Travel Essentials
By Alison Nelson, Employee Benefits Account Manager
With the gloomy weather we’ve been having lately, you may find yourself with the hankering to travel to warmer destinations. This past Spring, I found myself chasing the sunshine across the world and, in preparation for my travel, I found myself overwhelmed with all the products touted as a “must have”. Some items were lackluster while others are newfound staples on my to-pack list. To ease you of the same trial-and-error turbulence, below is a list of items I found to be worth it, and hopefully you do too.
- Travel Insurance with Petersen International
- Travel Insurance is a must when visiting overseas. There are so many unknowns that can come up when traveling and this will help give you immense peace of mind. Deductibles are flexible and expenses such as hospital stays, medical evacuation, trip cancellation and even lost luggage are eligible for coverage. I highly recommend contacting RISQ for a quote.
- My Favorite Carry On Bag
- This carry on bag not only conveniently attaches to rolling carry-ons or suitcases, but it expands as needed. I always keep the bag smaller as I head to my destination and then I expand it on the way back to fit anything I may bring back with me.
- Memory Foam Neck Pillow
- I don’t know about you, but sometimes I use my neck pillow and sometimes I don’t. This often leaves me with the conundrum of not wanting to waste precious space in my carry-on, which is why I love this portable neck pillow! It’s super comfy and fits in a convenient bag.
- Cord Organizer
- Since it seems like every device needs its own charger, this cord organizer has spared me from having to detangle all my charging cords and makes them easier to find.
- Portable Charger
- I like this portable charger since it has two USB ports so I can charge two devices at once. Since most places wont ship portable chargers to Alaska, this one has the added bonus of usually being in-stock at Target.
- Eye Mask
- While I don’t have this exact pair, I have a very similar one and love it. Not having the fabric touch my eyes makes it so I forget I’m even wearing them.
- Compression Packing Cubes
- These packing cubes are a lifesaver when I inevitably pack too many clothes or buy too many souvenir shirts. I can pack them in a cube then compress out the air to ensure everything still fits in my suitcase!
- Luggage Scale
- If you’re not an over-packer you can probably skip this one. But if you’re like me, this nifty device has saved me from having to repack my suitcase in the luggage drop-off line on more than one occasion.
- Laundry Bag
- Keeping dirty and clean clothes separate while travelling can be a pain so this laundry bag is a good way to keep things organized.
- Travel Mirror
- I have found that often times the only mirror is in the bathroom, so getting ready is just a lot easier with access to another mirror with good lighting.
- Toiletry Bag
- My favorite toiletry bag is a convenient way to make sure all your toiletries are in one spot and that they don’t spill in your suitcase. Need I say more?
Enjoy and safe travels! 😊
- Published in Blog
The RISQ RECAP:
June 5th – June 9th, 2023
Each week, you’ll find specially curated news articles to keep you up to date on the ever-evolving world of insurance and risk management. The articles are divided out between items relevant to Property & Casualty, Employee Benefits/Human Resources, and Compliance. We’ve included brief summaries of each item as well as a link to the original articles.
PROPERTY & CASUALTY
Survey: Younger Generations More Tolerant of Fraud “A significant number of Americans ages 44 and younger show a high level of tolerance for insurance fraud, according to a new survey of insurance consumers by Verisk and the Coalition Against Insurance Fraud. The accompanying study found that while nearly all Americans over age 55 view insurance fraud as a crime, about 75% of those between 25 and 44 consider it a crime – and the percentage skewed down to 64% for those between ages 18 and 24.” Full Article – Insurance Journal
Climate Change and Homeowners’ Insurance Are on a Collision Course “A summer that has already seen water crises and wildfire smoke is rapidly becoming an inflection point in the pitched battle between climate change and the price of homeowners’ insurance in the US. American International Group Inc., which has already pulled back from new California business, is now set to curb home-insurance sales for affluent customers in around 200 ZIP codes across the US, including New York, Delaware, Florida, Colorado, Montana, Idaho and Wyoming.” Full Article – Insurance Journal
EMPLOYEE BENEFITS, HUMAN RESOURCES, & COMPLIANCE
Can Your Plan Clear Mental Health Parity Compliance Hurdles? “Hidden Hurdle 1: Equality does not equal parity. Hidden hurdle 2: When you don’t (and can’t) know how your plan is run. Hidden hurdle 3: Didn’t we exclude that?” Full Article – International Foundation of Employee Benefits Plans [IFEBP]
