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Health-Reform Is Constitutional: Here Are the Tax Implications
Technology Company to Pay More Than $740,000 in Back Wages to H-1B Workers
Ninth Circuit Provides Guidance on Scope of State Administrative Exemption to IT Workers
Indie Workers: Is Self-Employment the New Norm?
Recruiter: Trucking Industry ‘Begging’ for Good Drivers
More Than Half of Executives Won’t Check in With the Office During Summer Vacation; Major Shift From Two Years Ago
Financial Analysts and Financial Advisers Are in Demand
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For Health Sector: Forward, March Wall Street Journal (06/29/12) Anna Wilde Mathews The U.S. Supreme Court’s decision to uphold most of the health care law means companies need to prepare for the law’s implementation over the next two years. Many companies said the ruling won’t change their plans for providing insurance coverage to their employees. However, some companies, especially low-wage businesses such as retailers and restaurants, say absorbing the associated costs of the legislation could put a damper on hiring.
Understand the Implications of the Supreme Court’s Ruling
ASA will present a Webinar July 12 at 2 p.m. Eastern time to update its members on efforts by the association to mitigate the effects of the employer provisions on the staffing industry. Register at americanstaffing.net.
Economy Growing Too Slowly to Lift U.S. Jobs Market; Another Weak Month of Hiring Expected Associated Press (06/28/12) The latest economic data suggest June has been another weak month for hiring. Applications for unemployment benefits last week stayed above a level that is generally considered too high to lower the unemployment rate. The annual growth rate for the U.S. economy in the January-March quarter was a tepid 1.9%, a rate of growth that typically generates about 90,000 jobs a month. Most economists do not see growth accelerating much from the first-quarter pace, although some are hopeful that lower gas prices could help lift consumer spending over the summer. Economists are predicting that 100,000 jobs were added in June and the unemployment rate did not change, according to a survey by FactSet. “Jobless claims are still too high and show that employment growth is slowing and no progress is being made,” says Jennifer Lee, an economist at BMO Capital Markets.
Lockheed Machinists OK New Labor Deal, End Strike Bloomberg BusinessWeek (06/28/12) Angela K. Brown Lockheed Martin machinists have ended their 10-week strike. Members of the International Association of Machinists and Aerospace Workers District Lodge 776 voted to approve a new labor deal that includes annual pay raises beginning at 3% the first year. In May, the company began hiring about 500 temporary employees at its Fort Worth plant, which manufactures F-35 stealth fighter jets. The temporary workers will be let go by Monday, when union members return to work, says Lockheed spokesperson Joe Stout.
OSHA Launches Heat Safety Phone App WAVE-TV 3 (Kentucky) (06/28/12) Joey Brown The U.S. Occupational Safety and Health Administration has rolled out a mobile phone app that allows workers and supervisors to calculate a work site’s heat index and determine the risk level for outdoor workers. To protect employees from heat-related illnesses, the OSHA Heat Safety Tool also displays reminders about the protective measures that should be taken based on the risk level.
ASA for You
Another Reason to Join ASA: Free Webinars and Archived Courses
ASA membership offers an impressive list of benefits—which is why so many industry professionals turn to ASA for valuable resources and educational opportunities. Why should you join ASA today? ASA provides free live ASA Pro Webinars and more than 150 free courses for your entire staff—and ASA Pro Webinars qualify for continuing education hours toward ASA certification renewal. Don’t miss the July 12 Webinar on the implications of the U.S. Supreme Court’s ruling on the Patient Protection and Affordable Care Act. Join ASA today.For additional information, contact ASA at 703-253-2020 or asa@americanstaffing.net.
Supreme Court Upholds Health Care Reform Law
In a narrow 5–4 decision, with Chief Justice John Roberts writing for the majority, the U.S. Supreme Court has upheld the constitutionality of the Patient Protection and Affordable Care Act. Opponents had argued that the “individual mandate,” which requires almost all U.S. citizens to buy health insurance, was an unlawful exercise of the Congress’s authority under the Commerce Clause. Although a 5–4 majority of the court agreed that the mandate was not supported by the Commerce Clause, by the same margin it ruled that the mandate can be supported as a valid exercise of Congress’s taxing authority. In a surprising twist, it was Justice Roberts, not perennial swing vote Justice Anthony Kennedy, who provided the decisive vote to uphold the mandate.
The other major issue in the case was whether Congress could expand the Medicaid program, effectively requiring states to spend more money on the program. A majority of the court held that the federal government can offer funds to expand the availability of health care and can require states that accept such funds to comply with conditions on their use, but states cannot be penalized if they choose not to participate in the new program by taking away their existing Medicaid funding.
The court decision effectively upholds all of the major provisions of the PPACA, including the employer provisions. ASA will present a Webinar for ASA members, July 12 at 2 p.m. Eastern time, to update staffing firms on efforts by the association to mitigate the effects of the employer provisions on the staffing industry and to discuss the political implications of the Supreme Court’s ruling on the fall elections.
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Temporary Workers and OSHA
NLRB Launches New Web Site Regarding Concerted Activity
Second Phase of Georgia E-Verify Law Requires Employers With 100 to 499 Employees to Comply by July 1
Alabama Amends Employment Verification and Immigration Law
CareerBuilder’s New Talent Crunch Study Explores the Impact of the Skills Gap and Vacancies on Revenue and Turnover
A Sea of Job-Seekers, but Some Companies Aren’t Getting Any Bites
Workers Less Miserable, but Hardly Happy
QPS Survey: 28% of Companies Plan Wage Increases in 3Q
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Jobless Claims Fell Last Week, but Still High Reuters (06/28/12) Lucia Mutikani First-time filings for jobless benefits last week fell slightly but remained near the highest level of the year, the U.S. Department of Labor reported today. Initial claims declined by 6,000 to a seasonally adjusted 386,000 in the week ended June 23. The prior week’s figure was revised up to 392,000 from the previously reported 387,000. Economists polled by Reuters had forecast claims easing to 385,000 last week. The four-week moving average for new claims, considered a better measure of labor market trends, slipped 750 to 386,750. First-time claims have totaled 380,000 or higher over the past five weeks, a level usually associated with mediocre hiring trends.
U.S. First-Quarter GDP Growth Stays at 1.9% MarketWatch (06/28/12) Jeffrey Bartash The U.S. economy’s growth rate in the first quarter was unchanged from earlier estimates at 1.9%, but corporate profits fell for the first time in four years while expansion in exports was much smaller than originally estimated, the U.S. Department of Commerce reported today. Economists surveyed by MarketWatch had been expecting GDP to be 1.9%. Profits of U.S. companies, originally estimated to have risen $11.4 billion, actually fell $6.4 billion, based on more complete data drawn from private-sector and government sources. It was the biggest decline since the third quarter of 2008. The drop in corporate profits largely stemmed from the expiration in 2011 of an investment tax credit. As a result, companies paid sharply higher taxes in the first quarter compared with the fourth quarter.
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ASA is your industry’s voice and advocate. Activate your membership today and save up to 50%. Plus, you will receive the full version of Staffing Today, discounts on Staffing World® 2012 registrations, and much more. Join online or contact ASA at membership@americanstaffing.net or 703-253-2020.
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Next Stop for Arizona Immigration Law: Back to the Courts?
FMLA FAQ: When Employees Indicate They Will Not Return From FMLA Leave
Temporary Employees: Three Reasons to Hire Them Right Now
Coming ‘Fiscal Cliff’ in Congress Affects Hiring, Even Firing
Six Surprising Six-Figure Jobs
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The Conference Board Consumer Confidence Index Declines Again Conference Board News Release (06/26/12) The Conference Board Consumer Confidence Index, which had declined in May, fell further in June. The index now stands at 62.0 (1985=100), down from 64.4 in May. The Expectations Index declined to 72.3 from 77.3. The Present Situation Index, however, increased to 46.6 from 44.9 last month. Says Lynn Franco, director of economic indicators at the Conference Board: “Consumer confidence declined in June, the fourth consecutive moderate decline. Consumers were somewhat more positive about current conditions, but slightly more pessimistic about the short-term outlook. Income expectations, which had improved last month, declined in June. If this trend continues, spending may be restrained in the short term. The improvement in the Present Situation Index, coupled with a moderate softening in consumer expectations, suggests there will be little change in the pace of economic activity in the near term.”
OECD Raises Red Flag on U.S. Long-Term Unemployment Reuters (06/26/12) Lucia Mutikani The Organization for Economic Cooperation and Development says training programs are necessary to diminish the impact of long-term unemployment on the U.S. economy. The report from the Paris-based organization indicates that long spells of unemployment could boost structural unemployment, which it believes is close to 6% right now, by eroding workers’ skills and lessening their attachment to the labor force. According to the OECD, “Education and training are key to improving skills, (and) reducing mismatches between employer needs and work force skills.” To lessen jobless workers’ reliance on unemployment benefits, the OECD recommends programs that make them aware of job opportunities and assist in job searches, noting that the U.S. does not spend enough on re-employment services compared with other OECD countries.
Huron Consulting Group Announces Acquisition of AdamsGrayson MarketWatch (06/25/12) Huron Consulting Group Inc. has announced the acquisition of AdamsGrayson, a managed review and legal staffing firm based in Washington, DC. AdamsGrayson will become part of Huron Legal, the legal consulting division of Huron Consulting Group.
TeamStaff Inc. Announces Name Change to DLH Holdings Corp. Reuters (06/26/12) TeamStaff Inc. has changed its name to DLH Holdings Corp. The company’s common shares will continue to trade on the Nasdaq Capital Market, and its new ticker symbol will be “DLHC” effective June 27 at the market’s open. In recent months the company undertook a major rebranding effort, which included the change in corporate name of its principal operating subsidiary to DLH Solutions Inc., the launch of a new corporate Web site, and other communications and marketing measures to establish the “DLH” brand.
Durable Goods Orders in U.S. Rise More Than Forecast Bloomberg (06/27/12) Shobhana Chandra Orders for durable goods climbed more than forecast in May, with bookings rising by 1.1%, according to a U.S. Department of Commerce report released today. The May figure represents the first increase in three months. The median forecast of 76 economists surveyed by Bloomberg News called for a 0.5% gain. May’s gain was led by stronger demand for machinery, defense equipment, and cars. Orders for nondefense capital goods excluding aircraft increased by 1.6% after falling the prior two months, suggesting renewed confidence about the economic recovery.
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Save 50% on Your Annual Dues
Why is now the right time to join the American Staffing Association? Because the U.S. Equal Employment Opportunity Commission recently released new enforcement guidance on employers’ use of arrest and conviction records during the hiring process. ASA members have access to free resources that explain the implications of these guidelines for you and your clients. Because the government is making crucial decisions about health care reform and other legislative issues that affect your business—and you need to make sure your voice is heard. As an ASA member, you can be part of a community that will advocate on your behalf and provide you with the resources necessary to win the battle. Because you can save 50% on your annual dues. Contact ASA today to see if you qualify. Join online or contact ASA at membership@americanstaffing.net or 703-253-2020.
June Staffing Up 6.8% From a Year Ago
Staffing employment in June is up 6.8% from June 2011, according to the ASA Staffing Index.
The index value for June is 93 and has shown little change over the past 30 days. Since the beginning of 2012, temporary and contract employment has grown 24.8%, according to the index.
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North Carolina Passes Law Targeting Employers Without Workers’ Comp
On the Road—Legal Considerations for Telecommuting Employees
The EEOC Contends Lactation Is Covered by Title VII
OSHA Launches ‘No-Notice’ Construction Safety Campaign in West Virginia
A New Strategy to Address the Talent Shortage
Firms Recruit Sitting CFOs
Jobscience Survey: Facebook Is a ‘New Essential’ for Social Recruiting
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High Court Splits on Arizona Law Wall Street Journal (06/25/12) Jess Bravin; Tamara Audi In its ruling on Arizona’s immigration law, the U.S. Supreme Court struck down provisions that make it a state crime for immigrants not to carry federal registration papers, allow jail time for illegal immigrants looking for employment in the state, and broaden the power of state and local police to arrest immigrants for suspected offenses. The court let stand a requirement that police check the immigration status of people they stop for traffic or other violations, but the provision could face legal challenges down the road if immigrants are held in detention for prolonged periods while their status is determined. It remains unclear how federal courts will apply the ruling to the immigration laws passed in Georgia, Alabama, and South Carolina.
Orange County Senator Tied Up in Back Pay Complaints Orange County Register (California) (06/25/12) California state Sen. Mimi Walters is facing back pay complaints from several subcontractors hired by staffing companies in which she and her husband have a minority ownership stake. The subcontractors allege that they are owed back pay topping $120,000. Walters’ attorney says that as minority owners of Monarch Staffing Inc., the parent company of Drug Consultants Inc. and American Healthcare Recruiting, she and her husband have no knowledge about their pay and do not handle the firms’ day-to-day operations.
