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Top 10
Employment Law Challenges
of 2017
2017 Will Bring Significant
Changes in the Workplace
New Federal
Administration
oTrump White
House
oRepublican
House & Sen...
Criminal penalties
Administrative actions
Litigation
Costs of Noncompliance
Harm to business reputation and public image
C...
XpertHR Survey: Most
Challenging HR
Compliance Issues of
2017
o Surveyed nearly 1,200 HR professionals in
November 2016 on...
Compliance Challenge: Election1
Historic election
There is now a great deal of
uncertainty with incoming Trump
administrat...
Compliance Challenge: Election1
What Is at Stake?
o The Supreme Court and its effect on employment cases
o The National La...
Compliance Challenge: Election1
Minimum wage
(Arizona, Colorado, Maine
and Washington)
Recreational
marijuana
(California,...
Compliance Challenge: Election1
What an Employer Should Do
o Comply with the laws that are on the books, at least until th...
Compliance Challenge: Workforce Planning2
21st Century Workforce Trends Impact Recruiting, Hiring and Ret
Gig economy
Alte...
Compliance Challenge: Workforce Planning2
XpertHR Survey
of respondents said they were
extremely or very challenged in
fin...
Compliance Challenge: Workforce Planning2
What an Employer Should Do
o HR should play an active role in shaping the evolvi...
Compliance Challenge: Mandated Employee Leave
Protections
3
Following the rapid rise of leave
laws
Managing complex
interr...
Compliance Challenge: Mandated Employee Leave
Protections
3
XpertHR Survey
28%
of employers find
administrative burden of
...
Compliance Challenge: Mandated Employee Leave
Protections
3
What an Employer Should Do
o Determine which leave laws apply ...
Compliance Challenge: Threat of a Cyber Breach4
Rapid pace of technological
developments, omnipresent internet
and mobile ...
Compliance Challenge: Threat of a Cyber Breach4
XpertHR Survey
32%
of respondents stated that they
found preventing cyber ...
Compliance Challenge: Threat of a Cyber Breach4
What an Employer Should Do
o Safeguard confidential information and minimi...
Compliance Challenge: Threat of a Cyber Breach4
What an Employer Should Do (Continued)
o Utilize nondisclosure agreements
...
Compliance Challenge: Benefits and the ACA5
ACA (The Affordable Care Act)
Reporting deadlines, penalties
Challenging issue...
Compliance Challenge: Benefits and the ACA5
XpertHR Survey
of respondents stated that ACA
reporting requirements were very...
Compliance Challenge: Benefits and the ACA5
Benefit Programs
Pros
Helps attract and retain employees,
increases employee e...
27%
extremely challenged or very
challenged by offering different
benefits to different groups of
employees
challenged by ...
Compliance Challenge: Benefits and the ACA5
What an Employer Should Do
o Complete the proper forms accurately and
in a tim...
Compliance Challenge: Evolving Workforce6
New Ways of Working
Telecommuting
Job sharing and
flexibility
Flex time
On-deman...
Ability to employ workers from diverse
geographic areas
Compliance Challenge: Evolving Workforce6
Pros
Flexibility for wor...
Compliance Challenge: Evolving Workforce6
Challenges
Application of federal, state and local
laws regarding discrimination...
Compliance Challenge: Evolving Workforce6
XpertHR Survey
50%
extremely challenged when it comes
to remote workers and tele...
Compliance Challenge: Evolving Workforce6
What an Employer Should Do
o Establish policies regarding telecommuting/remote w...
Compliance Challenge: Equal Pay7
Focus of Federal and State Law
Equal Employment Opportunity Commission (EEOC) Strategic
E...
7 Compliance Challenge: Equal Pay
XpertHR Survey
Say changes to the EEO-1 Report
(to include information on
compensation a...
o Review pay practices, job descriptions, salaries, benefits and bonuses to make sure that the employer is
not discriminat...
o Train managers and those with hiring or supervisory responsibilities on parameters
o Document all decisions regarding hi...
Compliance Challenge: Employee Handbooks8
Pros
Communication tool between
employer and employees
Guides managers and super...
8
XpertHR Survey
Compliance Challenge: Employee Handbooks
of respondents are extremely or very
challenged by keeping emplo...