Denials of Health Insurance Claims Are Rising — and Getting Weirder “Companies appear increasingly likely to employ computer algorithms or people with little relevant experience to issue rapid-fire denials of claims. A job title at one company was ‘denial nurse.’ The ACA tasked HHS with monitoring denials both by health plans on the Obamacare marketplace and those offered through employers and insurers.” Full Article – KFF Health News
Can the HIPAA Privacy and Security Official Position Be Held by a Third Party? “Although there is language in the preamble to the privacy rule that seems to assume that the privacy official will be an employee of the covered entity, there is no explicit requirement to that effect. And because some covered entities (e.g., most group health plans) will not have employees, the privacy official’s duties will have to be performed by a third party (for a group health plan, usually an employee of the plan sponsor).” Full Article – Thomson Reuters / EBIA
Employee Benefits Plans: Applying the ERISA Controlled Group and Affiliated Service Group Rules in the Health Care Industry “The friendly-PC model involves a professional service corporation conducting a medical practice in affiliation with a management services organization. Although the friendly-PC model may be a solution to the corporate practice of medicine doctrine, it can create unintended consequences for employee benefit plans sponsored by the PSC and MSO.” Full Article – Foley & Lardner LLP
Seventh Circuit Affirms Plan Sponsor’s Discretion for Severance Benefits “The decision affirms that, if the plan so provides, discretionary eligibility criteria for severance benefits is permissible under ERISA. However, plan sponsors should be aware that the exercise of discretion in certain ways can cause issues under other federal laws intended to protect against discrimination and in the context of a voluntary severance plan, the exercise of discretion with respect to eligibility could negate the voluntary nature of the plan.” Full Article – Groom Law Group
First Gag Clause Attestations Due December 31, 2023 – What Groups Health Plan Sponsors Need to Know “Plan sponsors and carriers of fully insured plans are both required to submit a Gag Clause Prohibition Compliance Attestation. FAQs Part 57 provide that if the insurance carrier submits the GCPCA on behalf of the plan, the Departments will consider the plan (and insurer) compliant. Sponsors of fully insured plans, however, should confirm that the carrier will be submitting the GCPCA on the plan’s behalf.” Full Article – Hunton Andrews Kurth LLP
STATE & INTERNATIONAL COMPLIANCE
In addition to the RISQ Review, RISQ Consulting also provides a resource that features changes and updates to State and International Compliance measures. We’ve included brief summaries of each item below, and also provided links to the original articles if you’d like to read further.
CALIFORNIA
Court Provides Guidance Regarding Employer Vaccine Mandates
“A California Court of Appeal has ruled that a hospital’s decision to terminate an employee for failing to comply with its flu vaccine mandate did not violate California’s Fair Employment and Housing Act (FEHA) prohibition on disability discrimination. Hodges v. Cedars-Sinai Medical Center.” Full Article
– Seyfarth Shaw LLP
FLORIDA
Florida’s New Law Overhauls Public Sector Labor Laws Related to Dues Deduction and Labor Organization Registration
“On May 9, 2023, Governor Ron DeSantis signed into law Senate Bill 256, which overhauls Florida’s Public Employees Relations Act, implementing significant changes to procedures related to dues authorization and deduction, registration requirements, and certification procedures for public employers and public sector labor unions.” Full Article
– Ford Harrison
MINNESOTA
Minnesota Set to Ban Noncompete Agreements on July 1st—What Companies Need to Know (and do)
“In a lightning-fast move, the Minnesota Legislature just passed a bill that voids all future covenants not to compete, with limited exceptions for agreements entered into in connection with the sale or dissolution of a business.” Full Article
– Benesch
ILLINOIS
Illinois Gender Violence Act to Specifically Apply to Employers
“Illinois employers should be aware that they will likely be subject to liability under amendments to the Illinois Gender Violence Act (GVA) proposed by recent legislation. HB1363 is one of a number of bills that recently passed both houses of the Illinois Legislature and should soon be sent to the governor for signature.” Full Article
– Ford Harrison
NEW YORK
New York City Holds Roundtable on the Use of Automated Employment Decision Tools (LL144)
“The stated purpose of this roundtable was to revisit the requirements under the law and to address questions that remain with the intention of releasing FAQ-type guidance to assist employers prior to Local Law 144’s July 5, 2023 enforcement date.” Full Article
– Seyfarth Shaw LLP
- Published in Blog
Staying Healthy And Safe During Wildfires
This article is from RISQ Consulting’s Zywave client portal, a resource available to all RISQ Consulting clients. Please contact your Benefits Consultant or Account Executive for more information or for help setting up your own login.
