The RISQ RECAP – April 11th – April 15th, 2022
April 11th – April 15th, 2022
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
Cyber Premiums Rapidly Grew 74% in 2021: Fitch
“According to estimates by Fitch Ratings, direct written premiums (DWP) for standalone and packaged cyber insurance increased 74% to nearly $5 billion in 2021 compared with overall growth for the property casualty industry of 9%, making cyber insurance the fastest growing product segment in the U.S. P/C market.” Full Article
– Insurance Journal
EMPLOYEE BENEFITS, HUMAN RESOURCES, & COMPLIANCE
Do Employers Now Have to Offer Affordable Family Coverage “Although not directly affecting employer-sponsored plans, employers may experience indirect effects of the changes if the proposed rule is finalized. For example, in order for the IRS to make Premium Tax Credit determinations involving family coverage, they may require further information reporting from employers. The IRS Forms 1094 and 1095 might be modified to require separate affordability reporting regarding both employee-only coverage and other coverage offers.” Full Article – Jackson Lewis P.C.
Ninth Circuit Reverses Decision Requiring Reprocessing of 67,000 Behavioral Health Claims; Hands United Healthcare a Win “The Ninth Circuit decision means that UBH no longer has to reprocess the tens of thousands of claims. UBH was still adjusting its criteria and guidelines at the time of the Ninth Circuit’s decision. It is not clear whether UBS will now ‘walk back’ its revised criteria. This decision signifies great latitude for plan administrators and seems to mark a deviation from an otherwise broad national movement toward enforcement of mental health parity laws.” Full Article – ArentFox Schiff LLP
Employer’s Failure to Provide Timely COBRA Election Notice Results in Retroactive Coverage and Penalties “Buford argued that his former employer prevented him from exercising his COBRA rights by providing him with a COBRA election notice with an incorrect termination date of February 28, 2014, and then disregarding that date for COBRA coverage. The court sided with Buford, finding that General Motors’ failure to correct his COBRA eligibility date was arbitrary and capricious.” Full Article – Hall Benefits Law
It’s So Easy to … Put Your Employees’ HSAs at Risk “In addition to telehealth, there are other incentives or special benefits that employers may be tempted to offer, especially to encourage retention during this era of labor shortage. Be careful, though, that your generosity doesn’t compromise your employees’ HSAs by relieving them of their obligation to bear the full weight of their HDHP coverage.” Full Article – Holland & Hart LLP
HHS OCR Issues Annual HIPAA Reports to Congress “OCR’s breach report contains useful information regarding the most commonly reported categories of breaches and OCR’s recommendations on best practices to avoid such breaches. OCR reported that 68% of the ‘500+’ breaches in 2020 involved ‘hacking/IT incidents of electronic equipment or a network server’ while 23% involved ‘unauthorized access or disclosure of records containing PHI.’ OCR’s enforcement report also provides statistics and information that can be useful to covered entities in focusing their compliance efforts.” Full Article – Health Law Advisor, Epstein Becker Green
CMS Announces 2023 Medicare Part D Benefit Parameters Used for Creditable Coverage Disclosures “These parameters will be used by group health plan sponsors to determine whether their plans’ prescription drug coverage is creditable for 2023. The information is needed for required disclosures to Part D eligible individuals and to CMS.” Full Article – Thomson Reuters / EBIA
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.