8
What an Employer Should Do
o Remain compliant with latest federal, state and local laws and the interplay between those ...
8
What an Employer Should Do (Continued)
Compliance Challenge: Employee Handbooks
o Make the employee handbook and its pol...
Compliance Challenge: Overtime Changes9
Revised Overtime Rules
New overtime rules scheduled to take effect on December 1, ...
9
XpertHR Survey
One in three of respondents stated
that the revised overtime rules were
going to be extremely or very
cha...
9
What an Employer Should Do
Compliance Challenge: Overtime Changes
If rules go forward
o Proceed with the changes regardi...
10 Compliance Challenge: Diversity in an Increasingly Global
World
Pros of a Diverse Workforce
Increasingly global world
B...
10 Compliance Challenge: Diversity in an Increasingly Global
World
XpertHR Survey
found aligning diversity and
inclusion e...
o HR should be proactive and incorporate diversity into the employer’s organization create an inclusive
workplace with tra...
o Develop and enforce policies and practices encouraging diversity and tolerance
o Prohibit discrimination and harassment
...
Final Thoughts
o Prepare for challenges
o Review and revise workplace policies and
practices
o Ensure workplace policies a...
Free Annual Report: Top 10
HR Compliance Issues of 2017
Each new year brings new challenges to the workplace.
Are you prep...
XpertHR: A Trusted Resource
SOURCE
is a critical part of the HRfunction—and one that can divert you from the ability
re st...
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Top 10 Employment Law Trends of 2017

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Each new year brings new challenges that HR professionals and employers need to watch out for. With laws and trends changing at a constant rate it can be quite easy to fall behind. This year we surveyed nearly 1,200 HR professionals ranging from all job levels and company sizes and came up with this top 10 list. Some key challenges include: Trump Administration uncertainty, the overtime rule injunction, equal pay, managing the rise of the gig economy and more. Be sure to stay ahead of the game by taking a glance at this SlideShare to learn more of what’s to come in the near future filled with guidance and resources from our experts.

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Top 10 Employment Law Trends of 2017

  1. 1. Top 10 Employment Law Challenges of 2017
  2. 2. 2017 Will Bring Significant Changes in the Workplace New Federal Administration oTrump White House oRepublican House & Senate 1 2 Federal Agency Actions/ State & Municipal Laws Aimed at expanding employee rights
  3. 3. Criminal penalties Administrative actions Litigation Costs of Noncompliance Harm to business reputation and public image Civil fines Each new year brings changes in the workplace and the legal landscape that keep employers on their toes. Failure to comply could make an employer susceptible to:
  4. 4. XpertHR Survey: Most Challenging HR Compliance Issues of 2017 o Surveyed nearly 1,200 HR professionals in November 2016 on their views of compliance challenges in 2017 o Responses came from small, medium and large employers, a wide variety of industries, spanning all geographic areas of the country Job Level Breakdown: Company Size Breakdown: 6% 7% 27% 35% 16% 2% 4% 3% CEO, C-Level, EVP SVP, VP, GM Director Manager, Supervisor Administrator, Analyst, Specialist, Coordinator Business Owner Other Junior/Entry-Level 49% 21% 19% 11% 1 - 249 250 - 999 1,000 - 9,999 10,000+
  5. 5. Compliance Challenge: Election1 Historic election There is now a great deal of uncertainty with incoming Trump administration and Republicans now in control of both the House and the Senate. Obama’s initiatives Many employers are wondering what will happen to Obama’s pro-employee initiatives
  6. 6. Compliance Challenge: Election1 What Is at Stake? o The Supreme Court and its effect on employment cases o The National Labor Relations Board's (NLRB's) appointees and issues which include expanded workplace rights, protected concerted activity, independent contractors, temporary workers and joint-employer doctrine o Obama-backed employment initiatives such as: the revised overtime regulation; the Equal Employment Opportunity Commission's (EEOC's) revised EEO-1 Report that will collect data on compensation and hours worked, plus the EEOC's focus on expanding protections based on gender identity and sexual orientation; increased penalties and reporting requirements under the Occupational Safety and Health Administration (OSHA); paid sick leave for federal contractors and immigration measures. o Congressional measures backed by Democrats related to fair pay, reasonable accommodations for pregnant women and paid sick leave o Cyber security and data privacy o Federal regulations on businesses and the return to states’ rights