In many parts of the United States, the risk of wildfires begins early spring and continues into the fall. Being prepared for fire activity is crucial if you live in a wildfire-prone area. Wildfires can be a serious threat to lives and property—and smoke pollution can affect your health. According to the Environmental Protection Agency (EPA), wildfire smoke mostly consists of fine inhalable particles known as PM2.5, which is of greatest concern to public health. Air pollution from large wildfires can be widespread and linger over other states or countries.
This article highlights strategies for staying healthy and safe amid wildfires.
Health and Safety Measures
When wildfires create smoky conditions, everyone needs to reduce their exposure to the smoke. Wildfire smoke irritates your eyes, nose, throat and lungs. It can make it hard to breathe and make you cough or wheeze.
Consider the following tips for protecting you and your family during a wildfire:
- Follow guidance from local and state officials. Pay attention to emergency alerts for information and instructions, and listen to authorities for guidance on evacuating your home and when it’s safe to return.
- Keep smoke outside. Staying indoors is highly recommended for reducing exposure to smoke pollution, but contaminants can make their way inside. To protect yourself, you should:
- Choose a room you can easily close off from the outside air in your home. It could be helpful to use a portable air cleaner or filter to maintain clean air in the designated room or space. A quality heating, ventilating and air conditioning system with air filters can also help remove particles from the air.
- Keep all doors and windows shut in your vehicle and put the air on the recirculate setting.
- Wear a fitted N95 mask. The EPA recommends using a particulate respirator labeled NIOSH, N95 or P100. Two straps above and below your ears will create a good seal. Masks only protect against particles, so experts advise staying indoors on poor air-quality days.
- Protect pets. Smoke can also irritate your pet’s eyes and respiratory tract. Animals with heart or lung disease and older pets are especially at risk from smoke and should be watched closely.
- Track wildfires. Be prepared for wildfires and smoke pollution by tracking fires near you. For example, the National Oceanic and Atmospheric Administration’s fire weather outlook website maps fire watches and warnings.
- Monitor your local air quality. Websites, including the EPA’s gov, can explain which air quality levels may be hazardous and how much outdoor activity you should engage in. Apps reporting on local air quality are also available.
- Pay attention to health symptoms. Children and people with asthma, chronic obstructive pulmonary disease or heart disease need to be especially careful about breathing wildfire smoke. Older adults and pregnant people are also more likely to get sick if they breathe in wildfire smoke.
For More Information
During wildfire season, it’s important to monitor wildfires that may be happening in or around the country to best protect your health and safety.
Monitor local authorities for updates, and contact your health care provider with further questions about how wildfires can impact your health.
- Published in Blog
Strategies for Identifying and Resolving Gaps in Benefits Offerings
This article is from RISQ Consulting’s Zywave client portal, a resource available to all RISQ Consulting clients. Please contact your Benefits Consultant or Account Executive for more information or for help setting up your own login.
In today’s competitive employment landscape, many organizations recognize that employees are their most valuable asset. To attract and retain top talent, employers must go beyond competitive salaries and create holistic and meaningful employee benefits packages that address diverse workforce needs.
Understanding and addressing any gaps in employee benefits is crucial for employers who aim to create an engaged, supported and satisfied workforce. Well-rounded benefits packages often translate to enhanced employee well-being, boosted retention rates and a positive work culture.
This article highlights proactive steps employers can take to assess and identify gaps in employee benefits offerings.
Employer Considerations
Identifying gaps in benefits offerings can be a complex task, as it requires a careful assessment of employee preferences, trends and organizational resources. Consider the followings strategies for identifying and addressing these gaps:
- Review existing benefits. Start by reviewing the current employee benefits package. While taking inventory of benefits, organizations should assess if they offer the basics (e.g., health insurance, sick and family leave) or anything unique compared to competitors or other employers in their industry. This is also a good time to review benefits utilization to better understand if there are any benefits that employees do not or rarely use.
- Analyze employee demographics and specific needs. Demographics, such as age, gender and marital status, can influence employees’ preferred benefits. Recognize that those needs can shift over time, so this is an ongoing exercise.
- Gather employee feedback. Conduct surveys, focus groups or collect feedback through other methods to gather information and opinions directly from employees. Employers could inquire about employee satisfaction with existing benefits, what they value most and if there are any benefits they feel are missing from their package or that could be improved.
- Benchmark against industry standards. Research industry standards and best practices to understand what benefits competitors, and similar or local organizations provide. This can help employers identify any gaps in their offerings compared to competitors.
