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ASA Warns Members of Possible Payrolling Scam

ASA has been made aware of an alleged fraudulent payrolling scam being perpetrated on staffing firms with offices in New York and Georgia, and possibly throughout the country.

The alleged scam operates as follows: An individual claiming to be the owner of an enterprise contacts a staffing firm to payroll employees while the enterprise sets up a new office in a nearby city. The enterprise provides fictitious employee information and falsified time cards to the staffing firm, and the staffing firm pays wages to these employees. When it is time for the staffing company to collect payment for services rendered, the business offers new addresses to which invoices should be sent and then stops responding to communications, leaving the staffing firm with payroll paid over several weeks and no way to collect.

Two companies that have been identified as perpetrating the alleged scam are Black Mountain Holdings and A&G Transportation Inc. The Federal Bureau of Investigation and state authorities have reportedly been made aware of the alleged fraud.

Before taking on new payrolling clients, staffing firms are urged to independently verify that any such client is legitimate and has adequate assets or funding to satisfy its debts.

On Assignment Reports Results for Fourth Quarter 2012

On Assignment Inc. News Release (02/14/13)

On Assignment Inc. reported revenues of $401.7 million for the fourth quarter of 2012, up 148% from the fourth quarter of 2011 (up 20% on an organic basis). Revenues were $380.4 million excluding its nurse travel division, which was sold Feb. 12 for $31 million. Its fourth-quarter revenues totaled $40.3 million for life sciences, $37.3 million for allied health care, and $26.1 million for physician staffing. The company’s net income rose to $11.3 million in the fourth quarter of 2012 from $7.5 million in the fourth quarter of 2011.

On Assignment president and chief executive officer Peter Dameris said, “We believe that we are well positioned to continue to take advantage of what we believe will be historic secular and cyclical growth for the entire staffing industry over the next three to five years.”

Economists Disagree on Whether the Minimum Wage Kills Jobs. Why?

Washington Post (02/14/13) Brad Plumer

A new paper by John Schmitt of the Center for Economic and Policy Research explores the possible responses to an increase in the minimum wage and how it does not have to put a damper on hiring. A hike in the minimum wage could prompt employers to cut benefits, hours, or training, or even delay raises or bonuses for higher-paid workers. Companies also could raise prices, simply make due with fewer profits, or push existing staff to be more productive. A minimum wage increase also could prompt workers to voluntarily work harder, and it could save companies money by reducing employee turnover.

Additional Hotel Reserved for Staffing Law Conference Attendees

The host hotel for the ASA Staffing Law Conference has sold out, but ASA has secured an additional block of rooms at the Embassy Suites—just two blocks away from the conference location. Make your reservation now, and find out all the latest news about the 2013 ASA Staffing Law Conference, May 7–8 in Washington, DC. It’s the only program dedicated to the legal and regulatory issues facing staffing firms.

Free ASAPro Webinar Tuesday—Learn Behavioral-Based Interviewing

Behavioral-based interviewing allows you to evaluate candidates’ skills, talents, and their ability to fit within a client’s culture and work environment. Learn how to identify talent before the competition does during the ASAPro webinar “The Art of Behavioral-Based Interviewing,” Tuesday, Feb. 19, 3–4 p.m. Eastern time.

This webinar is free for ASA members and qualifies for continuing education hours toward ASA certification renewal. Register online at americanstaffing.net.

California Legislature Departs From Federal Law to Require Employers to Provide Even Truly Burdensome Accommodations for Religious ObservancesM

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