Washington
New Washington Law Bans Nondisclosure and Nondisparagement Provisions and Applies Retroactively
“Governor Bill Lee has signed into law a bill that expands protections for employees who are subject to employer COVID-19 vaccine mandates. The new law supplements existing state law that prohibits private employers and other entities from compelling or taking “adverse action” against a person to compel the person to provide proof of vaccination.” Full Article
– Nelson Mullins
California
Updated California Supplemental Paid Sick Leave FAQs Answer Some Big Questions
“California’s Labor Commissioner has updated its FAQs concerning 2022 COVID-19 supplemental paid sick leave (CPSL), answering some of employers’ more pressing questions about how this year’s more unique law operates. The answers are welcome news to many.” Full Article
– Littler Mendelson
Oregon
Oregon Amends the Workplace Fairness Act to Further Restrict Agreements Resolving Discrimination Claims
“On March 24, 2022, Oregon Governor Kate Brown signed into law Senate Bill 1586, which amends Oregon’s Workplace Fairness Act to further restrict what an employer may request in a settlement or separation agreement with an employee claiming discrimination under ORS 659A.030, 659A.082, or 659A.112. The amendments will be effective January 1, 2023.” Full Article
– Davis Wright Tremaine
Utah
Utah Amends Vaccination and Testing Requirements to Include Exemption for Previous COVID-19 Infection
“On March 22, 2022, Utah Governor Spencer J. Cox signed HB 63 into law, amending legislation passed in the Utah Legislature’s second special session of 2021 related to vaccine mandates in the workplace. The law will become effective on May 3, 2022 (60 days from adjournment of the 2022 legislative session).” Full Article
– Littler Mendelson
Indiana
Indiana Enacts New Law on Employer COVID-19 Vaccination Mandates
“Indiana Governor Eric Holcomb has signed into law House Bill 1001, curbing COVID-19 vaccine mandates by employers. Under the law, which went into effect immediately, most Indiana employers who require employees to receive the COVID-19 vaccine must allow employees to opt out from the requirement based on any of the following: (1) medical reasons; (2) religious reasons; or (3) employee immunity from COVID-19 based on a prior infection with COVID-19.” Full Article
– Jackson Lewis
- Published in Blog
The RISQ RECAP – April 4th – April 8th, 2022
April 4th – April 8th, 2022
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
Optimism, Resiliency Open New Doors for Sector Sector Buoyed by Record Start-Ups, Pandemic Resiliency
“The global pandemic, economic recession and worldwide supply chain shortages have not hindered the optimism and drive of the U.S. small business sector. In fact, the Great Resignation might lead to a small business revolution. In its 2021 New Business Insights report, Intuit predicts 17 million new small businesses will be formed in 2022, a third consecutive record year for entrepreneurship.” Full Article
– Small Business Revolution
EMPLOYEE BENEFITS, HUMAN RESOURCES, & COMPLIANCE
Is an Emoji Worth a Thousand Words? The Impact of Emojis in the Workplace “Work does not always occur within the physical confines of a workplace. Indeed, due to the interconnectivity of today’s world, work often takes place in the digital space, where employees regularly use pictorial icons and images known as emojis and emoticons to express themselves. Although emojis and emoticons are not hieroglyphics, they can be difficult to interpret, and courts have increasingly had to grapple with them as evidence in discrimination and harassment claims.” Full Article – Littler Mendelson
Restaurant’s Mandatory Service Charge is Not a “Tip” Under FLSA “Tipped employees at Miami’s Nusr-et Steakhouse sued their employer, alleging that the restaurant violated the Fair Labor Standards Act by counting payments to employees from the restaurant’s mandatory 18% “service charge” as part of the employees’ “regular rate of pay,” rather than as tips. The district court rejected the employees’ claim and granted the restaurant’s motion for summary judgment, holding that the service charge was not a tip. In Compere v. Nusret Miami, LLC, 2022 U.S. App. LEXIS 7293 (11th Cir. Mar. 18, 2022), the Eleventh Circuit affirmed.” Full Article – Eversheds Sullivan
Recall Message! Do Yourself (and Your Employer) a Favor and Sharpen Your Email Game “Email isn’t a new technology. By now, we all know that our work emails aren’t private, and most of us exercise some discretion in deciding what to “put in writing” in our business communications. We’ve heard horror stories of incriminating emails turning up in business lawsuits. Yet, despite our awareness of these risks, the problem persists. Time and again, bet-the-company lawsuits turn on the content of internal work emails. And it’s not just so-called “smoking gun” emails where an employee admits wrongdoing. More often, the key emails are seemingly innocuous co-worker communications that, due to their poor wording, are taken out of context and made to look malicious, heavy-handed, or insensitive.” Full Article – Robbins Kaplan
BREAKING NEWS: OFCCP Releases New Directive Setting Expectations of Contractors During Compliance Reviews “Directive 2022-02: Effective Compliance Evaluations and Enforcement issued March 31, 2022 is intended to “strengthen OFCCP compliance evaluations and reduce delay by promoting the timely exchange of information”. It also sets a number of expectations for contractor conduct and compliance during reviews, rescinding a number of previous Directives that set out transparency and expectations and timelines for submission of information – commonly known as previous OFCCP Director Craig Leen’s Four Pillars.” Full Article – Jackson Lewis
Department of Labor Issues Strong Caution on Use of Cryptocurrencies in 401(k) Plans “The U.S. Department of Labor (the DOL) has issued a compliance release that provides strong caution against ERISA fiduciaries of 401(k) and 403(b) plans including cryptocurrencies as plan investment options. In an unusual move, the DOL has cautioned fiduciaries to “exercise extreme care before they consider adding a cryptocurrency option to a 401(k) plan’s investment menu for plan participants.” Full Article – Cozen O’Connor
Five Employment Law Remarks in President Biden’s State of the Union Address “In his March 1, 2022 State of the Union Address, President Biden briefly touched upon a handful of employment reforms he is urging Congress to pass. This article is intended to help employers understand five of President Biden’s remarks, summarize what those remarks referenced, and describe the status of potential legislation relating to them.” Full Article – Venable
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.