- Explore emerging trends and employee preferences. Stay informed about employee benefits trends. Current trends include flexible work arrangements, mental health support and student loan assistance. This is also the time to consider employee feedback results and reported preferred benefits.
- Prioritize benefits based on budget and resources. While employers may be faced with a long list of attractive or preferred benefits, the reality is that they must also consider organizational finances and resources to determine the feasibility of new or different offerings. It may be helpful to prioritize the benefits that would have the most significant impact on employee satisfaction and overall well-being.
- Communicate changes effectively. Employers should ensure clear and effective communication with employees when introducing or modifying benefits. Education is critical to utilization, so employers should clearly describe any changes, provide their rationale and explain how benefits changes align with employee feedback, emerging trends or organizational goals.
- Monitor and reassess. Benefits needs and preferences change over time, so it’s important for employers to regularly monitor the utilization and effectiveness of offerings. If drastic changes were made, checking in with some employees to gauge their feedback could be worthwhile. Lastly, keep the conversation going with employees to keep a pulse on their preferred benefits and reassess available options to ensure they meet evolving needs.
Summary
Savvy employers continually evaluate their existing benefits, gather employee feedback, benchmark against industry standards and strategically address any identified gaps. By periodically reassessing benefits offerings, employers can ensure they remain competitive in the labor market and meet the evolving needs of the workforce.
By taking a proactive approach to understanding needs and preferences, organizations can create benefits packages that truly support current and prospective employees. This concerted effort can lead to increased workplace engagement and satisfaction, and, ultimately, organizational success.
Contact RISQ Consulting for additional employee benefits guidance.
- Published in Blog
The RISQ RECAP:
May 29th – June 2nd, 2023
Each week, you’ll find specially curated news articles to keep you up to date on the ever-evolving world of insurance and risk management. The articles are divided out between items relevant to Property & Casualty, Employee Benefits/Human Resources, and Compliance. We’ve included brief summaries of each item as well as a link to the original articles.
PROPERTY & CASUALTY
California Overtime Law Threatens Use of Grazing Goats to Prevent Wildfires
“Hundreds of goats munch on long blades of yellow grass on a hillside next to a sprawling townhouse complex. They were hired to clear vegetation that could fuel wildfires as temperatures rise this summer. These voracious herbivores are in high demand to devour weeds and shrubs that have proliferated across California after a drought-busting winter of heavy rain and snow. “It’s a huge fuel source. If it was left untamed, it can grow very high. And then when the summer dries everything out, it’s perfect fuel for a fire,” said Jason Poupolo, parks superintendent for the city of West Sacramento, where goats grazed on a recent afternoon.
Targeted grazing is part of California’s strategy to reduce wildfire risk because goats can eat a wide variety of vegetation and graze in steep, rocky terrain that’s hard to access. Backers say they’re an eco-friendly alternative to chemical herbicides or weed-whacking machines that are make noise and pollution.
But new state labor regulations are making it more expensive to provide goat- grazing services, and herding companies say the rules threaten to put them out of business. The changes could raise the monthly salary of herders from about $3, 730 to $14,000, according to the California Farm Bureau.” Full Article
– Insurance Journal
EMPLOYEE BENEFITS, HUMAN RESOURCES, & COMPLIANCE
How to Combat Loneliness and Social Isolation in the Workplace “Earlier this month, U.S. Surgeon General Vivek Murphy released a Framework for a National Strategy to Advance Social Connection to address the public health problem of social disconnection, calling it an ‘epidemic of loneliness and isolation.’” Full Article – Levenfeld Pearlstein, LLC
Promoting Employee Mental Health Well-Being Pays Off “Since the COVID-19 pandemic, workers have reported experiencing stress at work due to compensation not keeping up with inflation, longer hours, increased workplace monitoring, and lack of involvement in their organization’s decisions.” Full Article – Akerman LLP
A Cautionary Tale: Inconsistent Reasoning in Employment Decision Can Lead to Trial “Michigan college loses motion for summary judgment in former instructor’s age discrimination claims because the college provided ‘shifting justifications’ over time for its decision not to interview instructor for a tenure-track position.” Full Article – Seyfarth Shaw LLP
Department of Labor Issues Updated FLSA and FMLA Posters “The U.S. Department of Labor (DOL) has released updated posters regarding the federal Fair Labor Standards Act (FLSA) and Family and Medical Leave Act (FMLA). Employers covered by these laws are required to display copies of the posters in a conspicuous place where employees and applicants for employment can see them.” Full Article – Proskauer Rose LLP
Marijuana in the Manufacturing Workplace “Manufacturing employers still may prohibit the use of marijuana at work, as well as marijuana impairment at work. But marijuana drug testing is complicated and controversial because of the legal protections for off-duty marijuana use in some states and cities, the legal protections for medical marijuana users in many jurisdictions, and because there are no drug tests that can detect current marijuana impairment or very recent use of marijuana.” Full Article – Jackson Lewis P.C.