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Order Today: New ASA Tool Kit Makes Certification Study Engaging
If you prefer interactive learning strategies, the new ASA Certification Prep & Practice Tool Kit is just what you need. Staffing professionals who are preparing for the ASA Certified Staffing Professional™ or Technical Services Certified™ exam now have access to this engaging, multimedia learning resource—designed to complement the materials that are included in the current certification exam package. The ASA Certification Prep & Practice Tool Kit features four modules with corresponding recordings and instructional slides that cover the main areas of the certification exams. Learn more about the new tool kit and listen to sample recordings at americanstaffing.net, where you can also purchase this interactive resource for individual or group study. Being an ASA member means you get a deep discount on the tool kit as well as many other valuable professional development materials. Join ASA today and starting reaping your membership benefits, including FREE ASAPro Webinars.
Another Reason to Join ASA: Free Webinars and Archived Courses
ASA membership offers an impressive list of benefits—which is why so many industry professionals turn to ASA for valuable resources and educational opportunities. Why should you join ASA today? ASA provides free live ASA Pro Webinars and more than 150 free courses for your entire staff—and ASA Pro Webinars qualify for continuing education hours toward ASA certification renewal. For additional information, contact ASA at 703-253-2020 or asa@americanstaffing.net.
ASA to Address Thursday’s Supreme Court Ruling
On Thursday of this week, the U.S. Supreme Court will announce its decision on the constitutionality of the Patient Protection and Affordable Care Act. The ASA legal team will closely examine the ruling and conduct a Webinar for ASA members on July 12, starting at 2 p.m. Eastern time—registration details to be announced—that will explain the implications for the staffing industry. Not a member of ASA? Join today.
Two key issues to be decided are whether Congress can compel individuals to buy health insurance and whether states can be forced to substantially increase their expenditures under the Medicaid program. The court also will decide to what extent these provisions are severable from the rest of the statute or whether they are so interconnected that the entire law must be struck down.
If the court upholds the law in its entirety, nothing will change in the short term, although the fall elections could have a major impact on whether the law is fully implemented or is repealed by a new Congress and administration. If the court strikes down the law, in whole or in part, the picture will be more complicated, both legally and politically.
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When Laws Collide: Balancing Workers’ Religious Beliefs With Workplace Safety
Aggregator of Social Media Info Subject to FCRA
More Local ‘Wage Theft’ Ordinances May Soon Be Enacted in Florida
For Middle-Aged Job Seekers, a Long Road Back
Downsized Wall Street Licks Its Wounds
Is Hiring in the Construction Industry Bouncing Back?
Law Grads Face Brutal Job Market
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Chicago Fed’s National Activity Index Slides in May NASDAQ (06/25/12) Doug Cameron Production declined sharply in May, according to the Federal Reserve Bank of Chicago’s National Activity Index. The overall index fell from a revised 0.08 in April to -0.45 in May. Production-related indicators fell from 0.42 in April to -0.20 in May. Consumption and housing indicators were little changed at -0.25. Negative readings point to below-trend growth.
America: The World’s Least Worst Economy Business Insider (06/25/12) Economic data released during the week ended June 22 showed some improvement from the prior week’s reports, with housing permits hitting a more than three-year high, contributing to a jump in the index of Leading Economic Indicators to 0.3. The Philladelphia Fed Index dropped to -16.6, which is an improvement over the -30 reading seen nine months ago. Moreover, the ASA Staffing Index, which leveled off during the past two months, climbed to 93 for June.
Lockheed Martin, Machinists Union Reach Tentative Agreement Associated Press (06/24/12) After more than two months on strike and the hiring of temporary workers by Lockheed Martin, the company’s permanent machinists are expected to vote this week on a new labor contract. Company officials announced a tentative deal Saturday with the union representing 3,600 striking workers. In May, the company hired temporary workers at its Fort Worth, TX, aircraft assembly plant.
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Check Out the One-Stop Shop for ASA Member Benefits
The benefits of ASA membership cover so many aspects of your business that the association has created a microsite called Membership Matters to give you a quick and comprehensive look at all the resources that could be at your fingertips right now. Among the top benefits of joining ASA today is getting the member registration rate for Staffing World, Oct. 9–11, in Las Vegas. Join ASA today and register for Staffing World—the can’t-miss event for staffing executives—and save up to $150 per person.
Another Reason to Join ASA: Free Webinars and Archived Courses
ASA membership offers an impressive list of benefits—which is why so many industry professionals turn to ASA for valuable resources and educational opportunities. Why should you join ASA today? ASA provides free live ASA Pro Webinars and more than 150 free courses for your entire staff—and ASA Pro Webinars qualify for continuing education hours toward ASA certification renewal. For additional information, contact ASA at 703-253-2020 or asa@americanstaffing.net.
Staffing Jobs 6% Higher Year-to-Year in First Quarter of 2012
U.S. staffing companies employed an average of 2.78 million temporary and contract workers per day during the first three months of 2012, according to recent data released by the American Staffing Association, based on its quarterly Employment and Sales Survey.
“In the face of a painfully slow jobs recovery, staffing firms continue to play an important role in helping job seekers get back on the employment track,” says Richard Wahlquist, president and chief executive officer of ASA.
From January through March of this year, U.S. temporary and contract employment, while experiencing a usual seasonal dip from the fourth quarter of 2011 (-4.4%), was 6% higher year-to-year. This is the ninth consecutive quarter of year-to-year staffing industry job growth since the recession ended in 2009.
“Employers remain hesitant to add permanent employees due to uncertainty about the current strength of the economy and future economic conditions, including impending tax increases and spending cuts expected to take effect in January 2013. In times like these, businesses are being much more strategic in sourcing additional talent and maintaining work force flexibility,” Wahlquist says.
Temporary and contract sales totaled $25.0 billion in for the first quarter of 2012—9.8% higher than in the same quarter last year.
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Do You Give Different Leave to Working Moms and Dads?
Rhode Island Governor Signs Minimum Wage Hike
Cover USERRA, New York Law by Drafting Unequivocal Severance Releases
Jobs Get Posted, Few Get Filled
Nice Job Listing. Will You Apply?
More Bosses Taking Vacation Than Employees, According to CareerBuilder Survey
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U.S. Leading Economic Index Increases Conference Board News Release (06/21/12) In May, the Conference Board Leading Economic Index for the U.S. edged up 0.3% to 95.8, compared with a 0.1% decrease in April, with economist Ataman Ozyildirim noting that the gain was modest due to weakness in the average work week in manufacturing, stock prices, and consumer expectations. Meanwhile, the Conference Board Coincident Economic Index for the U.S. rose 0.2% to 104.3, following a similar gain in April, and the Conference Board Lagging Economic Index for the U.S. climbed 0.3%, versus a 0.6% decline the month prior. “Economic data in general reflect a U.S. economy that is growing modestly, neither losing nor gaining momentum,” says Ken Goldstein, economist at the Conference Board. “The result is more of a muddle through.”
Employees: Staffing Firm Shut Down, Said No One Would Be Paid CBS 2 Chicago (06/22/12) Chicago-based Prime Staffing abruptly shut down Thursday. The company sent employees a notice about the closure, adding that employees would not be paid. The notice stated: “I regret to inform you that effective immediately, Prime Staffing is out of business. Our bank has decided to immediately close our line of credit that we relied on to fund the operations of this company….Outstanding checks will not be honored and all funds in our account are being applied to pay down the line of credit. We have no leverage to prevent this.” Protesters from Occupy Chicago will be at the Prime Staffing office Friday in support of the employees who now say they are owed money.
ASA note: Under the federal Fair Labor Standards Act and state wage and hour laws, staffing firms have a legal duty to ensure that their employees are paid all wages in a timely fashion.
Weak U.S. Job Market Weighing on Broader Economy Associated Press (06/21/12) Christopher S. Rugaber On June 21, the U.S. Department of Labor said applications for unemployment benefits slipped to 387,000 last week from 389,000 the week prior, but the four-week average increased to a six-month high of 386,250. The number of jobs added in April and May averaged 73,000 per month, down from an average of 226,000 during the first quarter. Additionally, the Philadelphia Federal Reserve Bank’s index of regional manufacturing activity dropped to a nearly one-year low of -5.8 from -16.6, though the measure of future expectations climbed from 15 in May to 19.5 in June.
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Reminder: This Is the Nonmember Version of Staffing Today
Because your firm is not an ASA member, you are now receiving the nonmember version of Staffing Today, which excludes the Legal Watch and Trends and Research sections. Join ASA today and start reaping the many benefits of membership, including the full version of Staffing Today, free ASA Pro professional development Webinars, and special member-only registration rates for Staffing World 2012, Oct. 9–11 in Las Vegas. ASA membership matters. Learn more and join today.
Another Reason to Join ASA: Free Webinars and Archived Courses
ASA membership offers an impressive list of benefits—which is why so many industry professionals turn to ASA for valuable resources and educational opportunities. Why should you join ASA today? ASA provides free live ASA Pro Webinars and more than 150 free courses for your entire staff—and ASA Pro Webinars qualify for continuing education hours toward ASA certification renewal. For additional information, contact ASA at 703-253-2020 or asa@americanstaffing.net.
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Florida Gov. Scott Makes It Clear: He’s Backed Off Mandatory E-Verify Requirement for Business
Vermont Becomes the Eighth State to Restrict the Use of Credit Reports for Employment Purposes
State Laws on Mandatory Employee Breaks
The Top 10 Harassment Excuses…and How to See Through Them
Disability Discrimination Law in Ohio a Mess That Needs Cleaning Up
The Facts About Workplace Drug Testing
Fewer U.S. CEOs Plan to Hire, Boost Spending
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Jobless Claims Flat Wall Street Journal (06/21/12) Josh Mitchell; Andrew Ackerman The number of Americans who filed requests for jobless benefits fell by 2,000 last week to 387,000, the U.S. Department of Labor reported today. Claims from two weeks ago were revised up to 389,000 from 386,000. Economists surveyed by Dow Jones Newswires had forecast 385,000 new jobless claims would be filed last week. The average of new claims over the past four weeks, meanwhile, climbed 3,500 to 386,250, marking the highest level in almost seven months.
Fed Warns of Risk to Economy Wall Street Journal (06/21/12) Kristina Peterson; Jon Hilsenrath The U.S. Federal Reserve announced Wednesday it would extend through the end of the year a program known as “Operation Twist,” which aims to drive down long-term interest rates and reduce borrowing costs for businesses and households. Fed officials said they are ready to do more if necessary to spur job growth. “I wouldn’t accept the proposition though that the Fed has no more ammunition,” said Ben Bernanke, chairman of the central bank, adding that “if we don’t see continued improvement in the labor market we’ll be prepared to take additional steps.” The first-stage, $400 billion Operation Twist program had been scheduled to end this month. By extending it by six months, the Fed will be purchasing an additional $267 billion in Treasury bonds and notes with maturities ranging from six to 30 years, and selling an equivalent amount of securities with maturities of three years and less. The net effect, the Fed hopes, is to ease the burden of past debts for households and businesses and make them more willing to take risks such as hiring or investing today.
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Order Now: New ASA Tool Kit Makes Certification Study Engaging
If you prefer interactive learning strategies, the new ASA Certification Prep & Practice Tool Kit is just what you need. Staffing professionals who are preparing for the ASA Certified Staffing Professional™ or Technical Services Certified™ exam now have access to this engaging, multimedia learning resource—designed to complement the materials that are included in the current certification exam package. The ASA Certification Prep & Practice Tool Kit features four modules with corresponding recordings and instructional slides that cover the main areas of the certification exams. Learn more about the new tool kit and listen to sample recordings at americanstaffing.net, where you can also purchase this interactive resource for individual or group study. Being an ASA member means you get a deep discount on the tool kit as well as many other valuable professional development materials. Join ASA today and starting reaping your membership benefits, including FREE ASAPro Webinars.
Join ASA Today and Save Up to 50%
ASA is your industry’s voice and advocate. Activate your membership today and save up to 50%. Plus, you will receive the full version of Staffing Today, discounts on Staffing World 2012 registrations, and much more. Questions? Contact Kim Potter at 703-253-2051.
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Employers See Spike in Complaints by Returning Veterans
Philadelphia Paid Sick Leave Law Takes Effect July 1
Do You Have to Offer Paternity Leave?
U.S. Department of Labor Announces $2.5 Million Grant Opportunity to Manage, Operate Job Accommodation Network
At-Will Employment—Does It Really Matter?
Obesity Affects Duration of Workers’ Compensation Benefits: NCCI
Hiring Demand in the Oil, Gas, and Mining Sector
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U.S. Employers Post Fewer Openings in April, a Sign Hiring Will Remain Sluggish Associated Press (06/19/12) The U.S. Department of Labor reported Tuesday that job openings fell to a seasonally adjusted 3.4 million in April, down from 3.7 million in March. The April figure was the lowest in five months, suggesting hiring will remain sluggish in the near future. The decline could mean employers are growing more cautious about adding workers in the face of financial turmoil in Europe and slower U.S. growth. Openings have increased by nearly a third since the recession ended in June 2009, but they are still below prerecession levels of about five million per month. Though companies are posting more job openings, they are not necessarily filling them. Openings have increased by 13% in the past year, while gross hiring has increased only 4%. The drop in openings was particularly steep in professional and business services. Available jobs fell 14% in that category. Fewer people quit their jobs last month, another pessimistic sign, as more resignations are evidence that workers are confident that they can find new jobs elsewhere.