  7. 7. Compliance Challenge: Election1 Minimum wage (Arizona, Colorado, Maine and Washington) Recreational marijuana (California, Massachusetts and Nevada) Medical marijuana (Arkansas, Florida, Maine and North Dakota) Paid sick leave (Arizona and Washington) State and Local Legal Changes
  8. 8. Compliance Challenge: Election1 What an Employer Should Do o Comply with the laws that are on the books, at least until they are changed o Monitor developments closely o Maintain adequate records and documentation regarding employees and employment actions
  9. 9. Compliance Challenge: Workforce Planning2 21st Century Workforce Trends Impact Recruiting, Hiring and Ret Gig economy Alternative work arrangements Aging workforce Search for talent/finding high quality applicants Changing societal demographics Global marketplace
  10. 10. Compliance Challenge: Workforce Planning2 XpertHR Survey of respondents said they were extremely or very challenged in finding high quality applicants were extremely or very challenged by employee engagement and satisfaction were extremely or very challenged by employee retention found aligning talent retention strategy with business objectives to be extremely or very challenging 55% 45% 43% felt extremely or very challenged by screening candidates (i.e., Ban the Box, FCRA/credit checks) found aligning talent acquisition strategy with business objectives to be extremely or very challenging 21% 37% 38%
  11. 11. Compliance Challenge: Workforce Planning2 What an Employer Should Do o HR should play an active role in shaping the evolving workforce o Align HR objectives with business objectives o Investing in talent - greater return on investment/improves economic performance o Bring creative solutions to business challenges o Strengthen corporate brand and reputation o Follow trends in technology, industry and diversity o Provide mentoring and leadership to employees
  12. 12. Compliance Challenge: Mandated Employee Leave Protections 3 Following the rapid rise of leave laws Managing complex interrelationships The following are examples of potential interplays between varying leave laws: o Injured employee - FMLA, ADA and workers' compensation o Sick employee - State and local paid sick leave laws and the ADA o Pregnant employee/new parent - FMLA, state family leave laws, paid family leave insurance o Military employee – USERRA, ADA- family military leave- state military leave laws Federal - FMLA, ADA, USERRA* Federal Guidance from EEOC State and local level – paid sick leave, military leave, domestic violence leave, bereavement leave * FMLA - Family and Medical Leave | ADA - Americans with Disabilities Leave | USERRA - Uniformed Services Employment and Reemployment Rights Act
  13. 13. Compliance Challenge: Mandated Employee Leave Protections 3 XpertHR Survey 28% of employers find administrative burden of managing leaves extremely or very challenging found determining what federal, state and local leave law provisions apply to specific employee situations to be extremely or very challenging 34% of employers find tracking and complying with rapidly changing leave laws across states to be extremely or very challenging while 28% find tracking and complying with rapidly changing leave laws across municipalities to be extremely or very challenging of respondents to indicate that determining overall business strategy for employee leave benefits and compliance is extremely or very challenging 28% 28%
  14. 14. Compliance Challenge: Mandated Employee Leave Protections 3 What an Employer Should Do o Determine which leave laws apply to each workplace o Revise policies and procedures, employee handbooks and workplace notices to properly advise employees of their rights under leave laws o Review all paid time off, vacation or other paid leave policies and reasonable accommodation policies to determine if other policies may need to be created o Train supervisors on leave laws and how to handle leave requests o Understand how different leave related laws intersect
  15. 15. Compliance Challenge: Threat of a Cyber Breach4 Rapid pace of technological developments, omnipresent internet and mobile devices o Significant impact on the workplace in terms of mobility, communication, productivity and efficiency o Risks with regard to safety and security - can lead to data breaches and loss of confidential information or damage an employer’s reputation Minimize risk HR needs to take steps to minimize risk of cyber breaches and to protect digitally-maintained confidential information, such as trade secrets
  16. 16. Compliance Challenge: Threat of a Cyber Breach4 XpertHR Survey 32% of respondents stated that they found preventing cyber breaches to be extremely or very challenging of respondents noted that managing mobile devices and wearable technology is extremely or very challenging 44%