EEOC’s Crosshairs Locked on Harassment of Teens in Restaurant Industry “Over the past several years, the EEOC has maintained a litigation focus on protecting young workers in low wage jobs from sexual harassment. This has translated to intense scrutiny of teenagers working in the restaurant industry. According to the EEOC, these workers are particularly vulnerable to harassment and other forms of discrimination.” Full Article – Seyfarth Shaw LLP
STATE & INTERNATIONAL COMPLIANCE
In addition to the RISQ Review, RISQ Consulting also provides a resource that features changes and updates to State and International Compliance measures. We’ve included brief summaries of each item below, and also provided links to the original articles if you’d like to read further.
CALIFORNIA
Court Provides Guidance Regarding Employer Vaccine Mandates
“A California Court of Appeal has ruled that a hospital’s decision to terminate an employee for failing to comply with its flu vaccine mandate did not violate California’s Fair Employment and Housing Act (FEHA) prohibition on disability discrimination. Hodges v. Cedars-Sinai Medical Center.” Full Article
– Seyfarth Shaw LLP
FLORIDA
Florida’s New Law Overhauls Public Sector Labor Laws Related to Dues Deduction and Labor Organization Registration
“On May 9, 2023, Governor Ron DeSantis signed into law Senate Bill 256, which overhauls Florida’s Public Employees Relations Act, implementing significant changes to procedures related to dues authorization and deduction, registration requirements, and certification procedures for public employers and public sector labor unions.” Full Article
– Ford Harrison
MINNESOTA
Minnesota Set to Ban Noncompete Agreements on July 1st—What Companies Need to Know (and do)
“In a lightning-fast move, the Minnesota Legislature just passed a bill that voids all future covenants not to compete, with limited exceptions for agreements entered into in connection with the sale or dissolution of a business.” Full Article
– Benesch
ILLINOIS
Illinois Gender Violence Act to Specifically Apply to Employers
“Illinois employers should be aware that they will likely be subject to liability under amendments to the Illinois Gender Violence Act (GVA) proposed by recent legislation. HB1363 is one of a number of bills that recently passed both houses of the Illinois Legislature and should soon be sent to the governor for signature.” Full Article
– Ford Harrison
NEW YORK
New York City Holds Roundtable on the Use of Automated Employment Decision Tools (LL144)
“The stated purpose of this roundtable was to revisit the requirements under the law and to address questions that remain with the intention of releasing FAQ-type guidance to assist employers prior to Local Law 144’s July 5, 2023 enforcement date.” Full Article
– Seyfarth Shaw LLP
- Published in Blog
Back Pain Remains the Leading Cause of Disability Worldwide
This article is from RISQ Consulting’s Zywave client portal, a resource available to all RISQ Consulting clients. Please contact your Benefits Consultant or Account Executive for more information or for help setting up your own login.
A new study published in The Lancet Rheumatology medical journal revealed that low back pain remains the leading cause of disability globally. In 2020, 619 million people worldwide suffered from low back pain. That figure is expected to jump to 843 million by 2050. Furthermore, the economic toll on the United States alone amounted to $2.2 billion.
The study identified the following main risk factors that account for almost 40% of cases:
- Smoking
- Obesity
- Work-related ergonomics
Low back pain was higher among females than males in all age groups. The peak impacted age was 85 years, and researchers noticed that most countries lack specific recommendations on how to care for an older person with low back pain.
Fifteen percent of the U.S. workforce report 10.5 lost workdays per year from chronic low back pain.
Employer Takeaways
Researchers estimate that low back pain is the root cause of 264 million lost workdays for Americans. If not addressed, researchers noted that low back pain could also result in chronic health conditions such as diabetes, cardiovascular disease, mental health conditions, invasive medical procedures and significant disability.
Various aspects of work can lead to back pain, including sitting at a desk all day, engaging in repeated movements (e.g., twisting and rotating the spine) and lifting or moving heavy objects. To try to get ahead of work-related back pain, employers can consider the following strategies to reduce back pain in the workplace:
- Examine the workplace and look for ways to reduce the chance of injury. For instance, the way materials, parts and products are transported may be able to be adjusted to relieve the burden on employees. Also, consider altering the layout of workstations to be more ergonomic.