Nevada’s Declining Jobless Rate Triggers End of State Extended Benefits CarsonNow (Nevada) (06/18/12) The Nevada Department of Employment, Training, and Rehabilitation says approximately 5,500 jobless residents could lose their State Extended Benefits as of July 7 because the state’s three-month average unemployment rate dropped below the 12% threshold for the SEB program. The state’s unemployment rate was 11.6% in May, marking the ninth straight monthly decrease and a three-year low.
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Join ASA Today and Save Up to 50%
ASA is your industry’s voice and advocate. Activate your membership today and save up to 50%. Plus, you will receive the full version of Staffing Today, discounts on Staffing World 2012 registrations, and much more. Questions? Contact Kim Potter at 703-253-2051.
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ASAPro Webinar Today—Don’t Make a Costly Legal Mistake
Reminder: This Is the Nonmember Version of Staffing Today
Hummus Maker Tribe Faces $702K OSHA Fine After Accident
Justices Back Drug Industry on Overtime
U.S. Department of Labor Announces Guidance to State Unemployment Insurance Agencies on Implementing Short-Time Compensation or ‘Work Sharing’
Korn/Ferry Survey of Senior Executives
Grim Job Prospects Could Scar Today’s College Graduates
Asians Top Immigration Class
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Lockheed, Union Agree to Meet Federal Mediators Reuters (06/18/12) Andrea Shalal-Esa; A. Anathalakshmi Lockheed Martin Corp. and the International Association of Machinists and Aerospace Workers have agreed to meet Wednesday with federal mediators to settle a strike that started more than eight weeks ago. Lockheed, which has been under pressure from the Pentagon to cut its pension and labor costs, has been hiring temporary employees. Last week the U.S. National Labor Relations Board dismissed three unfair labor practice charges filed by the union against the company.
Public-Private Initiative to Remove Obstacles to Employing People With Disabilities MarketWatch (06/18/12) Top-level executives from more than a dozen major U.S. companies joined with government officials to launch a nationwide public-private sector initiative to advance employment of people with disabilities. The companies and officials plan to work together to achieve common goals, including to identify and resolve employment barriers facing people with disabilities, share experience and best practices, raise visibility around the effort and awareness of the significant benefits, and expand participation.
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ASAPro Webinar Today—Don’t Make a Costly Legal Mistake
This afternoon from 3 to 4 p.m. Eastern time, attend the ASA Pro Webinar “ Wage and Hour Compliance Issues for Staffing Firms.” Elizabeth Young and Garen Dodge of Jackson Lewis LLP will discuss the issues that staffing firms need to know regarding federal and state laws governing employees’ wages. Register today at the nonmember rate of $295 per site. Or join ASA today and participate in this Webinar and all ASAPro Webinars for FREE.
Reminder: This Is the Nonmember Version of Staffing Today
Because your firm is not an ASA member, you are now receiving the nonmember version of Staffing Today, which excludes the Legal Watch and Trends and Research sections. Join ASA today and start reaping the many benefits of membership, including the full version of Staffing Today, free ASA Pro professional development Webinars, and special member-only registration rates for Staffing World 2012, Oct. 9–11 in Las Vegas. ASA membership matters. Learn more and join today.
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Massachusetts Publishes Safety Fact Sheet for Staffing Firms and Clients
No Matter How Many Clients, Temporary Employees Must Still Get Overtime Pay
Reducing the Risks of Post-Employment Retaliation Claims
Employee Sounds Threatening During Hearing? OK to Suspend While You Investigate
Beware Minimum Wage, OT Violations—You Could Owe Double Damages, and More
Management’s Independent Review Trumps Supervisor’s Hidden Discrimination
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Eager to Work, but Not Full-Time Wall Street Journal Online (06/15/12) Sue Shellenbarger Staffing companies have become a primary route for workers looking for professional or managerial employment on a flexible or part-time schedule. For the past several years, demand for college-educated professional and managerial temporary employees has outpaced the demand for pink- or blue-collar temporary workers. Many staffing companies—including Atlanta-based Flexible Executives—specialize in the placement of high-skilled workers, who can earn pay ranging from $20 to $200 per hour depending on the job. Debby Johnson, a certified public accountant, has been working part-time assignments through a staffing firm since 2008, which allows her the flexibility to tend to family needs. According to Steve Berchem, chief operating officer of the American Staffing Association, 80% of staffing employees work full-time hours on assignments averaging 13 weeks. This flexibility allows for high-skilled workers to take on several assignments in a short amount of time.
Nominate the 2013 National Staffing Employee of the Year
Debby Johnson, the 2011 National Staffing Employee of the Year, chooses a contract career because it provides her with challenging assignments and scheduling flexibility. Have you worked with a temporary or contract employee who embodies one or more of the industry’s five key messages (jobs, flexibility, bridge, choice, and training)? Give your stellar employee the chance to be the 2013 National Staffing Employee of the Year by nominating him or her for the prestigious distinction by Aug. 1. Learn more about the National Staffing Employee of the Year program at americanstaffing.net.
States Note Slower Hiring Wall Street Journal Online (06/15/12) Josh Mitchell Employers cut jobs in May in four states expected to play a key role in this year’s presidential election, and added them at a slow pace in five others. Pennsylvania, North Carolina, Michigan, and Iowa lost jobs in May, according to data released on June 15 by the U.S. Department of Labor. Employment grew tepidly in Colorado, Florida, Nevada, New Hampshire, and Virginia. Ohio was the only one of the 10 states expected to be most tightly contested in November to register substantial job gains. The jobless rate, meanwhile, rose two-tenths of a percentage point in Colorado and Michigan, to 8.1% and 8.5%, respectively. The rate remained above the 8.2% national average in three others, Florida, Michigan, and Nevada. Nevada, still reeling from the housing bust, had an unemployment rate of 11.6% in May, the highest of any state in the nation.
Obama Relaxes Immigration Law Associated Press (06/15/12) Alicia Caldwell; Jim Kuhnhenn President Barack Obama eased enforcement of immigration laws Friday, offering a chance for hundreds of thousands of illegal immigrants to stay in the country and work. The policy change will affect as many as 800,000 immigrants. Under the administration plan, illegal immigrants will be immune from deportation if they were brought to the U.S. before they turned 16 and are younger than 30; have been in the country for at least five continuous years; have no criminal history; and graduated from a U.S. high school or passed the General Educational Development tests or served in the military. They also can apply for a work permit that will be good for two years with no limits on how many times it can be renewed. The policy is effective immediately.
ASA for You
ASAPro Webinar Tomorrow—Don’t Make a Costly Legal Mistake
You won’t want to miss tomorrow’s ASA Pro Webinar, “ Wage and Hour Compliance Issues for Staffing Firms.” Elizabeth Young and Garen Dodge of Jackson Lewis LLP will discuss the issues that staffing firms need to know regarding federal and state laws governing employees’ wages. This Webinar takes place from 3 to 4 p.m. Eastern time. Register today at the nonmember rate of $295 per site. Or join ASA today and participate in this Webinar and all ASAPro Webinars for FREE.
Join ASA Today and Save Up to 50%
ASA is your industry’s voice and advocate. Activate your membership today and save up to 50%. Plus, you will receive the full version of Staffing Today, discounts on Staffing World 2012 registrations, and much more. Questions? Contact Kim Potter at 703-253-2051.
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ASA for You
Order Now: New ASA Tool Kit Makes Certification Study Engaging
Reminder: This Is the Nonmember Version of Staffing Today
Offering to Settle an EEOC Charge Can Be Unlawful
Never Silence a Harassment Case by Urging Complainer to Resign
California Court Approves Class Action Waivers in Employment Arbitration Agreements
Organizations Challenge Florida’s Unemployment Law
Two in Five New Dads Didn’t Take Any Paternity Leave, Finds CareerBuilder’s Annual Father’s Day Survey
Survey Reveals E-mail, Phone Call Are Preferred Methods for Post-Interview Follow-Up
Hiring Grows for Nursing Assistants
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Low Prices, Weak Hiring Raise Odds of Fed Action Associated Press (06/14/12) Christopher S. Rugaber Federal data released Thursday indicate the job market is softening, and consumer prices are barely rising. Some economists say the U.S. Federal Reserve will likely announce a new move next week to support the economy. Economists say the Fed is likely to extend “Operation Twist,” a program that aims to further lower long-term interest rates to boost borrowing and spending. The economists are predicting slower economic growth and say job growth in June is unlikely to be much better than it was in April or May.
U.S. Industrial Output Falls Wall Street Journal (06/15/12) Tom Barkley; Ian Talley U.S. industrial production weakened in May as output of cars and other items slowed, according to data released today by the U.S. Federal Reserve. Industrial production slipped a seasonally adjusted 0.1% in May after gaining 1% in April. April’s reading was downwardly revised from an initially reported 1.1% expansion. Capacity utilization also declined, easing to 79.0% from 79.2% the previous month. Economists surveyed by Dow Jones Newswires had expected a 0.1% rise in output and capacity utilization of 79.2%.
Lockheed Brings in More Workers as Strike Drags On Reuters (06/14/12) Andrea Shalal-Esa Lockheed Martin Corp. says it plans to hire additional temporary employees at its Fort Worth, TX plant, where a union has been on strike for eight weeks. According to Lockheed spokesperson Joe Stout, the company already had hired nearly 300 temporary employees. The company is under intense pressure from the Pentagon to reduce labor costs.
As reported in the May 25 issue of Staffing Today, The aerospace industry typically has many skilled employees available through temporary staffing firms. ASA members agree—as a condition of membership—to abide by a code of ethics and good practices.
ASA for You
Order Now: New ASA Tool Kit Makes Certification Study Engaging
If you prefer interactive learning strategies, the new ASA Certification Prep & Practice Tool Kit is just what you need. Staffing professionals who are preparing for the ASA Certified Staffing Professional™ or Technical Services Certified™ exam now have access to this engaging, multimedia learning resource—designed to complement the materials that are included in the current certification exam package. The ASA Certification Prep & Practice Tool Kit features four modules with corresponding recordings and instructional slides that cover the main areas of the certification exams. Learn more about the new tool kit and listen to sample recordings at americanstaffing.net, where you can also purchase this interactive resource for individual or group study. Being an ASA member means you get a deep discount on the tool kit as well as many other valuable professional development materials. Join ASA today and starting reaping your membership benefits, including FREE ASAPro Webinars.
Reminder: This Is the Nonmember Version of Staffing Today
Because your firm is not an ASA member, you are now receiving the nonmember version of Staffing Today, which excludes the Legal Watch and Trends and Research sections. Join ASA today and start reaping the many benefits of membership, including the full version of Staffing Today, free ASA Pro professional development Webinars, and special member-only registration rates for Staffing World 2012, Oct. 9–11 in Las Vegas. ASA membership matters. Learn more and join today.
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ASA for You
Today’s Webinar: E-mail Deliverables—Did Yours Make the Inbox?
Another Reason to Join ASA: Free Webinars and Archived Courses
Connecticut Law Legalizes Medical Marijuana Use, Protects Employees
Update: U.S. Department of Labor Increases Pressure to Reclassify Independent Contractor Workers
White-Collar, Temporary Staffing Drive Employment Growth
Social Media Penetrating the U.S. Workplace but Impact on Productivity Is Causing Unease
Germany’s New Export: Jobs Training
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Korn/Ferry International Announces Fiscal 2012 and Fourth Quarter Results of Operations Korn/Ferry International News Release (06/13/12) Korn/Ferry International has announced near record fiscal year 2012 fee revenue of $790.5 million compared with fee revenue of $744.3 million in FY 2011. FY 2012 diluted earnings per share was $1.15, and excluding separation and restructuring charges, net, adjusted diluted earnings per share was $1.19 for FY 2012. Fee revenue was $198.1 million in the fourth quarter of FY 2012, compared with $197.3 million in the fourth quarter of FY 2011, an increase of $0.8 million. “I am pleased with our results for the fiscal year and our overall progress in making the Korn/Ferry brand synonymous with talent management,” says Gary Burnison, CEO of Korn/Ferry International. “For the fiscal year, we increased our global revenue 6% to $790 million, with an adjusted operating margin of almost 11%. Our newer offerings, Futurestep and Leadership and Talent Consulting, experienced double digit growth for the fiscal year, further validating our differentiated strategy.”
Jobless Claims in U.S. Unexpectedly Rose Last Week Bloomberg BusinessWeek (06/14/12) Alex Kowalski The number of Americans who filed requests for jobless benefits rose by 6,000 last week to 386,000, the U.S. Department of Labor reported today. Claims from two weeks ago were revised up to 380,000 from 377,000. Economists projected claims would fall to 375,000, according to the median estimate in a Bloomberg News survey. The average of new claims over the past four weeks, meanwhile, increased by 3,500 to 382,000, the highest level in six weeks.
