Posted on October 19, 2017

Law Creates New Procedures Governing Job Application Process

California has enacted a "ban the box" law, effective January 1, 2018. Highlights of the law are presented below.

Prohibited Employer Actions
Employers with 5 or more employees are generally prohibited from:

• Including on any employment application—before the employer makes a conditional offer of employment to the applicant—any question that seeks the disclosure of an applicant's conviction history.
• Inquiring into or considering the applicant's conviction history (including any inquiry about conviction history on any employment application) until after the employer has made the applicant a conditional offer of employment.
• Considering, distributing, or disseminating certain criminal history information (§ 12952(a)(3)) while conducting a conviction history background check in connection with any application for employment.
• Interfering with, restraining, or denying the exercise of (or the attempt to exercise) any right provided under the law.

Note: The law does not prevent an employer from conducting a conviction history background check that satisfies the provisions above.

Procedure when Denying Employment
Employers must follow the procedure below when denying employment:

Individualized assessment. An employer that intends to deny an applicant a position solely (or in part) because of the applicant's conviction history must make an individualized assessment of whether the applicant's conviction history has a direct and adverse relationship with the specific job duties that justify denying the applicant the position. In making this assessment, the employer must consider certain factors (§ 12952(c)(1)(A)).

Note: An employer may (but is not required to) commit the results of this individualized assessment to writing.

Notification. If the employer makes a preliminary decision that the applicant's conviction history disqualifies him or her from employment, the employer must notify the applicant of this preliminary decision in writing. That notification may (but is not required to) justify or explain the employer's reasoning for making the decision. Regardless, the notification must contain certain information (§ 12952(c)(2)).

Applicant's response. The applicant must have at least 5 business days to respond to the notice described above before the employer may make a final decision. If the applicant notifies the employer in writing within the 5 business days that the applicant disputes the accuracy of the conviction history report that was the basis for the preliminary decision to rescind the offer and that the applicant is taking specific steps to obtain evidence supporting that assertion, then the applicant must have 5 additional business days to respond to the notice.

Note: The employer must consider information submitted by the applicant under the paragraph above before making a final decision.

Final decision. If an employer makes a final decision to deny an application solely (or in part) because of the applicant's conviction history, the employer must notify the applicant in writing of certain information (§ 12952(c)(5)), including the right to file a complaint with the state.

Click here for more information, including exceptions.

© 2017 HR 360, Inc.

Posted on October 19, 2017

Some Tax Benefits Increase Slightly, Others Unchanged 

The Internal Revenue Service (IRS) has announced a number of inflation-adjusted tax items for 2018, some of which remain unchanged. Among other items, the annual dollar limit on employee contributions to employer-sponsored health flexible spending arrangements (FSAs) increases to $2,650 (up from $2,600).  

© 2017 HR 360, Inc.

Posted on October 19, 2017

401(k) Contribution Limit Increases to $18,500

The IRS has announced cost-of-living adjustments affecting dollar limitations for pension plans and other retirement-related items for tax year 2018. Highlights include:

• The elective deferral (contribution) limit for employees who participate in 401(k), 403(b), and most 457 plans is increased from $18,000 to $18,500.
  • The catch-up contribution limit for those aged 50 and over remains unchanged at $6,000.  
• The limit on annual contributions to an individual retirement arrangement (IRA) remains unchanged at $5,500.  

The deduction for taxpayers making contributions to a traditional IRA is phased out for singles and heads of household who are covered by a workplace retirement plan and have adjusted gross incomes between $63,000 and $73,000, up from $62,000 to $72,000.

• For married couples filing jointly, in which the spouse who makes the IRA contribution is covered by a workplace retirement plan, the income phase-out range is $101,000 to $121,000, up from $99,000 to $119,000.
• For an IRA contributor who is not covered by a workplace retirement plan and is married to someone who is covered, the deduction is phased out if the couple's income is between $189,000 and $199,000, up from $186,000 to $196,000. 