- Promote healthy lifestyles, including physical activity and weight management.
- Provide training to management and workers regarding the risks of workplace injuries and ways to avoid injuries.
- Develop company policies that support a workplace culture of good health, safety and injury management (e.g., ergonomics, workplace safety, disability management and return to work).
As low back pain remains the leading cause of disability, employers have an opportunity to develop policies and encourage proper workplace ergonomics in an effort to reduce injuries and disability claims.
Contact us for additional workplace economics guidance.
- Published in Blog
Improving Your Self-Discipline
This article is from RISQ Consulting’s Zywave client portal, a resource available to all RISQ Consulting clients. Please contact your Benefits Consultant or Account Executive for more information or for help setting up your own login.
Self-discipline is an important skill that can help you reach personal and professional goals. Developing self-discipline is like strengthening a muscle, as it can be improved with practice. This skill can make difficult tasks seem more manageable and help you achieve your long-term goals.
Understanding Self-discipline
The term “self-discipline” describes your ability to focus on a task or goal to accomplish something. Self-disciplined individuals are generally consistent, responsible, persistent and ambitious. They may have a strong work ethic and can successfully finish tasks that must be completed, even when they find it difficult to do so.
In the workplace, self-discipline can take many forms. Generally, self-disciplined workers will complete both exciting and uninteresting tasks on time. They are also likely to have a productive mindset that enables them to meet goals and reach milestones.
Improving Self-discipline
Like any skill, self-discipline can be refined with practice, and you may only sometimes be successful. Persevering even when you fail is crucial to reaching your long-term goals.
Here are some tips for improving self-discipline:
- Start small. Choose an area of your life that could benefit from greater self-discipline and begin with a simple task, like being on time daily. Practice discipline in this area until it becomes a habit.
- Challenge your mindset. Your thought patterns may be holding you back. Try confronting your notions of what you can and cannot achieve to accomplish more.
- Find ways to focus. Try dividing a large task into several smaller assignments if you’re having trouble completing it. Take breaks when needed to increase motivation and boost energy.
- Schedule time for high-priority tasks. Although multitasking may be necessary throughout the day, creating time to focus on certain essential duties can help you avoid potential distractions and maximize your attention span.
- Avoid distractions. You may be tempted to look at your phone or chat with a co-worker when completing a tedious task, but resisting these temptations can improve your self-control, strengthening your self-discipline in the long run.
- Set achievable goals. Motivate yourself by setting goals that can be accomplished and working toward them. Use your successes to encourage yourself to keep practicing.
Conclusion
Self-discipline can make the difference between knowing your goals and achieving them. Setting small, achievable goals and staying focused when working on tedious or repetitive tasks can help you become more disciplined. This can help you accomplish your personal and work-related goals in the long run.
Contact your manager for further guidance on self-discipline practices at work.
- Published in Blog
The RISQ RECAP:
May 22th – May 26th, 2023
Each week, you’ll find specially curated news articles to keep you up to date on the ever-evolving world of insurance and risk management. The articles are divided out between items relevant to Property & Casualty, Employee Benefits/Human Resources, and Compliance. We’ve included brief summaries of each item as well as a link to the original articles.
PROPERTY & CASUALTY
Bill Would Offer Crop Insurance Discount to Farmers Who Plant Cover Crops
“A bipartisan bill proposed by federal lawmakers would provide farmers a discount on crop insurance premiums by planting cover crops. The Conversation Opportunity and Voluntary Environment Resilience (COVER) Act, proposed last week by Sen. Sherrod Brown, D-Ohio, and Reps. Sean Casten, D-Ill., Elissa Slotkin, D-Mich., and Mike Bost, R,-Ill., would amend the Federal Crop Insurance Act to establish a program that rewards farmers who plant cover crops with a $5/acre discount on crop insurance. The legislation is based off programs in place in Indiana, Iowa, and Illinois. A cover crop is any crop grown to cover the soil and may be incorporated into the soil later for enrichment, according to the USDA. Cover crops, which include legumes, grasses, and forbs, help with soil erosion, improve soil health and crowd out weeds. They are typically planted in September or October. A 2023 study published in the American Journal of Agricultural Economics found that counties with higher rates of cover crop adoption tend to have lower levels of crop insurance losses.” Full Article
– Insurance Journal
EMPLOYEE BENEFITS, HUMAN RESOURCES, & COMPLIANCE
Executive Summary: Tracking Telehealth Changes State-by-State in Response to COVID-19 ““Updated May 19, 2023. Descriptive list of current and proposed state and federal guidance, regulations, and legislation.” Full Article – Manatt, Phelps & Phillips LLP
More Federal Action in the Pharmaceutical Sector as PBM Bill Advances in the Senate “The Pharmacy Benefit Manager Act reflects the overarching legislative push by members from both sides of the aisle and chambers of Congress to address drug pricing issues through federal fixes to the PBM framework.” Full Article – Epstein Becker & Green, P.C.