Washington
New Washington Law Bans Nondisclosure and Nondisparagement Provisions and Applies Retroactively
“Governor Bill Lee has signed into law a bill that expands protections for employees who are subject to employer COVID-19 vaccine mandates. The new law supplements existing state law that prohibits private employers and other entities from compelling or taking “adverse action” against a person to compel the person to provide proof of vaccination.” Full Article
– Nelson Mullins
California
Updated California Supplemental Paid Sick Leave FAQs Answer Some Big Questions
“California’s Labor Commissioner has updated its FAQs concerning 2022 COVID-19 supplemental paid sick leave (CPSL), answering some of employers’ more pressing questions about how this year’s more unique law operates. The answers are welcome news to many.” Full Article
– Littler Mendelson
Oregon
Oregon Amends the Workplace Fairness Act to Further Restrict Agreements Resolving Discrimination Claims
“On March 24, 2022, Oregon Governor Kate Brown signed into law Senate Bill 1586, which amends Oregon’s Workplace Fairness Act to further restrict what an employer may request in a settlement or separation agreement with an employee claiming discrimination under ORS 659A.030, 659A.082, or 659A.112. The amendments will be effective January 1, 2023.” Full Article
– Davis Wright Tremaine
Utah
Utah Amends Vaccination and Testing Requirements to Include Exemption for Previous COVID-19 Infection
“On March 22, 2022, Utah Governor Spencer J. Cox signed HB 63 into law, amending legislation passed in the Utah Legislature’s second special session of 2021 related to vaccine mandates in the workplace. The law will become effective on May 3, 2022 (60 days from adjournment of the 2022 legislative session).” Full Article
– Littler Mendelson
Indiana
Indiana Enacts New Law on Employer COVID-19 Vaccination Mandates
“Indiana Governor Eric Holcomb has signed into law House Bill 1001, curbing COVID-19 vaccine mandates by employers. Under the law, which went into effect immediately, most Indiana employers who require employees to receive the COVID-19 vaccine must allow employees to opt out from the requirement based on any of the following: (1) medical reasons; (2) religious reasons; or (3) employee immunity from COVID-19 based on a prior infection with COVID-19.” Full Article
– Jackson Lewis
- Published in Blog
The RISQ RECAP – March 28th – April 1st, 2022
March 28th – April 1st, 2022
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
Cloud Apps And Cloud Storage: The Cyber Risks Associated With Both
“Cybercriminals have become more successful at delivering malware through cloud apps. Netskope, a threat and data protection provider, has blocked an increasing number of malware downloads from cloud apps, which now make up an increasing share of total malware downloads. The percentage of malware downloads from cloud apps increased from 46 percent to 73 percent and then plateaued at 66 percent. Google Drive replaced Microsoft OneDrive to become the top app for malware downloads in 2021. The number of credential attacks against managed cloud apps remained level in 2021 compared to 2020. These attacks comprise more than half of all managed cloud app instances. However, the number of sources of these attacks increased markedly in 2021, with each source carrying out fewer login attempts.” Full Article
– Travelers
EMPLOYEE BENEFITS, HUMAN RESOURCES, & COMPLIANCE
ACA Round-Up: Recent Developments “Federal officials continued to issue guidance on the Affordable Care Act in early 2022. This article summarizes the status of the so-called SUNSET rule, new materials for the 2023 plan year, Section 1332 waiver applications for Minnesota and Virginia, new risk adjustment data validation results, and guidance from the Internal Revenue Service and Centers for Medicare and Medicaid Services on the ACA and the eventual unwinding the public health emergency.” Full Article – Health Affairs
On Remand from Supreme Court, Eighth Circuit Rules That ERISA Does Not Preempt State PBM Regulation “Following the reasoning of the Supreme Court in Rutledge, the Eighth Circuit found that none of the challenged provisions in the North Dakota law had an impermissible connection with the ERISA plans. The court stated that the provisions at issue did not: [1] Regulate a central issue of plan administration, [2] Interfere with uniform plan administration, or [3] Force a plan to adopt a specific structure in terms of coverage or choice of insurers.” Full Article – Hall Benefits Law