  17. 17. Compliance Challenge: Threat of a Cyber Breach4 What an Employer Should Do o Safeguard confidential information and minimize the risk of a cyber breach o Critically assess, audit and properly safeguard the confidential information belonging to: • Employers (i.e., trade secrets and confidential and proprietary information) • Employees (i.e., credit reports, social security numbers and driver's license information, health and medical records) • Customers (i.e., credit card data and purchasing records) o Make sure employer’s confidential information is secure through the use of encryptions and firewalls o Develop, implement and enforce policies to minimize risk • Confidentiality policies • Privacy policies • Mobile device policies • Policies regarding social media and internet use
  18. 18. Compliance Challenge: Threat of a Cyber Breach4 What an Employer Should Do (Continued) o Utilize nondisclosure agreements o Train employees and supervisors o Screen potential employees for dishonest or fraudulent conduct o Conduct exit interviews o Make sure all equipment and technological devices are returned o Terminate access to private and confidential information
  19. 19. Compliance Challenge: Benefits and the ACA5 ACA (The Affordable Care Act) Reporting deadlines, penalties Challenging issues around complicated relationships such as independent contractors, gig economy and joint employers The annual health care reporting requirements Failure to comply with deadlines face penalties and costs On-demand or gig economy with large number of independent contractors and temporary employees Joint-employer doctrine and determining which entity controls the employee is a further complication
  20. 20. Compliance Challenge: Benefits and the ACA5 XpertHR Survey of respondents stated that ACA reporting requirements were very or extremely challenging 38% of respondents ranked this as their first, second or third highest concern for 2017 on a scale of 1-10 30% were concerned about the ACA in general and rated it extremely or very challenging 36%
  21. 21. Compliance Challenge: Benefits and the ACA5 Benefit Programs Pros Helps attract and retain employees, increases employee engagement and provides an employer with a significant competitive advantage Cons Rising healthcare costs require creative strategies and evolving offerings
  22. 22. 27% extremely challenged or very challenged by offering different benefits to different groups of employees challenged by aligning benefits offerings with business objectives 21% Compliance Challenge: Benefits and the ACA5 XpertHR Survey
  23. 23. Compliance Challenge: Benefits and the ACA5 What an Employer Should Do o Complete the proper forms accurately and in a timely manner o With regard to independent contractors, gig workers, or in a joint-employer situation, an employer should carefully assess each worker and the employment relationship, and evaluate who has the right to control and direct the individual’s work as well as how, where and when the work is performed o Offer creative options such as tuition reimbursement, flexible work time, commuting benefits, gym membership, dental and vision insurance o Manage needs of different cohorts with different generations in the workforce - reject cookie cutter approach o Consider supplemental and voluntary options, personalization and customization o Understand increased use of technology and mobile applications o Make sure that any wellness programs comply with the EEOC’s rules under the Genetic Information Nondiscrimination Act (GINA) and the Americans with Disabilities Act (ADA) effective January 1, 2017 ACA Employee Benefits
  24. 24. Compliance Challenge: Evolving Workforce6 New Ways of Working Telecommuting Job sharing and flexibility Flex time On-demand or gig economy – independent contractors / freelancers / temporary / contingent workers
  25. 25. Ability to employ workers from diverse geographic areas Compliance Challenge: Evolving Workforce6 Pros Flexibility for workers, savings on commuting and childcare
  26. 26. Compliance Challenge: Evolving Workforce6 Challenges Application of federal, state and local laws regarding discrimination and harassment protections Managing and classifying employees for wages and overtime protections National Labor Relations Board (NLRB) bargaining rights
  27. 27. Compliance Challenge: Evolving Workforce6 XpertHR Survey 50% extremely challenged when it comes to remote workers and telecommuting or alternative work arrangements such as job sharing and flex time of employers selected the evolving workforce as one of their top concerns 20%
  28. 28. Compliance Challenge: Evolving Workforce6 What an Employer Should Do o Establish policies regarding telecommuting/remote workers to meet deadlines, maintain accountability o Maintain policies requiring employees to track time and avoid working unauthorized overtime o Properly classify workers o Evaluate working relationships and make sure they are legally compliant