Fifth Circuit Stay Reinstates Preventive Services Mandate — For Now “Plan sponsors should remember that the Fifth Circuit administrative stay is not a decision on the merits of the underlying case. The Fifth Circuit pressed pause on the district court order so that the pre- Braidwood preventive services mandate would remain intact for now while the case proceeds.” Full Article – Proskauer Rose LLP
IRS Announces 2024 Limits for Health Savings Accounts, High-Deductible Health Plans and Excepted Benefit HRAs “All of the dollar limits currently in effect for 2023 will change for 2024, with the exception of one limit. The HSA catch-up contribution for individuals ages 55 and older will not change as it is not subject to cost-of-living adjustments.” Full Article – McDermott Will & Emery
Providers Score More Victories in First Year of NSA Arbitrations ““In the year following the implementation of the arbitration process established under the federal No Surprises Act (NSA), more than 330,000 disputes have been submitted for resolution. This figure far outpaces the predictions of the US Departments of Health and Human Services (HHS), Labor, and the Treasury (the Departments), and complicates the implementation of the NSA.” Full Article – ArentFox Schiff LLP
First Gag Clause Attestations Due December 31, 2023- What Group Health Plan Sponsors Need to Know “Plan sponsors and carriers of fully insured plans are both required to submit a Gag Clause Prohibition Compliance Attestation (GCPCA). FAQs Part 57 provide that if the insurance carrier submits the GCPCA on behalf of the plan, the Departments will consider the plan (and insurer) compliant. Sponsors of fully insured plans, however, should confirm that the carrier will be submitting the GCPCA on the plan’s behalf.” Full Article – Hunton Andrews Kurth LLP
STATE & INTERNATIONAL COMPLIANCE
In addition to the RISQ Review, RISQ Consulting also provides a resource that features changes and updates to State and International Compliance measures. We’ve included brief summaries of each item below, and also provided links to the original articles if you’d like to read further.
FLORIDA
Florida Poised to Mandate Use of E-Verify for Private Employers
“The Florida Legislature has passed a bill that, if enacted, will require private employers with 25 or more employees to use the federal E-Verify system to verify the employment eligibility of newly hired employees beginning July 1, 2023. The bill, SB 1718, is expected to be signed into law by Governor Ron DeSantis.” Full Article
– Proskauer Rose LLP
NEW YORK
New York Minimum Wage to Increase Again
“The Fiscal Year 2024 New York State Budget (the “Budget”) includes a multi-year plan to increase the State’s minimum wage starting on January 1, 2024. The new statutory minimum wage rates apply to all New York employers regardless of size.” Full Article
– Seyfarth Shaw LLP
MARYLAND
Maryland Modifies its Paid Family and Medical Leave insurance Program
“Maryland became the eleventh state (in addition to the District of Columbia) to adopt a statewide family and medical leave program (the “Program”). The Maryland General Assembly recently concluded its 2023 session and passed modifications to the Program.” Full Article
– Littler Mendelson P.C.
WASHINGTON
Washington State to Bar Employers from Relying on Off-Duty Use of Marijuana in Hiring Decisions
“The state of Washington will prohibit employers from making hiring decisions based on off-duty use of cannabis or positive pre-employment drug test results that find an applicant to have non-psychoactive cannabis metabolites in their hair, blood, urine, or other bodily fluids. The new law (SB 5123) takes effect on January 1, 2024.” Full Article
– Jackson Lewis P.C.
ILLINOIS
Illinois Department of Labor Amends Regulations on Employer Reimbursement of Employee Expenses
“The regulations establish a new five-factor test for assessing whether an employer must reimburse expenses. The amended regulations also impose new record-keeping requirements on employers.” Full Article
– Barnes & Thornburg LLP
- Published in Blog
Pay Equity Audits
This article is from RISQ Consulting’s Zywave client portal, a resource available to all RISQ Consulting clients. Please contact your Benefits Consultant or Account Executive for more information or for help setting up your own login.