Click here for more information. 

© 2017 HR 360, Inc.

Posted on October 17, 2017

Law Effective January 1, 2018

California has enacted the New Parent Leave Act. Highlights of the law are presented below.

Coverage
The law generally applies to employers with 20 or more employees.

The law covers employees with more than 12 months of service with their employers, who have at least 1,250 hours of service with their employers during the previous 12-month period, and who work at a worksite that has at least 20 employees within 75 miles.

Parental Leave Rights
Upon request, an employee may take up to 12 weeks of parental leave to bond with a new child within one year of the child's birth, adoption, or foster care placement. The employee is entitled to utilize accrued vacation pay, paid sick time, other accrued paid time off, or other paid or unpaid time off negotiated with the employer, during the period of parental leave.

Note: If the employer does not provide a guarantee of employment in the same or a comparable position upon the leave's termination, the employer is deemed to have refused to allow the leave.

Health Benefits
Employers may not refuse to maintain and pay for coverage under a group health plan for an eligible employee who takes parental leave for the duration of the leave (not to exceed 12 weeks over the course of a 12-month period), starting on the date the leave begins. Employers may not refuse to maintain and pay for such coverage at the level and under the conditions that coverage would have been provided if the employee had continued to work in his or her position for the duration of the leave.

However, an employer may recover the premium that it paid for maintaining coverage if certain conditions (§ d) occur.

The law takes effect January 1, 2018. However, certain changes to the law are effective January 1, 2020. Click here for more information, including the interaction with other state and federal leave laws.

© 2017 HR 360, Inc.

Posted on October 16, 2017

New Law Effective January 1, 2018

California has enacted a law that generally prohibits employers from relying on an applicant's salary history. Further details are presented below.

Salary History Prohibition and Additional Rules
An employer is prohibited from relying on the salary history information of an applicant as a factor in determining whether to offer employment to an applicant or what salary to offer him or her. An employer is also prohibited from—orally or in writing—seeking salary history information (including compensation and benefits) about an applicant.

An employer (upon reasonable request) must provide the pay scale for a position to an applicant applying for employment. The law does not allow prior salary—by itself—to justify any disparity in compensation.

Exceptions
The law does not prohibit an applicant from voluntarily and without prompting disclosing salary history information to a prospective employer. If an applicant does as such, the law does not prohibit that employer from considering or relying on that voluntarily disclosed salary history information in determining the salary for that applicant.

The law is effective January 1, 2018. Click here to read the text of the law.

© 2017 HR 360, Inc.

Posted on October 16, 2017

New Rates Effective January 1, 2018

Florida has announced that the state minimum wage will rise to $8.25 per hour (from $8.10 per hour), effective January 1, 2018.

Also effective January 1, 2018, the state minimum wage will rise to $5.23 per hour for tipped employees who meet the eligibility requirements for the tip credit under the federal Fair Labor Standards Act.

Updated posters reflecting the new rates are available in English, Spanish, and Creole. Click here for more information.

© 2017 HR 360, Inc.

Posted on October 16, 2017

Form Used by Large Food or Beverage Establishments

The IRS recently released its 2017 Form 8027, Employer’s Annual Information Return of Tip Income and Allocated Tips. Form 8027 generally must be filed by employers who operate large food or beverage establishments. A large food or beverage establishment is a food or beverage operation:

• That is located in the 50 states or in the District of Columbia;
• Where tipping of food or beverage employees by customers is customary; and
• Whose employer normally employed more than 10 employees on a typical business day during the preceding calendar year. 

Form 8027 (and Form 8027-T when filing more than one paper Form 8027) must be filed by February 28, 2018. However, if an employer files electronically, the due date is April 2, 2018. Employers required to file 250 or more Forms 8027 must file electronically, although the IRS encourages all filers to do so.

Click here for more information and instructions. 