Dewey’s Former Leaders Sued Wall Street Journal (06/13/12) Jennifer Smith Henry Bunsow, a former partner at Dewey & LeBoeuf LLP, has accused the bankrupt firm’s former leadership of running a “Ponzi scheme” that used money invested by new partners to enrich themselves and others. The firm filed a bankruptcy petition May 28, after most of its partners left amid disputes over compensation and concerns about the firm’s financial viability. The firm owes more than $315 million to various creditors, including staffing firms.
Arizonans Facing Cuts in Unemployment Benefits Arizona Daily Sun (06/13/12) The Arizona Department of Economic Security says federal unemployment assistance will drop to 79 weeks beginning June 22 from 99 weeks at the peak of the recession, with around 700 jobless residents possibly losing benefits each week. DES anticipates a decline this month in the state’s unemployment rate to below 9%, which is the minimum rate states must report over a three-month period to be eligible for specific federal benefits. The unemployment rate for May will likely be less than 8.5%, and federal benefits could be reduced to 54 weeks if it falls under 7%.
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ASA for You
Today’s Webinar: E-mail Deliverables—Did Yours Make the Inbox?
Marketing via e-mail is fast, cost-efficient, and far-reaching, but it’s only effective when it ends up in the right inbox. During an ASA Pro Webinar this afternoon, Nathan Goff of ASA corporate partner Inavero, will provide e-marketing best practices, explain the pros and cons of using an e-mail service provider, and share an overview of today’s e-mail ecosystem. You also learn what not to do as you explore ways to get your message into the right hands—and more than that—get folks to read and see the benefits of your services. This Webinar takes place from 3 to 4 p.m. Eastern time today. Register today at the nonmember rate of $295 per site. Or join ASA today and participate in this Webinar and all ASAPro Webinars for FREE.
Another Reason to Join ASA: Free Webinars and Archived Courses
ASA membership offers an impressive list of benefits—which is why so many industry professionals turn to ASA for valuable resources and educational opportunities. Why should you join ASA today? ASA provides free live ASA Pro Webinars and more than 150 free courses for your entire staff—and ASA Pro Webinars qualify for continuing education hours toward ASA certification renewal. For additional information, contact ASA at 703-253-2020 or asa@americanstaffing.net.
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ASA for You
USCIS Reaches Fiscal Year 2013 H-1B Cap
Drafting an Offer Letter Without Undoing At-Will Employment Rights
Ninth Circuit Holds That Medical Marijuana Use Is Not Protected Under the Americans With Disabilities Act
Workers’ Compensation: Employee Obligation to Give Notice of Work-Related Injury
Be Prepared to Explain Why Women Earn Less Than Men Doing the Same Work
Yoh Index Finds Bright Spots and Anomalies in Labor Market
New CareerBuilder Study Reveals What Salary Level Equals Success
8 Cities With Surprising Job Growth
Headline News
QPS Acquires Recruiting Firm Milwaukee Journal Sentinel (06/12/12) QPS Employment Group has acquired Cambridge TEMPositions Inc., a recruiting firm based in Cedar Rapids, IA. QPS has taken over all three of Cambridge’s Iowa locations, which are in Cedar Rapids, Davenport, and Iowa City. With the acquisition, QPS expects to increase revenue by 50% in Iowa. The acquisition is the eighth acquisition by QPS since 2006 and the third of 2012.
U.S. Producer Prices Plummet 1% in May MarketWatch (06/13/12) Greg Robb Lower costs for food and energy pulled the U.S. producer price index down 1.0% in May, the U.S. Department of Labor reported today, in the biggest one-month drop in close to three years. Analysts surveyed by MarketWatch had predicted a fall of 0.9% for the month. Core producer prices, excluding volatile food and energy, rose 0.2%—matching analysts’ expectations.
ASA for You
ASA Legal Expert in California to Speak on Staffing Industry Issues
The California Staffing Professionals, an ASA-affiliated chapter, will host the Staffing and Recruiting Conference 2012 tomorrow through Saturday. Edward A. Lenz, Esq., ASA senior vice president, legal and public affairs, will present two workshops this Friday, June 15—”2012 National Political Outlook and Our Industry,” and “Current Developments in Health Care Reform.” For details and to register, visit cspnet.org. This meeting qualifies for continuing education hours toward ASA certification renewal.
This Week’s Webinar: E-mail Deliverables—Did Yours Make the Inbox?
Marketing via e-mail is fast, cost-efficient, and far-reaching, but it’s only effective when it ends up in the right inbox. During this ASA Pro Webinar, Nathan Goff, president and resident e-mail guru at Inavero, provides e-marketing best practices, pros and cons of using an e-mail service provider, and an overview of today’s e-mail ecosystem. You also learn what not to do as you explore ways to get your message into the right hands—and more than that—get folks to read and see the benefits of your services. This Webinar takes place tomorrow, June 14, 3 to 4 p.m. Eastern time. Register today at the nonmember rate of $295 per site. Or join ASA today and participate in this Webinar and all ASAPro Webinars for FREE.
Join ASA Today and Save Up to 50%
ASA is your industry’s voice and advocate. Activate your membership today and save up to 50%. Plus, you will receive the full version of Staffing Today, discounts on Staffing World 2012 registrations, and much more. Questions? Contact Kim Potter at 703-253-2051.
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ASA for You
ASA Membership Matters—Here’s Why
This Week’s Webinar: E-mail Deliverables—Did Yours Make the Inbox?
How the White House’s Endorsement of Same-Sex Marriage Affects Employment Law
Recovering Money From Employees Without Violating the FLSA
Net 11% of Marketing and Advertising Executives Anticipate Hiring in the Third Quarter
One in Three Lawyers Plans to Hire in Third Quarter
CFOs Report Third-Quarter Hiring Plans: Staff Levels May Remain Little Changed
IT Jobs Market Growing Modestly, But Hiring Is Still Slow
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Manpower Employment Outlook Survey Reveals Increase in U.S. Employers’ Hiring Plans for the Third Quarter ManpowerGroup News Release (06/12/12) Hiring confidence among U.S. employers continues to inch up as all states, regions, and industries surveyed report a positive Net Employment Outlook, according to the latest Manpower Employment Outlook Survey released today by ManpowerGroup. The seasonally adjusted survey results show the Net Employment Outlook for the third quarter of 2012 is +11%, slightly up from +10% during the second quarter of 2012, and +8% during the same period last year. “In our on-demand world, seeing long-term changes can be difficult, but it is important to keep in mind that employer confidence has been on an upward trajectory for three years,” says Jonas Prising, ManpowerGroup president of the Americas. “While slow and sometimes frustrating, job growth has proven to be sustainable, and the data show a solid foundation is in place for continued progress.”
Companies Benefit From Hiring Military Veterans Bradenton Herald (Florida) (06/11/12) Mary Helen Kress Mary Helen Kress, president and chief executive of Suncoast Workforce, a Florida-based organization that helps employers hire military veterans, says employers can benefit from the training, work ethic, and skills possessed by veterans. Moreover, they can qualify for the Work Opportunity Tax Credit under the Vow to Hire Veterans Act of 2011, with for-profit employers receiving credits up to $9,600 and tax-exempt organizations receiving up to $6,240 for each qualified veteran they hire. They also have access to a Special Incentive program through the U.S. Department of Veteran Affairs’ Vocational Rehabilitation and Employment program if they offer training and hands-on experience to veterans, with reimbursement totaling as much as half of the veteran’s salary during the training period for as long as six months.
Every Day Is a Good Day to Hire Heroes ASA agrees that hiring veterans and transitioning military service members makes good business sense. ASA offers resources that staffing companies can use to help educate clients about the importance and benefits of hiring veterans. Visit americanstaffing.net for more information.
ASA for You
ASA Membership Matters—Here’s Why
Why should you be a member of the American Staffing Association? Because ASA membership matters. From sending a powerful message about your firm’s commitment to integrity and high standards to ensuring you can quickly access important resources and industry-specific guidance, ASA is always working on your behalf. ASA is your industry’s voice and advocate. Activate your membership today and save up to 50%. Plus, you will receive the full version of Staffing Today, discounts on Staffing World 2012 registrations, and much more. Questions? Contact Kim Potter at 703-253-2051.
This Week’s Webinar: E-mail Deliverables—Did Yours Make the Inbox?
Marketing via e-mail is fast, cost-efficient, and far-reaching, but it’s only effective when it ends up in the right inbox. During this ASA Pro Webinar, Nathan Goff, president and resident e-mail guru at Inavero, provides e-marketing best practices, pros and cons of using an e-mail service provider, and an overview of today’s e-mail ecosystem. You also learn what not to do as you explore ways to get your message into the right hands—and more than that—get folks to read and see the benefits of your services. This Webinar takes place Thursday, June 14, 3 to 4 p.m. Eastern time. Register today at the nonmember rate of $295 per site. Or, join ASA today and participate in this Webinar and all ASAPro Webinars for FREE.
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ASA for You
Order Now: New ASA Tool Kit Makes Certification Study Engaging
Reminder: This Is the Nonmember Version of Staffing Today
DOJ Settles Discrimination Claim Against Health Care Staffing Company
H-1B Cap Nearly Reached
2012 E-Verify Laws Update
A Closer Look at the Labor Market’s ‘New Normal’
As Economic Headwinds Pick Up, Employers Lie Low
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Quality Personnel Services Acquires Cambridge Staffing Eastern Iowa Gazette (06/08/12) QPS Employment Group of Brookfield, WI, has agreed to acquire Cambridge Staffing Inc. of Cedar Rapids, IA, its second recent acquisition in the Cedar Rapids market. Terms of the sale were not disclosed. Jim Roy, regional vice president of QPS, says the Cedar Rapids market, with its strong industrial base, “fits perfectly into the kind of business we supply with its manufacturing and distribution base.”
Grand Rapids-Based Temporary Firm Bought by Indiana Company Michigan Business Review (06/08/12) Shandra Martinez Grand Rapids, MI-based Beacon Staffing has been acquired by Columbus, IN-based Elwood Staffing for an undisclosed amount. With the acquisition of the Beacon Staffing offices, Elwood Staffing will have more than 65 offices in 11 states nationwide with 350 corporate employees, and annually place more than 45,000 temporary workers. “Elwood and Beacon share many of the same values,” says Elwood chief executive officer Mark Elwood. “We believe this partnership will enhance the employment experience for both our clients and our associates, and we are excited to strengthen our existing branch network in Michigan.”
Temporary Work on Rise in Chicago Area Chicago Sun-Times (06/09/12) Francine Knowles Chicago area staffing companies report they have seen large increases in business this year despite the recent May national unemployment report showing disappointingly weak overall job growth. The LaSalle Network, based in Chicago, says it saw a 55% jump in revenues in May from a year earlier, and business is up 47% for the first five months of this year, compared with the same time in 2011. “We are extremely busy,” says Anne Edmunds, regional director of ManpowerGroup in Chicago. “We’re up about 25% over [the] prior year in staffing requirements. We had a big bounce in January, February, slowed down a little bit in April, and then we saw a huge increase at the beginning of May. It seems to be continuing at the start of June. Most of these temporary positions that we’re seeing are six months in length or better. It’s not like it’s short-term one week, a few days.”
ASA for You
Order Now: New ASA Tool Kit Makes Certification Study Engaging
If you prefer interactive learning strategies, the new ASA Certification Prep & Practice Tool Kit is just what you need. Staffing professionals who are preparing for the ASA Certified Staffing Professional™ or Technical Services Certified™ exam now have access to this engaging, multimedia learning resource—designed to complement the materials that are included in the current certification exam package. The ASA Certification Prep & Practice Tool Kit features four modules with corresponding recordings and instructional slides that cover the main areas of the certification exams. Learn more about the new tool kit and listen to sample recordings at americanstaffing.net, where you can also purchase this interactive resource for individual or group study. Being an ASA member means you get a deep discount on the tool kit as well as many other valuable professional development materials. Join ASA today and starting reaping your membership benefits, including FREE ASAPro Webinars.
Reminder: This Is the Nonmember Version of Staffing Today
Because your firm is not an ASA member, you are now receiving the nonmember version of Staffing Today, which excludes the Legal Watch and Trends and Research sections. Join ASA today and start reaping the many benefits of membership, including the full version of Staffing Today, free ASA Pro professional development Webinars, and special member-only registration rates for Staffing World 2012, Oct. 9–11 in Las Vegas. ASA membership matters. Learn more and join today.
Nonmember Version of Staffing Today Launches Now
Since ASA launched this daily e-newsletter in January, you have been receiving the member version of Staffing Today—and ASA has been inundated with positive reader feedback about the publication’s comprehensive coverage, industry relevance, and succinct format.
Because your firm is not an ASA member, you are now receiving the nonmember version of Staffing Today, which excludes the Legal Watch and Trends and Research sections.
Join ASA today and start reaping the many benefits of membership, including the full version of Staffing Today, free ASAPro professional development Webinars, and special member-only registration rates for Staffing World 2012, Oct. 9–11 in Las Vegas.
ASA membership matters. Learn more and join today.
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ASA for You
ASA Membership Matters—Here’s Why
Join ASA and Save on Staffing World Registration
Workers’ Compensation: Did Employee Report Injury Too Late?
