Employment & Labor Law

FMLA Pitfalls

Decades after its initial passage, the Family Medical Leave Act (FMLA) continues to be one of the most difficult employment laws for employers to manage in the workplace. The law is complex and often disruptive to business operations. However, it gives employees a substantial number of benefits and protections, regardless of the impact on the employer. Here are three of the most common pitfalls facing employers:

Are You Following Your Fiduciary Duties?

Retirement plans should be a benefit to you, your employees and your company as a whole. By following ERISA, the Internal Revenue Code and especially the fiduciary duties, your retirement plan can be more of a benefit than a burden. Although the underlying law is 30 years old, changes occur regularly. Here is a look at five issues that can be troublesome, but need not be, with a little attention.

Avoiding Recruitment Pitfalls

Recruitment is in full swing in the state of Michigan. According to the Michigan Department of Technology, Management & Budget, the national jobless rate is at 4.9%. The rates are even lower in Michigan at 4.5%, as of July 2016. With a tight job market and steep competition by other employers, the potential of making a bad hire increases. A bad hire can cost your company in a lot of ways: lost productivity, missed development opportunities, negative client service, low employee morale and accumulated costs for hiring and training. Every person is not cut out for every job.

Rules & Regulations for Paying Salaried Employees

Paying members of your small-business workforce as salaried employees may be easy for you and empowering for them, but in doing so, you must comply with the rules and regulations of the labor laws. The Fair Labor Standards Act guidelines do not apply to salary basis employees who are exempt. If your business classifies any of its employees as salaried nonexempt, the FLSA covers them as it would any other nonexempt employees.

How Much Does An Employee Cost?

Employment costs fall into several broad categories:

Recruiting Expenses

Finding technically qualified people who can function effectively in a rapidly growing startup venture is not easy task.  In an earlier column we discussed the economic alternatives for head hunting.  For this column it suffices for me to remind you to be sure to devote the time to make sure that your hires are as close to perfect “10s” as possible.  Anything less will be a drag on your business.

Basic Salary