© 2017 HR 360, Inc.

Posted on October 13, 2017

Increase Effective January 1, 2018

Alaska has announced that the state minimum wage will rise to $9.84 per hour (from $9.80 per hour), effective January 1, 2018.

Tips still do not count toward the minimum wage.

Click here for more information, including rules for certain exempt employees.

© 2017 HR 360, Inc.

Posted on October 12, 2017

Law Effective January 1, 2018

A new law modifies California employers' immigration responsibilities. An outline of the new requirements is presented below.

Notice of Inspection
An employer generally must provide a notice to each current employee of any inspections of federal Forms I-9 or other employment records conducted by an immigration agency within 72 hours of receiving notice of the inspection.

Such notice must contain certain required content and be posted in a certain manner (§ 90.2(a)(1)). On or before July 1, 2018, the state is expected to develop a template posting, which is expected to be available on the Labor Commissioner's website.

Employee Request, Notice of Inspection Results, and Reverification
An employer, upon reasonable request, must provide an affected employee a copy of the Notice of Inspection of Forms I-9.

Furthermore, an employer generally must provide to each current affected employee a copy of the written immigration agency notice that provides the results of the inspection of Forms I-9 or other employment records within 72 hours of its receipt of the notice. Within such time frame, the employer must also provide to each affected employee written notice of the employer's and affected employee's obligations arising from the inspection results. The notice must contain certain information and must be delivered in a certain manner (§ 90.2(b)(1)).

Additionally, employers are generally prohibited from reverifying the employment eligibility of a current employee at a time or in a manner not required by federal law.

Note: The law also generally prohibits employers from providing voluntary consent to an immigration enforcement agent to: enter nonpublic areas of a place of labor, unless the agent provides a judicial warrant; and access, review, or obtain employee records without a subpoena or judicial warrant.

The law is effective on January 1, 2018. Employers with questions as to the law's impact on workplace policies and practices should contact a knowledgeable employment and/or immigration law attorney. Click here to read the text of the law for additional provisions.

© 2017 HR 360, Inc.

Posted on October 12, 2017

New Requirements Begin October 31, 2017

New York City has released a set of FAQs in anticipation of a new local law that prohibits employers from asking about or relying on salary history during the hiring process.

FAQs
The FAQs address (among other things) the general scope of coverage under the law, permissible and prohibited employer conduct, how "compensation" is defined, and best practices. The FAQs are available by clicking here. 

Overview of NYC's Salary History Law
Under the NYC salary history law, employers are generally prohibited from:

• Inquiring about an applicant's salary history; or
• Relying on an applicant's salary history in determining the salary, benefits, or other compensation for such applicant during the hiring process (including the negotiation of a contract).

An employer may—without inquiring about salary history—engage in discussion with the applicant about his or her expectations with respect to salary, benefits, and other compensation.

The local law takes effect on October 31, 2017. Affected employers are advised to review the full text of the local law for exceptions and additional provisions. Fact sheets are also available for employers and applicants.

© 2017 HR 360, Inc.

Posted on October 10, 2017

Additional Forms Expected to Be Released Soon

New York State has released three forms regarding the Paid Family Leave (PFL) law. Links to the new forms are provided below.

Paid Family Leave Forms
The following PFL forms are now available:

• Employer's Application for Voluntary Coverage (No Employee Contribution) (PFL-135)
  • Employers exempt from providing mandatory PFL may provide voluntary PFL by completing PFL-135 (if no employee contribution is required).
• Employer's Application for Voluntary Coverage (Employee Contribution Required) (PFL-136)
  • Employers exempt from providing mandatory PFL may provide voluntary PFL by completing PFL-136 (if they will be requiring an employee contribution).
• Employee Opt-Out of Paid Family Leave Benefits (PFL-Waiver)
  • If an employee does not expect to work long enough to qualify for PFL (e.g., a seasonal worker), the employee may opt out of PFL by completing the Waiver of Benefits form.