Employee Returning From FMLA Leave? It’s OK to Ask About His Ability to Do the Job
Docking Pay: FLSA Compliance Tips
Is That Degree Really Necessary?
CFOs Report Third-Quarter Hiring Plans
Majority of CIOs to Keep Third-Quarter Staffing Levels Steady
Headline News
New Jersey Gov. Christie Says He’ll Reject Bill to Lift New Jersey Minimum Wage Bloomberg (06/08/12) Terrence Dopp New Jersey Gov. Chris Christie has indicated he will not sign a measure to boost New Jersey’s minimum wage, citing concern over a provision requiring annual adjustments for inflation. The measure–which passed the Assembly in May and is pending in the Senate–would raise the hourly wage floor to $8.50 from $7.25. “We’re telling small-business owners that not only are we going to raise their costs by a buck and a quarter, but we’re also going to raise it with these cost-of-living adjustments,” says Christie. “Here’s what’s going to happen–they’re going to have to lay people off.”
Wal-Mart Says Critical Report on Warehouse Workers Distorts Facts Los Angeles Times (06/06/12) Marc Lifsher A critical report by the National Employment Law Project distorts facts about how Wal-Mart Stores Inc. runs its distribution network, the company says. The NELP report says the retailer’s use of paid temporary workers is being copied by other retailers, driving down pay and benefits for U.S. warehouse workers. Wal-Mart spokesperson Dan Fogelman said that nearly all of the company’s logistics centers in the U.S. are owned and operated by Wal-Mart and are not operated by third-party logistics contractors. Wal-Mart expects all its contractors and subcontractors “to comply with all applicable laws” related to pay, safety, and other areas, Fogleman said.
As ASA reported in Wednesday’s issue of Staffing Today, NELP’s recommendations include aggressive enforcement of existing labor laws and adoption of a code of conduct among supply chain contractors and subcontractors. ASA continues to support the enforcement of state and federal labor and employment laws that protect workers’ rights. And ASA members agree—as a condition of membership—to abide by a code of ethics and good practices.
Englewood School Board Votes to Explore Outsourcing of Secretaries and Teaching Assistants NorthJersey.com (06/08/12) Rebecca Baker The Englewood, NJ, Board of Education has voted to consider replacing school secretaries and teaching assistants with employees from private staffing firms. Officials say the move would save $2 million annually in salaries and benefits.
ASA for You
ASA Membership Matters—Here’s Why
Why should you be a member of the American Staffing Association? Because ASA membership matters. From sending a powerful message about your firm’s commitment to integrity and high standards to ensuring you can quickly access important resources and industry-specific guidance, ASA is always working on your behalf. ASA is your industry’s voice and advocate. Activate your membership today and save up to 50%. Plus, you will receive the full version of Staffing Today, discounts on Staffing World 2012 registrations, and much more. Questions? Contact Kim Potter at 703-253-2051.
Join ASA and Save on Staffing World Registration
The benefits of ASA membership cover so many aspects of your business that the association has created a microsite called Membership Matters to give you a quick and comprehensive look at all the resources that could be at your fingertips right now. Among the top benefits of joining ASA today is getting the member registration rate for Staffing World, Oct. 9–11, in Las Vegas. Join ASA today and register for Staffing World—the can’t-miss event for staffing executives—and save up to $150 per person.
Headline News
Jobless Claims Dip
Fed’s Latest Beige Book Paints a More Upbeat Picture of Economy
Bill Pushes for Increase in Wages
ASA for You
Today’s Free ASAPro Webinar—The Art of Social Recruiting
Pursuing ASA Certification? New Tool Kit Is Just What You Need
Legal Watch
New Guidance on Hiring and Managing Disabled Veterans
Do You Have to Pay Unauthorized Overtime?
Trends and Research
U.S. Job Creation Largely Steady in May
Finance Chiefs See Pickup in U.S. Hiring While Optimism Cools
IT Hiring Forecast Optimistic…for Now
Headline News
Jobless Claims Dip Wall Street Journal (06/07/12) Josh Mitchell; Eric Morath The number of Americans who filed requests for jobless benefits fell by 12,000 last week to 377,000, the U.S. Department of Labor reported today. Claims from two weeks ago were revised up to 389,000 from 383,000. New claims were below the 380,000 figure forecast by economists surveyed by Dow Jones Newswires. The average of new claims over the past four weeks, meanwhile, edged up by 1,750 to 377,750, the highest level in a month.
Fed’s Latest Beige Book Paints a More Upbeat Picture of Economy Los Angeles Times (06/07/12) Don Lee The Federal Reserve’s latest beige book released on June 6 paints a surprisingly upbeat picture of a U.S. economy continuing to improve at a moderate pace. Manufacturing in most areas is seen as expanding nicely, travel and tourism are strengthening, and the housing market is finally showing more signs of recovery. “Hiring was steady or showed a modest increase” since the previous beige book issued eight weeks ago, according to the summary of the report. Recent economic data indicating slowing job creation, softer car sales, and weakening factory orders point to a U.S. economy that has lost considerable momentum this spring. But Wednesday’s beige book suggests that the economy may not be as bad as the recent string of economic data indicate. On employment, the beige book showed reports of hiring, most notably in manufacturing, construction, information technology, and professional services. The only significant hint of a weakening job market in the survey came from the Fed’s Chicago district, where hiring was said to be “limited,” due in part to difficulties finding qualified workers.
ASA: Fed Sees Hiring Growth in Many Areas Hiring was steady to slightly higher around the country, with contacts in several districts reporting difficulties finding qualified workers with specialized skills. Read the ASA analysis of hiring and staffing in the beige book at americanstaffing.net.
Bill Pushes for Increase in Wages New York Times (06/06/12) Rebecca Berg U.S. Rep. Jesse Jackson Jr. (D-IL) has proposed a bill that would immediately hike the federal minimum wage from $7.25 per hour to $10. He believes increasing the minimum wage could encourage spending and ultimately give the economy a boost. Some observers do not think the bill will be put up for a vote given the upcoming election, but Jackson hopes to jump-start a discussion of the issue.
ASA for You
Today’s Free ASAPro Webinar—The Art of Social Recruiting
This afternoon from 3 to 4 p.m. Eastern time, catch the ASA Pro Webinar “ Persuade Passive Candidates Using the Art of Social Recruiting” and get tips on networking with passive candidates and connecting with high-caliber talent from human resource consultant Peter Weddle. ASA Pro Webinars are free for ASA members ($295 for nonmembers) and qualify for continuing education hours toward ASA certification renewal. Register online at americanstaffing.net.
Pursuing ASA Certification? New Tool Kit Is Just What You Need
Staffing professionals who are preparing for the ASA Certified Staffing Professional™ or Technical Services Certified™ exam now have access to a new multimedia learning resource: the ASA Certification Prep & Practice Tool Kit, designed to complement the materials included in the certification exam package. The new ASA Certification Prep & Practice Tool Kit includes four modules with corresponding recordings and instructional slides that cover the main areas of the certification exams. Learn more about the new tool kit and listen to sample recordings at americanstaffing.net, where you can also purchase this interactive resource for individual or group study.
Legal Watch
New Guidance on Hiring and Managing Disabled Veterans Mondaq (06/01/12) Anne R. Yuengert Two new publications from the U.S. Equal Employment Opportunity Commission, “Understanding Your Employment Rights Under the Americans With Disabilities Act: A Guide for Veterans” and “Veterans and the Americans With Disabilities Act: A Guide for Employers,” aim to assist both employers and veterans with the hiring process as the U.S. operations in Iraq and Afghanistan wind down. The guidance states that employers can question candidates about their status as disabled veterans only as part of the affirmative action program, though candidates are not required to provide the information, and they can give preference to disabled veterans over nonveteran and nondisabled applicants. Employers cannot ask about obvious disabilities, such as when, where, or how the injury occurred, but they can ask candidates whether a reasonable accommodation will be needed. Under the Uniformed Services Employment and Re-employment Rights Act, employers must “go further than the ADA by making reasonable efforts to assist a veteran who is returning to employment to become qualified for a job whether or not the veteran has a service-connected disability.”
Do You Have to Pay Unauthorized Overtime? Reuters (06/06/12) Stephanie Rabiner Many employers contend with employees who work longer than their scheduled work hours even when they were not asked to, and experts say employers are responsible for paying unauthorized overtime if they are aware that employees worked off-the-clock. However, employers also have the ability to discipline these employees, given that no federal or state law prevents the creation and enforcement of overtime policies. These policies should state when overtime is allowed, that it must be approved, and the disciplinary measures for violations, such as write-ups, suspension, or termination.
Trends and Research
U.S. Job Creation Largely Steady in May Gallup Economy (06/06/12) Lymari Morales Gallup’s U.S. Job Creation Index was at +19 in May, compared with +20 in April and +18 in March, providing a largely steady assessment of the U.S. job creation picture over the period in which the U.S. Bureau of Labor Statistics found job creation weakening. The U.S. Job Creation Index score of +19 for May reflects 35% of workers nationwide saying their employers are hiring workers and expanding the size of their work force, and 16% saying their employers are letting workers go and reducing the size of their work force. Gallup’s job creation measure does not reveal a significant change in May versus April and March. This means workers themselves did not perceive much change in hiring at their workplaces, even as the government found far fewer actual jobs being created. Gallup also finds U.S. economic confidence and consumer spending holding at higher rates over the past three months. Taken together, the Gallup findings suggest Americans’ overall economic attitudes and behaviors remained slightly improved in March, April, and May, but did not get much better. Next month’s reports will reveal whether the May BLS jobs report has any negative impact.
Finance Chiefs See Pickup in U.S. Hiring While Optimism Cools Bloomberg (06/06/12) Michelle Jamrisko Even as confidence in the U.S. economy wanes, companies in the U.S. intend to increase hiring, according to a quarterly survey of chief financial officers by Duke University and CFO Magazine. The index of executives’ confidence declined from 59 in the first quarter to 56 in the second quarter. However, the executives said they plan to boost hiring by 2.5% over the next year, up from 2.1% in the previous survey. “CFOs indicate a level of hiring that would reduce the national unemployment rate to near 7% within a year, if all else remains constant,” says Kate O’Sullivan, CFO Magazine’s editorial director. “More than one out of four U.S. CFOs say their employees are maxed out, so the planned increase in payrolls is long overdue.”
IT Hiring Forecast Optimistic…for Now Network World (06/06/12) Ann Bednarz A Dice.com poll of 800 information technology-focused hiring managers and recruiters found 73% plan to increase hiring in the second half of the year compared with the first six months of 2012, an increase from six months ago when 65% said they planned to increase hiring. Approximately one-quarter (24%) said the time it takes to fill positions has shortened compared with last year, while 45% reported extended hiring times, due in part to an inability to find qualified professionals. IT professionals of all experience levels are in demand, though hiring managers and recruiters reported different search priorities. Companies recruiting for their own needs are most likely to focus on technical professionals with two to five years in the work force, slightly edging out those with six to 10 years of experience. Staffing companies and recruiters, meanwhile, tend to be searching for more experienced professionals with six to 10 years of tenure.
Headline News
U.S. Service Companies Expanded in May
Wal-Mart Is Driving Down Wages for Warehouse Workers, Report Says
Defense Chiefs Signal Job Cuts
U.S. Productivity Fell 0.9% in First Quarter as Growth Cooled
Fed Presidents Clash Over Need to Provide More Stimulus
ASA for You
Free ASAPro Webinar Tomorrow—The Art of Social Recruiting
Understand Unemployment Insurance Issues
Legal Watch
Should Changing Into Work Clothes and Walking to Worksite Be Paid?
Professors Say New York Governor Cuomo Can Hike Minimum Wage on His Own
Trends and Research
Seeking Software Fix for Job-Search Game
LinkedIn Tops Social Sites for Recruiting: Report
Hiring for Project Management Skills Grows to New Highs
Headline News
U.S. Service Companies Expanded in May Associated Press (06/05/12) Martin Crutsinger U.S. service companies grew at a slightly faster pace in May, marking the 29th straight month of expansion. The Institute for Supply Management’s index of nonmanufacturing activity edged up to 53.7 last month from an April reading of 53.5. The May reading was slightly below the long-run average for the index of 53.9. A reading above 50 indicates expansion. Economists said the increase in the new orders component of the index is a good sign that demand will be solid in coming months. They expressed concern, however, that the employment component, while remaining in expansion territory, slipped to the lowest reading since November.
Wal-Mart Is Driving Down Wages for Warehouse Workers, Report Says Los Angeles Times (06/06/12) Marc Lifsher A new report by the National Employment Law Project says wages and benefits for U.S. warehouse workers are on the decline as a result of aggressive cost cutting by Wal-Mart Stores Inc., which has outsourced its supply chain and relies on third-party companies for warehouse operations and transport, which depend on low-wage temporary workers. The report indicates that Wal-Mart’s competitors are now demanding similarly low prices from logistics companies, reducing the quality of warehouse jobs nationwide. According to the report, “Outsourcing and other contingent work models like ‘permatemping’ have become increasingly standard in the industry.”
