illegal retaliation if an employer takes particular disciplinary actions against an employee who has made a wage claim or complaint within the prior 90 days. This bill also would set a penalty not exceeding $10,000 per employee for each violation, among other options.

SB 525: Minimum Wage for Health Care Workers

This will gradually raise the minimum wage for workers in health care facilities to $25 per hour over the next several years. The rate of the raise varies based on the size of facility, as well as the amount of Medicare and Medicaid patients as well as location. 

AB 1228: Minimum Wage for Fast Food Workers - SIGNED!

This bill will raise the hourly minimum wage for fast food restaurant employees who work at chains with at least 60 locations nationwide to $20 per hour as of April 1, 2024.  What makes this bill even more meaningful is that it will bar cities and counties from setting a separate minimum wage for the fast food industry.

AB 1356: Notice Period Changes for Layoffs, Relocation or Termination

This bill will expand the amount of days’ notice an employer must give prior to a mass layoff, relocation, or termination at a covered establishment from 60 days to 75 days. Under California law, a mass layoff includes the layoff of 50 or more employees at a single location within a 30-day period.

In addition to all of these bills, several other bills on Governor Newsom’s desk for signature would expand the state’s Fair Employment and Housing Act (FEHA). If signed, these bills would impact items such as:

• The notice period and required documentation allowing request for accommodation that employers must give to employees to require them to return to work in person after being allowed to work from home

• Prohibit employers refusal to grant bereavement for reproductive loss and instead entitle employees to take a five-day leave of absence following reproductive loss

• Prohibit discrimination of an employee based on caregiver status

• Prohibit discrimination for an employee’s use of cannabis off the job, depending on state laws.

The employment and labor bills currently under review in California represent a significant step forward in protecting worker rights and promoting fair and inclusive workplaces. If passed, these bills will undoubtedly reshape the employment landscape in the state. Employers and employees alike should closely monitor these developments and prepare for potential changes in their rights and responsibilities. And unlike Vegas, what happens in California does not usually stay in California- the state continues to lead the way in progressive labor laws, setting a powerful example for other states to follow in the future. Retain is keeping a close eye on the outcomes of these proposed bills and we are working with our legal partners to be ready to draft necessary policies, training programs, and communication plans for our clients so they can be compliant before the deadlines. Stay tuned!!

Game Changer: How New Proposals Could Impact Overtime for Exempt Employees

Paying overtime is a legal obligation for those that qualify, which is typically non-exempt employees. If employees are non-exempt, it means they are entitled to minimum wage and overtime pay when they work more than 40 hours per week. Whereas, employers are not required to pay overtime to employees who are properly classified as exempt. They may, however, choose to compensate such individuals for extra hours worked through benefits packages. However, the Labor Department has issued its proposal to raise the salary threshold for exempt employees – a change that could make more of your employees eligible for overtime premiums.

The DOL announced on August 30, 2023 that it intends to significantly raise the exempt salary threshold from $684 per week to $1,059, meaning employees would need to earn $55,068 or more per year to be exempt from OT pay. It's possible that 3.6 million U.S. workers would become eligible for overtime pay under the proposed rule and it's expected for the DOL to prioritize this rule and move swiftly through the notice and comment period.

Start preparing for what could be big changes to your compensation plans. DOL’s proposal also would increase the total annual compensation requirement for highly compensated employees to $143,988 per year. The proposal outlines an automatic update provision for future overtime thresholds beyond what is included in the proposed rule and would not make changes to the FLSA’s “duties test” for determining overtime eligibility. Once published in the Federal Register, the proposal will be subject to a 60-day public comment period.

We are keeping a close eye on this ruling as it could drastically change payroll for every single one of our clients. We are prepared with draft policy, employee communication plans, board approval plans, FAQs, and change plans for if/when this proposal needs to be implemented. If you have any questions about this proposal or would like some help with these potential revisions to your payroll and documents, please feel free to reach out - hello@retainhr.com

See more at: https://lnkd.in/geRJbSkk

Unpacking the Cortese Bill Impact

The California Legislature passed Senator Dave Cortese’s Senate Bill (SB) 553 on September 12th.

Slated to go into effect in January 2025, the bill would require employers to "develop their own workplace violence prevention plans as part of their Cal/OSHA Injury Illness Prevention Plans." Employers would also be required to provide thorough training to employees on the prevention plan as well as maintaining logs of violent incidents. 

Given what the bill requires, there will be significant need for HR partnerships to be in place for employers. Here are some things that will need to be done, just to begin:

Changes in Employment Laws and Regulations: If SB 553 is related to employment or labor, it could introduce new laws and regulations that HR departments would need to comply with. This might involve changes in areas such as minimum wage, overtime rules, discrimination laws, or other aspects of employment law.

Policy and Procedure Updates: HR would likely need to review and potentially update company policies and procedures to align with the new legislation. This could include policies related to leave, benefits, harassment, discrimination, or any other area affected by the bill.

Training and Education: If the bill introduces new requirements or changes in compliance, HR may need to conduct training sessions for employees and managers to ensure they understand the new rules and how they impact the workplace.

Recordkeeping and Reporting: New legislation often comes with requirements for recordkeeping and reporting. HR might need to implement new systems or processes to ensure compliance.

Compensation and Benefits: Depending on the nature of the bill, it could impact how companies handle compensation and benefits. This might involve changes in pay structures, benefits offerings, or other aspects of total rewards.

Recruitment and Hiring: If the bill impacts areas like hiring practices, background checks, or other pre-employment processes, HR would need to adjust their recruitment strategies accordingly.

Legal Compliance and Risk Management: HR would need to closely monitor compliance with the new legislation to avoid legal risks or penalties. This might involve working with legal counsel and potentially adjusting business practices.

Employee Relations: Changes in employment laws can have an impact on the employer-employee relationship. HR may need to address questions or concerns from employees related to the new legislation.

It's important to note that the specific impact of SB 553 would depend on the details and provisions of the bill itself. HR teams would need to carefully review the language of the bill once it's passed and work to implement any necessary changes in compliance with the law. SB 553 will be sent to Gov. Gavin Newsom for approval. Read more about the bill here: https://lnkd.in/gCJcsKjF. 

And don’t worry! Retain is monitoring this closely and we have already begun the process of evaluating training vendors and drafting policy content so we will be ready if/when this is implemented. As per usual, we will handle all of the strategy, implementation, tracking and communication plans for this for all of our current clients and for anyone else who needs some help, please feel free to reach out to hello@retainhr.com and we are happy to chat!