The state anticipates additional PFL forms to be released soon. Click here to check for updates.

Background
New York has enacted a Paid Family Leave (PFL) law, to be phased in beginning January 1, 2018, that will apply to employers of all business sizes. When the law is fully phased in over the next several years, employees will be eligible for 12 weeks of paid, job-protected leave when certain life events occur. During any period of family leave, employers are required to maintain any existing health benefits of eligible employees in force for the duration of such leave. Click here for additional details.

© 2017 HR 360, Inc.

Posted on October 10, 2017

New Rates Effective January 1, 2018

California has released the 2018 overtime exemption rates for certain computer software employees and certain licensed physicians and surgeons.  

Exemption Rates
Effective January 1, 2018, an exemption from state overtime requirements applies to certain computer software employees whose compensation is at least $43.58 per hour, or, if paid on a salaried basis, at least $90,790.07 annually for full-time employment paid at least $7,565.85 a month. Also beginning January 1, 2018, certain licensed physicians and surgeons whose compensation is at least $79.39 per hour are exempt from state overtime requirements.

Background
The California Labor Code (Sections 515.5 and 515.6) provides that certain computer software employees and certain licensed physicians and surgeons are exempt from state overtime requirements in Labor Code Section 510 if certain criteria are met. One of the criteria is that the employees' rates of pay meet or exceed the rates specified by the state. Each year these rates are adjusted for inflation.

Employers may review the announcements concerning computer software employees and licensed physicians and surgeons for more information.

© 2017 HR 360, Inc.

Posted on October 10, 2017

Premium Processing Available for all Types of H-1B Petitions

U.S. Citizenship and Immigration Services (USCIS) has resumed premium processing for all H-1B visa extension of stay petitions. Premium processing is now available for all types of H-1B petitions.

Background
H-1B visas provide skilled workers for specialty occupations, including information technology, engineering, and mathematics. When a petitioner requests the agency's premium processing service, USCIS guarantees a 15-calendar-day processing time. If that time is not met, the agency will refund the petitioner's premium processing service fee and continue with expedited processing of the application. 

Click here more information from USCIS.

© 2017 HR 360, Inc.

Posted on October 10, 2017

New Health Care Expenditure Rates Effective January 1, 2018

The San Francisco Office of Labor Standards Enforcement (OLSE) has released the 2018 health care expenditure rates and final rules for the Health Care Security Ordinance (HCSO).

New Rates
Beginning January 1, 2018, the health care expenditure rate will be $2.83 per hour for large businesses (100 or more employees total) and $1.89 per hour for medium-sized businesses (20-99 employees total).

Final Rules
The OLSE has also released a set of final rules, which aim to implement the HCSO's employer spending requirement. Among other things, the final rules address covered employees and employers; calculating and making health care expenditures; health care surcharges; additional employer responsibilities; and enforcement procedures. Affected employers are advised to read the final rules in their entirety. The rules take effect on October 29, 2017.

Background
Under the HCSO, covered employers must meet certain obligations, including (among other things) satisfying the employer spending requirement by making required health care expenditures on behalf of covered employees.

Click here for the latest news on San Francisco's HCSO.

© 2017 HR 360, Inc.

Posted on October 10, 2017

If Finalized, New Rules Would Apply to Disability Claims Filed After April 1, 2018

The U.S. Department of Labor (DOL) has proposed a 90-day delay of the applicability of a final rule requiring employee benefit plans offering disability benefits to provide additional procedural protections for disability benefit claims. If the proposal is finalized, the new disability benefit claims procedures would become applicable to claims for disability benefits that are filed after April 1, 2018.

Extending the applicability date past the scheduled applicability date of January 1, 2018 would allow the DOL to complete a public solicitation process and examine regulatory alternatives other than those adopted in the final rule. Upon completion of this public solicitation process and review, the DOL contemplates a number of outcomes, including:

• Deciding to allow all or part of the final rule to take effect as written;
• Proposing a further extension;
• Withdrawing the final rule; or
• Proposing amendments to the final rule.