NELP’s recommendations include aggressive enforcement of existing labor laws and adoption of a code of conduct among supply chain contractors and subcontractors. ASA continues to support the enforcement of state and federal labor and employment laws that protect workers’ rights. And ASA members agree—as a condition of membership—to abide by a code of ethics and good practices.
Defense Chiefs Signal Job Cuts Wall Street Journal (06/06/12) Nathan Hodge U.S. defense contractors are preparing to disclose major job cutbacks ahead of the November elections if Congress fails to reach a deficit-reduction deal by then. Firms including Lockheed Martin Corp. and Northrop Grumman Corp. may lay off thousands of workers at the beginning of 2013, when more than $50 billion in new defense cuts could take effect—along with similar reductions across federal agencies. Defense manufacturers and their suppliers employ around one million workers combined. Defense industry officials say that they will have to notify employees of potential layoffs 60 or 90 days ahead of time, in line with state and federal plant-closing laws. The Worker Adjustment and Retraining and Notification Act requires companies to notify employees in advance of mass layoffs and plant closings.
U.S. Productivity Fell 0.9% in First Quarter as Growth Cooled Bloomberg (06/06/12) Alex Kowalski The productivity of U.S. workers dropped at the fastest pace in a year in the first quarter, the U.S. Department of Labor reported today, indicating companies may pause before bringing on new employees. Nonfarm productivity decreased at a 0.9% annual pace, faster than the initial estimate of an annual rate of decline of 0.5%. The drop in productivity at the beginning of the year helps explain why payroll gains in May were the weakest in a year. Slower U.S. growth combined with European economies on the verge of recession shows why companies may cut back worker hours and become more deliberate in their hiring.
Fed Presidents Clash Over Need to Provide More Stimulus Bloomberg (06/06/12) Caroline Salas Gage; Jeff Kearns Chicago Federal Reserve president Charles Evans insists that “extremely strong accommodation” is needed in response to soft economic data and that the U.S. Federal Reserve should state that interest rates will be held down unless the unemployment rate dips under 7% or inflation jumps above 3% during “the medium term.” However, Dallas Federal Reserve president Richard Fisher opposes more bond purchases by the central bank because it would do little to help the economy. Meanwhile, St. Louis Federal Reserve president James Bullard says more time should be taken to assess the economy before moving forward with policy change, noting that the economic outlook has not been altered by the recent payroll data.
ASA for You
Free ASAPro Webinar Tomorrow—The Art of Social Recruiting
Tomorrow afternoon from 3 to 4 p.m. Eastern time, get tips on networking with passive candidates and connecting with high-caliber talent from human resource consultant Peter Weddle during the ASA Pro Webinar “ Persuade Passive Candidates Using the Art of Social Recruiting.” ASA Pro Webinars are free for ASA members ($295 for nonmembers) and qualify for continuing education hours toward ASA certification renewal. Register online at americanstaffing.net.
Understand Unemployment Insurance Issues
The National UI Issues Conference takes place in two weeks: June 20–22 in Denver. The conference, presented by UWC–Strategic Services on Unemployment and Workers’ Compensation, explores the major unemployment insurance issues that businesses face every day. ASA government affairs counsel Toby Malara will join Lisa Harris, director of accounting for TrueBlue, and Matt Harvill, vice president for unemployment at Kelly Services, to facilitate a workshop on UI issues that staffing firms face. They will focus on best practices in forecasting state unemployment tax costs, and how firms can communicate with, educate, and prepare their clients for rising costs. For more information and to register, visit uwcstrategy.org.
Legal Watch
Should Changing Into Work Clothes and Walking to Worksite Be Paid? HumanResourcesJournal (06/04/2012) In a lawsuit filed against Gary, IN-based U.S. Steel, 800 current and former hourly employees accused the company of violating the federal Fair Labor Standards Act by failing to compensate workers for time spent changing into work clothes and walking to and from their work stations. The district court noted that under the FLSA, changing clothes was not compensable, but it indicated that time spent walking to work stations might be compensable. However, an appeals court later determined that the collective bargaining agreement, which does not call for compensation for clothes changes, should be followed because the FLSA does not cover such activity. Moreover, time spent walking to work stations is not compensable because the collective bargaining agreement does not consider clothes changes a principal activity, meaning that the work day starts when employees reach their stations.
Professors Say New York Governor Cuomo Can Hike Minimum Wage on His Own Associated Press (06/05/12) Progressive groups pushing for a minimum wage increase in the state of New York are citing comments by Yale and Fordham professors who argue that Gov. Andrew Cuomo’s labor department already has the power to increase it. “It’s not a close call at all,” says professor Michael Wishnie of Yale Law School. He says New York and several other states have provisions of law to raise the minimum wage in the face of a changing economy that can be less costly, faster, and less political than setting wages through legislatures. Cuomo says he supports increasing the wage to $8.50 from the current $7.25 an hour, but New York has never bumped it up for all workers without the state legislature’s consent. The state senate’s Republican majority flatly opposes the measure as a “job killer.” The regular legislative session ends June 21. New York has in the past used the law to raise the minimum for most if not all labor sectors individually, says professor Jennifer Gordon of Fordham University School of Law.
Trends and Research
Seeking Software Fix for Job-Search Game Wall Street Journal (06/06/12) Lauren Weber Companies are expected to spend $5.75 billion on online recruitment in 2012, and their outlays could climb to as high as $10.4 billion by 2016 if the weak job market recovers to normal levels, according to market-research firm Borrell Associates Inc. Web-based job-hunting tools have left human resource departments with too many résumés and have given job seekers the sense that applying online is a waste of their time. Technology firms of all sizes are trying to develop software that can read résumés intelligently, flagging a handful of truly promising candidates to recruiters, and alerting job seekers to openings that are specifically targeted to their skills and background. Pioneering online job boards such as the ones developed by ASA corporate partners Monster.com and CareerBuilder are also rushing to reposition themselves with social-media apps and search algorithms designed to sort résumés in a more nuanced way than the original keyword-based model. Monster.com is staking its future on a version of semantic search called 6Sense, used in its SeeMore and Power Resume Search products. The second approach works like online dating services, requiring job seekers and sometimes recruiters to fill out detailed profiles or questionnaires about their goals so that the software can suggest potential matches. “If you create tools that allow recruiters to spend more quality time with a smaller number of high-quality people, that’s valuable,” says Michael Pope, founder of San Francisco recruiting firm Captain Recruiter. But that tool first needs to earn the trust of job seekers, recruiters and employers. So far, he notes, “there isn’t anybody that tries to empower all three sides at once to be more effective.”
LinkedIn Tops Social Sites for Recruiting: Report Workforce Management (06/12) LinkedIn is the most popular social media site for posting jobs, according to a new report from Bullhorn Inc., a software-as-a-service provider for recruitment. Approximately 77% of job openings are shared on LinkedIn, followed by Twitter at 54%, and Facebook at 25%. The study also found that 21% of jobs are posted to all three social networks and that the same percentage of jobs are not posted to social media sites at all.
Hiring for Project Management Skills Grows to New Highs Wanted Analytics (06/06/12) Abby Lombardi During May 2012, more than 238,000 online job listings included requirements for project management skills, an 11% increase compared with May 2011 and more than 51% compared with May 2010. As companies increasingly migrate to new technologies, information technology-related jobs most commonly require project management experience and represent 41% of all jobs that include this specification. The five metropolitan areas with the highest volume of online job ads requiring project management skills were New York, Washington, Chicago, Los Angeles, and San Francisco.
Headline News
Employment Trend Index Increases in May
Outlook for U.S. Economy Darkens After Disappointing Reports on Hiring, Housing, and Factories
Why Aren’t Companies Hiring?
ASA for You
Free ASAPro Webinar Thursday—The Art of Social Recruiting
ASAPro Spotlight—New EEOC Enforcement Guidance
Legal Watch
New Economy Fallout—’Wage Theft’ From Paychecks
How ACA Could Hit Massachusetts
Emergency Provisions for All: How to Ensure All Employees Remain Safe in Any Emergency Situation
CA Bill Would Help Job-Seekers Move Into Self-Employment
Trends and Research
Core 25-54 Employment Rates Still Near Historic Lows
On the Job: Here Come the ‘Supertemps’
Hiring for the ‘Best Computer Job For the Future’—Mobile App Developers
Headline News
Employment Trend Index Increases in May Conference Board News Release (06/04/12) The Conference Board Employment Trends Index increased 0.29% in May to 108.34, up from the revised figure of 108.03 in April. The May figure is 7.6% higher than a year ago. “While growth in employment has slowed significantly in recent months, the Employment Trends Index does not signal further slowing in the coming months,” says Gad Levanon, Director of Macroeconomic Research at the Conference Board. “Employers have been very cautious in hiring in the past two months, but at the moment, economic activity in the U.S. is just strong enough to require a modestly growing work force.”
Outlook for U.S. Economy Darkens After Disappointing Reports on Hiring, Housing, and Factories Associated Press (06/05/12) The faltering U.S. job market has prompted economists to take a much dimmer view of the country’s growth prospects in recent weeks. “The latest economic data have been decisively disappointing,” Michael Feroli, an economist at JPMorgan Chase, wrote in a client note. JPMorgan Chase sharply reduced its growth forecast for the July-September quarter to a 2% annual rate, down from 3%. It cited the weaker U.S. hiring and a likely drop in U.S. exports related to slower growth overseas. JPMorgan Chase now forecasts growth of 2.1% for 2012, down from 2.3%. As a general rule, it takes about 2.5% growth to generate enough hiring to keep up with population growth and prevent the unemployment rate from rising. The reduced forecasts suggest that hiring may not strengthen much this year. After months of fitful expansion since the recession ended three years ago, many analysts had expected the economy to begin strengthening steadily. In April, the Federal Reserve raised its forecast for growth this year to nearly 2.7%, from a January estimate of 2.5%. Now, it looks as if the recovery is stumbling again.
Why Aren’t Companies Hiring? Forbes (06/04/12) Mary Ellen Biery Brian Hamilton, chief executive of Sageworks, says it is uncertain why job creation is so slow while the economy is growing, noting that “privately held companies, which actually produce the vast majority of new jobs, are performing quite well.” However, he says business owners remain worried about the economy, citing a Sageworks survey of accountants, bankers, and other professionals in which 32% of respondents attributed the lack of hiring among their clients to economic concerns. Additionally, 22% say private companies have lingering anxiety from the last recession, and 23% say increases in efficiency have put a damper on hiring needs. Other reasons for stagnant job creation could be late customer payments and slow movement of inventory tying up cash that would be used to hire new workers, a skills gap, more people dropping out of the work force, and the effects of the housing market downturn.
ASA for You
Free ASAPro Webinar Thursday—The Art of Social Recruiting
This Thursday from 3 to 4 p.m. Eastern time, don’t miss the ASA Pro Webinar “ Persuade Passive Candidates Using the Art of Social Recruiting.” Human resource consultant Peter Weddle will offer tips on networking with passive candidates and connecting with high-caliber talent. ASA Pro Webinars are free for ASA members ($295 for nonmembers) and qualify for continuing education hours toward ASA certification renewal. Register online at americanstaffing.net.
ASAPro Spotlight—New EEOC Enforcement Guidance
ASA Pro—the ASA online professional development center—posts new courses monthly to help you in your professional development. Most ASA Pro courses are free for ASA members. Check out the recent course “ New EEOC Enforcement Guidance—Employers’ Use of Arrest and Conviction Records.” During this ASA Pro course, Pamela Devata, Esq., partner in the labor and employment practice group of Seyfarth Shaw LLP, provides a comprehensive analysis of new guidance from the U.S. Equal Employment Opportunity Commission and offers steps that employers can take to reduce the risk that they will be accused of discrimination. The course is free for ASA members and qualifies for 1.0 legal continuing education hour toward ASA certification renewal. To view this course, log in to your ASAPro account and search for the course by title, then click the “View” button. For more information, contact ASA at 703-253-2020 or asa@americanstaffing.net.
Legal Watch
New Economy Fallout—’Wage Theft’ From Paychecks McClatchy Newspapers (06/04/12) Tony Pugh Workers’ rights advocates assert that “wage theft,” the practice of underpaying or not paying workers for their labor, is a growing trend in today’s economic climate. More companies are trying to cut labor costs to stay afloat in a weak business climate, and budget-cutting state and federal governments do not enforce wage laws as aggressively as they once did. The enforcement vacuum has caused state lawmakers to weigh in. Last year, Texas lawmakers closed a loophole that let employers escape prosecution if they pay workers only a portion of the wages they are owed. In January, California’s Wage Theft Prevention Act took effect, requiring that new hires get written notice of pay rates and how their pay is determined. The new law also increased penalties for nonpayment. Business groups acknowledge that some violators do so intentionally, but they say most violate wage laws by accident. In Massachusetts, for example, the law requires general contractors to treat subcontractors as direct employees, even though they may only need their services for a short time. Confusion over the legal definition of subcontractors causes unintentional violations, says Jack Mozloom, northeast spokesman for the National Federation of Independent Business. “We want to work with the regulators and policy makers in all the states to make sure we have something in place that protects workers, but which doesn’t discourage opportunities and employment for both contractors and subcontractors,” says Mozloom.