  29. 29. Compliance Challenge: Equal Pay7 Focus of Federal and State Law Equal Employment Opportunity Commission (EEOC) Strategic Enforcement Plan Sets forth equal pay as an enforcement priority EEOC Revised EEO-1 Report will collect information on compensation and hours worked State laws Expanding reach of state and municipal leave laws. Some amended laws prohibit employers from banning salary discussions, or prohibit employers from requesting salary information
  30. 30. 7 Compliance Challenge: Equal Pay XpertHR Survey Say changes to the EEO-1 Report (to include information on compensation and hours worked) will be extremely or very challenging 25% one in four believe that equal pay and wage transparency is extremely or very challenging 25% More than one in three respondents ranked pay issues in their first, second or third workplace challenge in a scale of 1-10 33%
  31. 31. o Review pay practices, job descriptions, salaries, benefits and bonuses to make sure that the employer is not discriminating based on sex, race, national origin or any other protected class o Make sure wage differentials are based on legitimate and nondiscriminatory factors — such as education, training or experience — and supported by written documentation, or they should be corrected o Maintain EEO policy prohibiting wage discrimination o Institute internal multichannel complaint procedure allowing an employer to investigate claims of discrimination o Create clear guidelines for compensation, including salary increases and bonuses based on predictable, objective and nondiscriminatory factors such as merit, productivity, performance, sales or some combination of factors should be established 7 Compliance Challenge: Equal Pay What an Employer Should Do
  32. 32. o Train managers and those with hiring or supervisory responsibilities on parameters o Document all decisions regarding hiring pay, performance and promotion o Implement recordkeeping policies and procedures o Keep record of wages, job classifications, pay performance, promotion and other terms and conditions of employment o Avoid limiting employee discussions of wages 7 Compliance Challenge: Equal Pay What an Employer Should Do (Continued)
  33. 33. Compliance Challenge: Employee Handbooks8 Pros Communication tool between employer and employees Guides managers and supervisors on how to handle frequently encountered issues Sets forth standards for employee behavior, workplace conduct and performance expectations Incorporates and communicates an employer’s goals and mission Prevents and defends against lawsuits
  34. 34. 8 XpertHR Survey Compliance Challenge: Employee Handbooks of respondents are extremely or very challenged by keeping employee handbooks current with new laws and trends find it extremely or very challenging to ensure handbooks are read and used actively by employees are extremely or very challenged by having employee handbooks align with their business objectives are extremely or very challenged by incorporating municipal requirements into employee handbooks 40% 42% 21% of respondents feel extremely or very challenged by the NLRB invalidating employer policies are extremely or very challenged by multistate handbook variations 21% 22% 26%
  35. 35. 8 What an Employer Should Do o Remain compliant with latest federal, state and local laws and the interplay between those laws o Monitor legal developments in areas such as EEO, leave, safety and accommodations that change rapidly o If employer operates in multiple jurisdictions, consider adopting broad workplace policies encompassing federal, state and municipal requirements or use addenda o Draft policies in a narrow and unambiguous manner so they do not infringe upon the employee right to engage in protected concerted activity o Be particularly cautious about policies addressing social media, contact with the press, confidentiality, investigations and employee communications Compliance Challenge: Employee Handbooks
  36. 36. 8 What an Employer Should Do (Continued) Compliance Challenge: Employee Handbooks o Make the employee handbook and its policies easily accessible, readable, relevant and interesting o Use hypotheticals, practical examples, anecdotes and narratives as well as colors, visuals and graphics o Train all employees and supervisors on handbook provisions o Require employees and supervisors to acknowledge receipt and review
  37. 37. Compliance Challenge: Overtime Changes9 Revised Overtime Rules New overtime rules scheduled to take effect on December 1, 2016 would have made salaried workers earning up to $47,476 per year or $913 per week eligible for overtime pay. On November 22, 2016, the US District Court for the Eastern District of Texas issued a preliminary injunction preventing the DOL from implementing and enforcing the new overtime rule. The DOL may appeal the injunction, but for the time being, the overtime rule will not be implemented or enforced.