A summary of the final rule can be found by clicking here. The full text of the proposal can be found by clicking here. Stay tuned as we bring you more on this issue.

© 2017 HR 360, Inc.

Posted on October 04, 2017

New Requirements Begin October 31, 2017

New York City has released a set of fact sheets in anticipation of a new local law that prohibits employers from asking about or relying on salary history during the hiring process.

Fact Sheets
The City has released a fact sheet for employers and another for job applicants. The fact sheets present key points from the law, including business coverage, protected applicants, prohibited employer conduct, permitted employer conduct, and consequences for violating the law.

Both fact sheets may be downloaded by clicking here.

Summary of NYC Salary History Law
Under the NYC salary history law, it is generally an unlawful discriminatory practice for an employer:

• To inquire about an applicant's salary history; or
• To rely on an applicant's salary history in determining the salary, benefits, or other compensation for such applicant during the hiring process (including the negotiation of a contract).

An employer may—without inquiring about salary history—engage in discussion with the applicant about his or her expectations with respect to salary, benefits, and other compensation.

The local law takes effect on October 31, 2017. Affected employers are advised to review the full text of the local law for exceptions and additional provisions.

© 2017 HR 360, Inc.

Posted on October 03, 2017

New Rate Effective January 1, 2018

The state of Montana has announced that the state minimum wage will increase to $8.30 per hour (from $8.15 per hour), effective January 1, 2018.

For a list of employees who are exempt from the provisions of the Montana minimum wage law, please click here. (Note that the federal Fair Labor Standards Act also contains certain exemptions from the minimum wage that may apply to some workers. When an employee is subject to both the federal and state wage laws, the employee is entitled to the provisions of each law which provide the greater benefits.)

A poster containing the adjusted rate is now available. Information relating to the Montana minimum wage can be found by clicking here.

To review other laws specific to Montana, visit the State Laws section, click on Montana, and choose your topic of interest from the left-hand navigation menu.

© 2017 HR 360, Inc.

Posted on October 03, 2017

Special Enrollment Period Available Through 2017

As a result of Hurricanes Harvey, Irma, and Maria, the Centers for Medicare & Medicaid Services (CMS) will make available a special enrollment period for all Medicare beneficiaries to enroll, dis-enroll, or switch Medicare health or prescription drug plans. In general, this special enrollment period is available to residents of Florida, Georgia, Louisiana, South Carolina, and Texas.

The special enrollment period runs through the end of 2017, and is in addition to the Medicare annual open enrollment period and any other enrollment period for which an individual may be eligible.

Additional details on the special enrollment period can be found here.

© 2017 HR 360, Inc.

Posted on October 03, 2017

Tipped Minimum Wage Rises to $4.15 Per Hour

Ohio's minimum wage is scheduled to increase on January 1, 2018 to $8.30 per hour for non-tipped employees and $4.15 per hour for tipped employees. The minimum wage will apply to employees of businesses with annual gross receipts of more than $305,000 per year.

For employees at smaller companies with annual gross receipts of $305,000 or less per year after January 1, 2018, and for 14- and 15-year-olds, the state minimum wage is $7.25 per hour. For these employees, the state wage is tied to the federal minimum wage of $7.25 per hour, which requires an act of Congress and the President's signature to change.

An updated poster reflecting the new rates is now available. Click here for more information.

© 2017 HR 360, Inc.

Posted on October 03, 2017

New Rate Effective January 1, 2018

The New Jersey Department of Labor and Workforce Development has announced that the minimum wage in New Jersey will rise to $8.60 per hour (from $8.44 per hour), effective January 1, 2018.

An updated poster reflecting the new rate is now available. Click here for more information.

© 2017 HR 360, Inc.