How ACA Could Hit Massachusetts Politico (06/01/12) Jason Millman If most of the Affordable Care Act is implemented in 2014, there is concern about the viability of the Massachusetts Health Connector, the state’s health insurance exchange. Connector board member Nancy Turnbull estimates that if the national law’s Medicaid expansion goes into effect, and the state takes up a new option to move some poor residents into a Medicaid-like program, the Connector will lose 70% of the people it currently covers. The big question is what happens to the Connector’s power to negotiate with insurers if more than two-thirds of its members are removed from the insurance pool in less than two years. Observers say the Connector will have to build up the small-group market to make up for the shrinking individual market, but note that the Connector’s inability to attract small businesses despite several years of effort has been the biggest failure of the Massachusetts reform. Small firms have not had much to gain from buying into the Connector. Brokers have a good relationship with small businesses in the state and businesses have more options outside the exchange than in. Even a defined contribution program—in which a small business made a fixed, predictable payment toward a worker’s coverage—was shut down after just about a year. The state’s largest insurer, Blue Cross Blue Shield of Massachusetts, has started selling to small businesses in the exchange. The Connector is also counting on employer wellness incentives and small-business tax credits—available only through the exchange—to boost businesses’ interest.
Emergency Provisions for All: How to Ensure All Employees Remain Safe in Any Emergency Situation National Law Review (05/29/12) Darlene Clabault One of the first steps you can take to ensure that all employees—including those with disabilities—remain safe during an emergency is to identify possible emergencies that may occur at your facility. This should include natural occurrences such as tornadoes, floods, and thunderstorms, along with occurrences such as acts of workplace violence or accidents. From there, identify those who may need assistance during the emergencies identified.
CA Bill Would Help Job-Seekers Move Into Self-Employment Modesto Bee (California) (06/04/12) Darrell Smith In California, Rep. Lois Capps (D-Santa Barbara) has proposed the Entrepreneurial Training Improvement Act of 2012 to enable would-be entrepreneurs to obtain training from local Workforce Investment Boards. Capps says U.S. Department of Labor guidelines for Workforce Investment Boards focus on traditional job creation and placement, but her bill aims to help job seekers create their own businesses. The Kauffman Foundation’s Index of Entrepreneurial Activity reveals that 543,000 businesses were created per month last year on a national basis; California ranked first among states, with 440 adults per 100,000 establishing businesses each month in 2011.
Trends and Research
Core 25-54 Employment Rates Still Near Historic Lows Investor’s Business Daily (06/05/12) David Hogberg While the jobless rate officially stands at 8.2%, actual employment rates of core working age Americans suggest the true jobs situation is even worse. From mid-1987 until the recent recession, the employment-to-population ratio of 25- to 54-year-olds usually ranged from 78.5% to 80%. It never fell below 78.2% even during the 1990-91 and 2001 slumps. Now, three years after the recession ended in June 2009, that ratio stands at just 75.7%. “This is probably a better measure than the unemployment rate,” says James Sherk, senior policy analyst in labor economics at the conservative Heritage Foundation. “There are so many people dropping out of the job market and the unemployment rate, bad as it is, doesn’t pick that up. The ratio gives a better idea of employment opportunities.” Heidi Shierholz, an economist at the liberal Economic Policy Institute, says the employment-to-population ratio “sidesteps a lot of structural issues, like baby-boomers retiring. You are looking at prime-age workers and it gives you a better sense of the weakness in our current job market.” In the past few months the core employment-to-population ratio has improved, rising from 74.8% in October 2011 in part due to an unseasonably warm winter.
On the Job: Here Come the ‘Supertemps’ CBS News (06/05/12) Suzanne Lucas The Harvard Business Review indicates that 58% of companies expect to employ temporary workers during the next few years, and not just in low-level jobs. The report says high-level temporary workers will earn incomes similar to those of employees or partners, especially if they have specialized skills that are in high demand. Some of these so-called “supertemps” are women with high levels of education and plenty of experience who want both a family and a career. Although temporary employment offers employers flexibility and even cost savings, companies could face the risk of the U.S. Internal Revenue Service retroactively classifying independent contractors as employees. For temporary workers, the lack of health insurance coverage and the need to search for a new position every few months pose some challenges.
Hiring for the ‘Best Computer Job For the Future’—Mobile App Developers Wanted Analytics (06/04/12) Abby Lombardi ITCareerFinder.com recently named mobile app developers as the “Best Computer Job for the Future.” More than 1,400 tech job ads called for mobile app developer skills in May, a 52% increase over the same month in 2011. The position is considered hard to fill by recruiters, due to the level of demand and the limited talent pool. Mobile app developers often require a wide variety of skills—in addition to need programming and software development knowledge, candidates need to know the different operating systems—specifically iOS and Android platforms.
Headline News
Hiring Slows in Most Major U.S. Industries
Jobs Payback Is A Ditch As Hiring Plunges From Highs
Temporary Jobs Provide New Options for Workers
ASA for You
Free ASAPro Webinars in June—Social Recruiting, E-mail Tips, and Retaining Top Performers
Legal Watch
NLRB Report on Social Media Highlights Overbroad Employer Restrictions
OSHA’s GHS Revisions to Worker Right-to-Know Effective Today
Trends and Research
Search and Placement Employment Up in April
CFOs Report Difficulty Finding Accounting and Finance Talent
Headline News
Hiring Slows in Most Major U.S. Industries Associated Press (06/01/12) May’s hiring slowdown was broad-based, with half of the 10 major industry groups that the government tracks cutting jobs, while job growth slowed in two others. The hardest hit industry in May was the construction industry: it lost 28,000 jobs—the deepest cuts in two years. Economists say that may partly reflect payback from the mild winter. The leisure and hospitality industry also shed jobs, mostly because of cuts at casinos, museums, and amusement parks. Governments continued to cut workers, losing 13,000 jobs in May, more than the 10,000 shed in April.
Jobs Payback Is A Ditch As Hiring Plunges From Highs Investor’s Business Daily (06/04/12) Jason Ma The deteriorating global outlook appears likely keep future hiring weak in the wake of stalled job growth in May. Factory activity around the world is decelerating or contracting at a faster pace, threatening to drag down U.S. manufacturing and keep a lid on hiring this year. “The U.S. economy is slowing down because the global economy is slowing,” says Steve Blitz, chief economist at ITG Investment Research. Conditions for more quantitative easing seem to be coming into place as growth stalls and inflation slips below the U.S. Federal Reserve’s 2% target. But just as Fed chairman Ben Bernanke was skeptical of the winter’s hiring spike, he is likely to be skeptical of the latest skid, says Joel Naroff, president of Naroff Economic Advisors.
Temporary Jobs Provide New Options for Workers Santa Rosa Press Democrat (California) (06/03/12) Cathy Bussewitz Experts say a jump in temporary staffing typically is the first sign of a recovering economy, and many companies that shed staff during the recession are now turning to temporary employees. However, Robert Eyler of Sonoma State University’s Center for Regional Economic Analysis says temporary jobs are being converted to permanent positions at a slower rate, as economic uncertainty makes employers hesitant to take on permanent employees and the benefits packages and training programs that come with them. In Sonoma County, CA, Nelson Staffing says more temporary employees are being hired in the wine industry, professional services, accounting, finance, tourism, and hospitality. However, fewer clerical jobs are available, and some health care firms are hesitant to hire permanent workers.
ASA for You
Free ASAPro Webinars in June—Social Recruiting, E-mail Tips, and Retaining Top Performers
Don’t miss these ASA Pro Webinars in June on hot topics that can improve your operations and increase profits for your firm. Thursday, June 7: “ Persuade Passive Candidates Using the Art of Social Recruiting.” Human resource consultant Peter Weddle will offer tips on networking with passive candidates and connecting with high-caliber talent. Tuesday, June 12: “ Tips on Submitting ASA Award Entries: Care, VOICE, and National Staffing Employee of the Year.” Get details on ASA award programs so you can determine which competitions you should enter. Thursday, June 14: “ E-mail Deliverables—Did Yours Make the Inbox?” Learn e-mail marketing best practices so you can get your message into the right hands, where people will see the benefits of your services. Tuesday, June 19: “ Wage and Hour Compliance Issues for Staffing Firms.” Elizabeth Young and Garen Dodge of Jackson Lewis LLP will discuss the issues that staffing firms need to know regarding federal and state laws governing employees’ wages. Tuesday, June 26: “ Keep Your Top-Performing Internal Staff.” Find out how to keep the best employees on your team and how to build loyalty among your staff. Sponsored by People 2.0. Thursday, June 28: “ Society 3.0: Creating Tomorrow’s Future Today—Research Findings of the Apollo Research Institute.” Tracey Wilen-Daugenti of the Apollo Research Institute will discuss how employers should change to capitalize on shifts in technology, society, and today’s work force. All Webinars take place from 3 to 4 p.m. Eastern time. They’re free for ASA members ($295 for nonmembers) and qualify for continuing education hours toward ASA certification renewal. Register online at americanstaffing.net.
Legal Watch
NLRB Report on Social Media Highlights Overbroad Employer Restrictions Law.com (06/01/12) Jenna Greene A May 30 report from the U.S. National Labor Relations Board provides examples of employer social media policies that overstep federal rules. One policy that prevents workers from disclosing confidential guest, team member, or company information on social networking sites could violate Section 7 of the National Labor Relations Act because it could be interpreted as barring workers from discussing or disclosing their own and other employees’ conditions of employment. It also could be unlawful for companies to require employee social media posts to be “completely accurate and not misleading . . . and not reveal non-public information on any public site” because the language is “overbroad [and could] reasonably be interpreted to apply to discussions about, or criticism of, the Employer’s labor policies and its treatment of employees.” Other overbroad policies are those that bar employees from posting “offensive, demeaning, abusive, or inappropriate remarks” or order them to “think carefully” about friending colleagues, and it even could be unlawful for employers to prevent employees from commenting on legal matters. However, social media policies stating that employees are responsible for what they post online and that conduct impacting job performance could lead to disciplinary action or termination are allowed.
OSHA’s GHS Revisions to Worker Right-to-Know Effective Today Safety.BLR.com (05/25/2012) On May 25, the U.S. Occupational Safety and Health Administration’s revisions to the hazard communication standard to align worker right-to-know requirements with the United Nation’s Globally Harmonized System of Classification and Labeling of Chemicals went into effect, but there is a four-year transition period for employers to comply. Part of the change involves replacing existing material safety data sheets with new 16-section safety data sheets. OSHA says employers must train employees in the new requirements before the transition occurs and by the time the new labels and safety data sheets are implemented.
Trends and Research
Search and Placement Employment Up in April American Staffing Association (06/04/12) Alexandra Karaer Employment data released Friday by the U.S. Bureau of Labor Statistics showed that search and placement employment in April was up 2.3% from March, totaling 283,300 for the month. In a year-to-year comparison, April employment was up 7.1% from the same month in 2011. BLS employment estimates for search and placement firms are available on a nonseasonal basis only, and reports lag by one month.
CFOs Report Difficulty Finding Accounting and Finance Talent CGMA Magazine (06/03/2012) Ken Tysiac Robert Half’s Professional Employment Report survey of chief financial officers forecasting the third quarter of 2012 reveals that 69% of respondents say it is hard to find skilled accounting and finance professionals, up from 37% in the survey forecasting the second quarter of 2011. About 93% of respondents plan to hold accounting and finance staffing levels steady, up slightly from 91% in the previous quarter. Ryan Sutton, senior vice president for Robert Half’s New England district, says firms unable to recruit accounting and finance staff with the right skills could hire based on other skills and offer on-the-job training. Meanwhile, accounting and finance professionals can improve their job prospects by updating business-systems skills.
BLS: Staffing Employment Holds Steady in May
Seasonally adjusted jobs data released Friday by the U.S. Bureau of Labor Statistics indicated that staffing employment remained relatively unchanged, up 0.4% from April to May (9,200 jobs). In a year-to-year comparison, temporary help employment for the month was 8.5% higher than in May 2011.
Overall U.S. nonfarm employment showed little growth, increasing by 69,000 jobs from April to May. During the first three months of 2012, the average rate of monthly job creation was 226,000; by contrast, the monthly average for April and May was 73,000.
“A disappointingly dreary start to the summer jobs season, but not a surprise because overall employment lags economic trends, and gross domestic product for the first quarter has been adjusted downward,” said Richard Wahlquist, president and chief executive officer of the American Staffing Association. “The nonseasonally adjusted numbers for temporary help employment, which provides a real-time snapshot of what’s going on in the economy, suggests continued—albeit agonizingly slow—improvement.”
Nonseasonally adjusted BLS data, which estimate the actual number of jobs in the economy, indicated that the staffing industry added 73,000 jobs (up 3.0%) from April to May. On a year-to-year basis, there were 8.4% more staffing employees in May compared with the same month in 2011.
Health care employment increased by 33,000 (mostly in ambulatory health care services); transportation and warehousing rose by 36,000 jobs; and wholesale trade added 16,000 jobs over the month. Employment declines were noted in construction (-28,000), with most of the job losses concentrated in specialty trade contractors and in heavy and civil engineering construction.