It’s becoming clear that pay transparency is not a passing trend. Pay transparency is the practice of an employer openly communicating pay-related information through established methods to current and prospective employees. In 2021, Colorado was the first jurisdiction to enact pay transparency laws. Since then, more states and localities have enacted such laws; by the start of 2023, a fifth of all U.S. workers were covered under pay transparency laws. The nationwide normalization of pay transparency is leading employers to prioritize pay equity. Additionally, the recent dramatic increase in equal pay litigation, sometimes resulting in multimillion-dollar settlements, has more employers addressing pay equity issues.
Despite this increased focus, many employers may not know where to begin when implementing pay equity measures. For most employers, utilizing pay equity audits is the likely answer. These audits can be a powerful tool for employers to evaluate and ensure they comply with federal, state and local pay equity laws.
This article provides a broad overview of pay equity and discusses the importance of pay equity audits.
What Is Pay Equity?
Pay equity is the practice of compensating employees the same when they perform the same or similar job duties while accounting for factors such as experience, job performance and tenure. This practice takes into account all forms of compensation, such as salary, overtime pay, bonuses, stock options, profit sharing and bonus plans, life insurance, vacation and holiday pay, cleaning or gasoline allowances, hotel accommodations, reimbursement for travel expenses and other benefits.
Employees’ right to be free from discrimination in their compensation is protected under several federal laws, including the Equal Pay Act of 1963 (EPA), Title VII of the Civil Rights Act of 1964, the Age Discrimination in Employment Act of 1967 and the Americans with Disabilities Act of 1990. For example, the EPA requires that men and women be given equal pay for equal work in the same establishment. The jobs need not be identical, but they must be substantially similar. It is job content, not job titles, that determines whether jobs are substantially similar. Specifically, the EPA provides that employers may not pay unequal wages to men and women who perform jobs that require substantially equal skill, effort and responsibility and that are performed under similar working conditions within the same establishment.
Why Is Pay Equity Important?
Ensuring employees are paid equitably can help increase organizational efficiency, productivity and profitability. Employers who prioritize pay equity may experience the following benefits:
- Improved workforce productivity and morale
- Increased organizational commitment
- Reduced employee turnover
- Increased attraction of key talent
- Decreased risks of discrimination or pay inequity lawsuits
- Greater compliance with equal pay laws and regulations
What Is a Pay Equity Audit?
A pay equity audit is the process of analyzing compensation data of employees doing similar work within an organization. It can be an effective tool for providing employers with information to identify pay disparities among workers. Performing pay equity audits can help employers determine if any pay discrepancies are based on legitimate, nondiscriminatory reasons, such as seniority or education. If pay discrepancies cannot be explained by nondiscriminatory reasons, the audit allows employers to correct them.
The purpose of pay equity audits goes beyond just identifying whether pay disparities exist but helps explain why they exist. This can include reviewing specific pay decisions and policies. Such audits can help employers evaluate and improve their compensation practices, address pay gaps and limit potential legal risks. In some states, conducting a self-audit of pay practices can protect employers against legal claims based on pay inequities.
Benefits of Pay Equity Audits
Pay equity audits can help organizations identify and correct pay discrepancies, reducing potential legal risks. They can also increase employee morale and productivity. Ensuring employees are paid equitably for their work helps strengthen an organization’s culture. Employee morale, turnover and retention rates, and performance often improve when workers feel valued. Paying employees the same when they perform the same or similar jobs is a key component of helping workers feel valued, which can lead to generally more committed and productive employees. In turn, this helps drive organizational productivity and profitability.
Additionally, pay equity audits can help employers develop better workplace policies and procedures related to compensation. This can include establishing consistent starting pay ranges, factors for merit increases and promotions, as well as other incentives. Audit results can also inform an employer’s training efforts to ensure fair pay decisions are made throughout the organization.
Risks of Pay Equity Audits
While an organization’s intentions behind conducting pay equity audits are often noble—determining whether pay disparities are lawful and, if not, correcting them—audit results can be extremely damaging if disclosed. Inadvertent disclosure of audit results or analysis can harm an organization’s reputation and expose it to lawsuits or other legal action.
To protect against these potential risks, many employers utilize the attorney-client privilege or work product doctrine when conducting pay equity audits. Employers can do this by engaging legal counsel to initiate and lead the audit. Employers can also determine how best to communicate pay equity audit results to their employees and incorporate those results into organizational pay practices.
Takeaway
Conducting pay equity audits can be an effective way to ensure employees are paid equitably for the work they do. However, these audits are often only the first step for addressing pay equity issues in the workplace.
For more workplace resources, contact RISQ Consulting today.
- Published in Blog