  38. 38. 9 XpertHR Survey One in three of respondents stated that the revised overtime rules were going to be extremely or very challenging 33% One in five of respondents anticipated that properly classifying and managing newly nonexempt employees under the revised overtime rules would have been extremely or very challenging 20% More than four in ten of respondents revealed that preventing nonexempt employees from working off hours, such as checking emails, would have been extremely or very challenging 40% Compliance Challenge: Overtime Changes
  39. 39. 9 What an Employer Should Do Compliance Challenge: Overtime Changes If rules go forward o Proceed with the changes regarding reclassification of workers o Revise employee handbook and internal policies and practices on time-keeping, meal and rest breaks, working off the clock, overtime, and telecommuting o Closely monitor any overtime worked to avoid liability o Communicate changes to employees and supervisors o Provide proper training If employers had not changed pay practices o Maintain their current pay practices and should wait and see what happens in the courts o Track employee hours Employers that increased, or planned to increase, salaries o May rescind raises but this could lead to morale and communication issues o Make up difference with bonus o Focus on minimizing negative feelings and providing continued incentive 1 2 3
  40. 40. 10 Compliance Challenge: Diversity in an Increasingly Global World Pros of a Diverse Workforce Increasingly global world Better brand reputation and customer relations Compliance perspective – EEO laws Higher productivity and efficiency Numerous business and cultural benefits Improvements to the bottom line
  41. 41. 10 Compliance Challenge: Diversity in an Increasingly Global World XpertHR Survey found aligning diversity and inclusion efforts with business strategy is extremely or very challenging 20% found building and maintaining a diverse workforce to be extremely or very challenging 20% of respondents feel extremely challenged or very challenged when it comes to managing different generations in the workplace 26%
  42. 42. o HR should be proactive and incorporate diversity into the employer’s organization create an inclusive workplace with training and policies to support o Align diversity with business goals and corporate strategies o Obtain buy-in of key stakeholders and those in upper management o Understand benefits diversity bring to the organization o Look beyond geographic pool when hiring, and reach out to a wide variety of candidates o Maintain neutral job advertisements o Focus on an individual’s education, skills and experience 10 Compliance Challenge: Diversity in an Increasingly Global World What an Employer Should Do
  43. 43. o Develop and enforce policies and practices encouraging diversity and tolerance o Prohibit discrimination and harassment o Provide reasonable accommodations o Provide training to supervisors and employees o Consider utilizing employee resource groups or affinity groups for those who share common traits or characteristics (i.e., working mothers, LGBT individuals, veterans, Hispanics and individuals with disabilities) as valuable tools to promote diversity 10 Compliance Challenge: Diversity in an Increasingly Global World What an Employer Should Do (Continued)
  44. 44. Final Thoughts o Prepare for challenges o Review and revise workplace policies and practices o Ensure workplace policies and practices are legally compliant o Be proactive and prepared to respond to changes in a meaningful way o Remain transparent with employees regarding any changes to workplace polices and practices
  45. 45. Free Annual Report: Top 10 HR Compliance Issues of 2017 Each new year brings new challenges to the workplace. Are you prepared? Get practical tips and expert guidance on how to respond and ensure legal compliance with 2017's top HR challenges and emerging trends. GET THE GUIDE
  46. 46. XpertHR: A Trusted Resource SOURCE is a critical part of the HRfunction—and one that can divert you from the ability re strategic role in your organization. We’re here to help! e from flexible solutions and a range of subscription options to best meet your needs. er you’re focused on international, national, state or local issues, we have the answers. our entire team immediate access to the information and resources they need. Compliance is a critical part of the HR function — and one that can divert you from the ability to play a more strategic role in your organization. We’re here to help! o Choose from flexible solutions and a range of subscription options to best meet your needs. o Whether you’re focused on international, national, state or local issues, we have the answers. o Give your entire team immediate access to the information and resources they need. With content written by more than 400 attorneys from 70 of the country’s top employment law firms — and edited by an in-house team of legal editors and HR professionals — XpertHR takes the worry away. LEARN MOREVIDEO OVERVIEW www.xperthr.com inquiries@xperthr.com 855-XPERTHR XpertHR USA @XpertHRusa

Each new year brings new challenges that HR professionals and employers need to watch out for. With laws and trends changing at a constant rate it can be quite easy to fall behind. This year we surveyed nearly 1,200 HR professionals ranging from all job levels and company sizes and came up with this top 10 list. Some key challenges include: Trump Administration uncertainty, the overtime rule injunction, equal pay, managing the rise of the gig economy and more. Be sure to stay ahead of the game by taking a glance at this SlideShare to learn more of what’s to come in the near future filled with guidance and resources from our experts.

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