Headline News
U.S. Employers Add 69,000 Jobs in May, Fewer Than Forecast
Monster Employment Index Rises 3% Year-Over-Year
Analysis: for Big U.S. Companies, Hiring Is Three Steps Forward, One Step Back
Federal Employment Drops After Years of Explosive Growth
Setting Standards
ASA for You
ASA Quarterly Survey Will Report Average Gross Margins by Sector
Share Your Expertise as a Knowledge Network Moderator
Understand Unemployment Insurance Issues
Legal Watch
Discrimination Lawsuits Double as Definition of ‘Disability’ Expands
What Is a ’9/80′ Pay Plan?
FMLA Retaliation Claim Fails Where Employer Believed Claimant Was Abusing Leave
Twentysomethings Entering Tight Job Market Lean Toward Unpaid Internships, but Employers Walk a Tightrope in Labor Law
Trends and Research
Randstad U.S. Employment Report: Workers Uncertain About Job Market; Index Remains Above 50
Hiring in Engineering Services Growing Again
Headline News
U.S. Employers Add 69,000 Jobs in May, Fewer Than Forecast Bloomberg (06/01/12) Timothy Homan The U.S. added just 69,000 jobs in May, the smallest increase in a year, the government reported Friday. The increase was less even than the most-pessimistic forecast in a Bloomberg News survey. The median estimate called for a 150,000 May advance. The unemployment rate, meanwhile, rose to 8.2% from 8.1%, mainly because more people entered the labor force even as hiring slowed. The average workweek fell 0.1 hour to 34.4 in May, while average hourly earnings climbed two cents to $23.41. Employment gains for April and March were revised lower. The number of new jobs created in April was reduced to 77,000 from an original estimate of 115,000, while March’s figure was trimmed to 143,000 from 154,000.
Monster Employment Index Rises 3% Year-Over-Year Monster Worldwide Inc. News Release (06/01/12) The Monster Employment Index grew 3% in May, an increase of 1% month-over-month. Transportation and warehousing continued to outpace all sectors in recruitment growth, while finance and insurance gained momentum. Educational services, utilities, and public administration registered double-digit negative growth. Among the metro markets tracked by the index, Indianapolis and Detroit gained notable momentum, while Chicago eased. Monster is an ASA corporate partner.
Analysis: for Big U.S. Companies, Hiring Is Three Steps Forward, One Step Back Reuters (05/31/12) An analysis of Standard & Poor’s 500 companies indicates that close to 75% are hiring, with the number of new employees up 4.2% over the past 12 months. Scott Wren of Wells Fargo Advisors says, “A very broad swath of industries have been hiring people. They just have not been hiring that many people.” The National Federation of Independent Business says small businesses have been creating jobs more slowly, with “little improvement on Main Street in optimism or hiring and spending this year.” Still, hiring among large corporations will depend on revenue growth, which dropped to 5.2% in the first quarter and is predicted to fall to 2.5% for the second quarter.
Federal Employment Drops After Years of Explosive Growth USA Today (06/01/12) Dennis Cauchon The U.S. Bureau of Labor Statistics reports seven consecutive months of declines in federal employment, with the number of federal workers falling by 11,600 in April 2012 from the same month last year. From the start of the recession in December 2007 through September 2011, private and state and local government employment slipped 5% and 2%, respectively, while federal employment rose 13%. John Palguta, vice president of the Partnership for Public Service, attributes the decline in federal employment to political and financial pressures, noting, “Budget challenges are becoming real.” The U.S. Internal Revenue Service, the U.S. Environmental Protection Agency, and the U.S. Equal Employment Opportunity Commission have reduced their staffs. President Obama’s budget would increase the federal work force slightly, but Republican presidential candidate Mitt Romney says he would slash federal employment by 10%.
Setting Standards Human Resource Executive (05/31/12) Tom Starner The Society for Human Resource Management’s efforts to develop an “investor metric” standard to “help the investment industry determine the value of human capital and report on it easily” is receiving criticism from some in the HR community. The proposed standard calls for companies to disclose almost every corporate cost associated with the hiring, retention, and training of employees and contingent workers, plus detailed information regarding how the company is organized and staffed. Both the American Staffing Association and the HR Policy Association have asked SHRM to drop efforts to create an investor-metric standard. Their opinions were sent by letters during a 45-day comment period—that ended May 24—following the release by SHRM of a first draft of the proposed standard on April 10. Lee Webster, director of HR standards at SHRM, says his organization will continue to work with the other members of a task force of 166 HR practitioners, line managers, academics, and consultants, and review all comments. He also sent a letter to ASA and HR Policy, thanking them for their comments.
Although ASA worked with SHRM to develop Cost-Per-Hire standards approved by the American National Standards Institute (available at americanstaffing.net) earlier this year, a separate SHRM task force drafted the proposed HR metrics for investors (see americanstaffing.net) without ASA involvement. After releasing the proposed standards for public review, SHRM directed ASA to file comments through official channels. ASA submitted a letter May 21, which you can read at americanstaffing.net. ASA will continue to monitor this issue and work with SHRM to ensure that any standards issued by ANSI do not adversely affect the staffing and recruiting industry.
ASA for You
ASA Quarterly Survey Will Report Average Gross Margins by Sector
Curious about which staffing sectors are leading gross margin earnings? Would you like to know how your firm’s gross margins compare with those of other firms in the industry? Participate in the quarterly ASA Staffing Employment and Sales Survey now and receive an exclusive report on the results. There are no fees to participate, and all U.S. staffing firms are invited to complete a survey. For the first time, ASA will be tracking temporary and contract staffing sales and gross margin data by sector. Survey participants are asked to provide data for all of the sectors in which their firms operate. ASA is currently gathering data on temporary and contract staffing sales, payroll, and employment for the first quarter of 2012. Register to take the survey or view a PDF version of the questionnaire at americanstaffing.net. This survey is conducted by ASA research partner Inavero.
Share Your Expertise as a Knowledge Network Moderator
Volunteer to teach—and learn from—your peers as a table moderator for the Knowledge Network at Staffing World ® 2012, Oct. 9-11 in Las Vegas. Staffing World attendees consistently rate the roundtable session one of the most popular educational opportunities at the ASA annual convention. This participant-driven interactive session, which will take place Wednesday, Oct. 10, 2:15–3:30 p.m., involves targeted small group discussions. Knowledge Network moderators introduce the topic, offer appropriate opening comments, encourage group participation, and guide discussions. Moderators must be registered to attend Staffing World 2012. Aug. 1 is the deadline to volunteer to become a Knowledge Network moderator. For more information about the Knowledge Network, visit staffingworld.org or contact ASA at 703-253-2020 or speakers@americanstaffing.net.
Understand Unemployment Insurance Issues
The National UI Issues Conference takes place June 20–22 in Denver. The conference, presented by UWC–Strategic Services on Unemployment and Workers’ Compensation, explores the major unemployment insurance issues that businesses face every day. ASA government affairs counsel Toby Malara will join Lisa Harris, director of accounting for TrueBlue, and Matt Harvill, vice president for unemployment at Kelly Services, to facilitate a workshop on UI issues that staffing firms face. They will focus on best practices in forecasting state unemployment tax costs, and how firms can communicate with, educate, and prepare their clients for rising costs. For more information and to register, visit uwcstrategy.org.
Legal Watch
Discrimination Lawsuits Double as Definition of ‘Disability’ Expands Washington Times (06/01/12) Luke Rosiak Federal records indicate that the number of employment discrimination lawsuits under the Americans With Disabilities Act has nearly doubled in the past five years, and seen a sharp increase in recent months, as the definition of “disability” has expanded. The increase follows changes to the law in 2008, when Congress said that courts had interpreted the definition of “disability” more narrowly than it desired. In the last fiscal year, disability-related complaints lodged with the U.S. Equal Employment Opportunity Commission also increased to their highest level, at 26,000, and payouts to complainants through that process nearly doubled from 2007 to $103 million. That does not include money paid out to those who took their complaints to court. The increase also comes as federal agencies have added more stringent requirements for disability accommodation and offered expanded interpretations of what it means to be disabled. “Employers are facing a barrage of frivolous cases, and each one costs $30-, $40-, $50,000,” says Mike Eastman, executive director of labor policy at the U.S. Chamber of Commerce.
What Is a ’9/80′ Pay Plan? Fisher & Phillips LLP (05/28/12) John E. Thompson In a “9/80″ pay plan, the workweek and nonexempt employee schedule under the federal Fair Labor Standards Act is compressed so that employees work nine days in a two workweek period but not more than 40 hours in either workweek. Generally, nonexempt employees will work four nine-hour days; an eight-hour day divided in half, with the first four hours ending the first workweek at mid-day; and then another four nine-hour days to finish the second workweek. Employers do not have to pay overtime under the FLSA for either workweek if the employee adheres to this schedule, but overtime pay would be due to any nonexempt employee who works more than 40 hours in either workweek. Employers altering the FLSA workweek to implement 9/80 plans would be wise to use a U.S. Department of Labor protocol to determine whether employees are owed FLSA overtime for the pay period in which the changes were made.
FMLA Retaliation Claim Fails Where Employer Believed Claimant Was Abusing Leave SHRM Online (05/24/12) W. Kevin Smith The Sixth U.S. Circuit Court of Appeals recently ruled that where an employer had a good-faith belief that an employee out on leave pursuant to the Family and Medical Leave Act was engaged in disability fraud, the trial court properly dismissed the employee’s retaliation claim. The employee, who worked for the Cincinnati Bell Telephone Co., felt pain and numbness in his leg, and took an extended FMLA leave. While on leave, the employee received disability pay under a Cincinnati Bell policy. After the employee was seen walking separately by several co-workers at a public event, Cincinnati Bell management initiated an investigation into his medical condition. The results of the investigation suggested that the employee’s claims of pain were inconsistent with his actions. Consequently, the employee was suspended and later discharged for overstating his pain level so as to avoid light-duty work, and thus obtain full disability benefits. In response, the employee sued Cincinnati Bell, asserting that his discharge was in retaliation for taking FMLA leave. The district court granted summary judgment to Cincinnati Bell.
Twentysomethings Entering Tight Job Market Lean Toward Unpaid Internships, but Employers Walk a Tightrope in Labor Law Pittsburgh Post-Gazette (06/01/12) Anna Orso A survey by the National Association of Colleges and Employers indicates that internship hires will rise 8.5% from last year, when just under 50% of internships were unpaid. Although more college graduates and current students are willing to accept unpaid internships to obtain experience at a time when the unemployment rate for the 20-24 age segment is about 13%, experts note that some unpaid internships could violate federal law. Under the Fair Labor Standards Act, unpaid internships must be similar to training and benefit interns; cannot displace regular positions, be immediately advantageous to employers, or guarantee job offers; and must involve a mutual assumption by the employer and the intern that the position is unpaid. Much of the dispute over unpaid internships centers on whether employers receive “immediate advantages,” which is interpreted differently by government officials, employers, and attorneys. To ensure compliance, some experts say employers should pay interns the minimum wage, protecting themselves in the event that the work is seen as advantageous to the employer.
Trends and Research
Randstad U.S. Employment Report: Workers Uncertain About Job Market; Index Remains Above 50 PRNewswire (05/31/12) U.S. worker confidence pulled back slightly in May, decreasing 1.1 points to 53.2, according to the latest Randstad U.S. Employee Confidence Index. Across the board, the survey reveals that more employees took a middle of the road stance when it comes to the economy, job market, and their personal employment situation. “Despite the slight decrease seen in our latest report, we shouldn’t disregard the fact that our Index is still indicative of positive confidence levels,” says Joanie Ruge, senior vice president and chief employment analyst for Randstad Holding. “Clearly, what we are seeing in our survey, as well as in other broader economic indicators, is caution being exercised from both an employee and employer perspective. Although this is to be expected given the depth of the recession, the slower pace in U.S. job creation seen over the last few months, and headlines around the European financial crisis, it is important not to lose sight of the fact that the economy is still improving.”
Hiring in Engineering Services Growing Again Wanted Analytics (05/30/12) Abby Lombardi The number of online job ads in the engineering services industry has steadily increased in 2012. During April, more than 38,000 jobs were seen advertised online in the engineering services sector—up 17% compared with April 2011 and more than 57% compared with April 2010. The five metropolitan areas with the highest volume of online job ads within engineering services companies during April were Washington, Houston, New York, San Francisco, and Los Angeles. Washington saw the greatest volume of online job ads by engineering services companies, up 54% compared with the same time period in 2011.
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About ASA
The American Staffing Association is the voice of the U.S. staffing industry. ASA and its affiliated chapters advance the interests of staffing and recruiting firms of all sizes and across all sectors through legal and legislative advocacy, public relations, education, and the promotion of high standards of legal, ethical, and professional practices. ASA members provide the full range of employment and work force services and solutions, including temporary and contract staffing, recruiting and permanent placement, outplacement and outsourcing, training, and human resource consulting.
American Staffing Association
277 South Washington St., Suite 200
Alexandria, VA 22314-3675
703-253-2020
Fax 703-253-2053
asa@americanstaffing.net
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