No Surprises Act: Guidance for Health Plans and Insurers “Recently enacted legislation has restricted surprise medical billing for health plan participants who receive services at out-of- network health provider facilities in emergency contexts. The legislation also restricts surprise medical billing for services provided by health providers at in-network facilities and includes protections involving air ambulance services. Effective beginning in 2022, the legislation imposes significant compliance requirements for group health plans and insurers.” Full Article – Thomson Reuters
Benefits Issues That Arise Upon Misclassification of Employees “The effects of worker misclassification on employee benefit plans may include, but are not limited to: [1] failure to provide employee benefit coverage and appropriate remedial action; [2] failure to make employer and employee contributions to retirement and other employee benefit plans; [3] failure to provide the individual with required benefit plan disclosure and administrative notices; and [4] excise taxes under the ACA for failure to provide required health plan coverage.” Full Article – Foley & Lardner LLP
New Illinois State Law Imposes Disclosure Requirements on Group Health Plans “The CCDA requires employers that sponsor group health plans with employees in Illinois to disclose a comparison of the plan’s coverage to certain ‘Essential Health Benefits’ required by Illinois state law. The CCDA broadly applies, regardless of the employer’s size or its location, to fully insured and self-funded group health plans. Additionally, the Illinois DOL has taken the position that the CCDA also applies to ERISA-covered self-funded group health plans.” Full Article – Miller Johnson
Congress Reopens Door for HSA with No-Deductible Telehealth, But with a Hole “The Consolidated Appropriations Act of 2022 restores the exception for telehealth and other remote services, but only for the period from April 1 through December 31, 2022. This means that if a plan’s year started at any time from January 1, 2022 through March 31, 2022, and the plan did not impose the minimum deductible for telehealth or other remote services from the start of the plan year through March 31, 2022, the plan would not be a high-deductible health plan for that period. Consequently, participants covered by the plan would be ineligible to make or receive HSA contributions for that period.” Full Article – Proskauer
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.
Wisconsin
Wisconsin Supreme Court broadens employers’ substantial relationship defense to conviction record discrimination claims
“The Wisconsin Supreme Court recently issued a significant (4-3) decision in Cree, Inc. v. LIRC (Cree), rejecting the view that domestic violence crimes cannot substantially relate to employment.” Full Article
– Godfrey Kahn
California
California May Relax Background Check Process
“Many employers undertake routine background checks as part of their hiring process. To be effective, of course, the process has to be completed in a timely manner. Yet, a recent court decision, All of Us or None v. Hamrick, 64 Cal. App. 5th 751 (2021), made that process appreciably more difficult by prohibiting searches of criminal court records with the use of a person’s birth date or driver’s license number.” Full Article
– Proskauer Rose LLP
Oregon
Oregon Extends Exemption for Certain Payments from Equal Pay Act
“Last year, the Oregon legislature temporarily amended Oregon’s Equal Pay Act to exempt vaccine incentives, hiring and retention bonuses from pay equity considerations. SB 1514 permits employers to continue offering vaccine incentives and hiring and retention bonuses through the end of Oregon’s COVID-19 state of emergency, plus 180 days, without running afoul of the Act.” Full Article
– Jackson Lewis
Florida
Florida ‘Stop WOKE’ Bill Could Impact Employers’ Diversity, Equity, and Inclusion Efforts
“The Stop WOKE Act prohibits employers from requiring employees to participate in certain types of diversity, equity, and inclusion (DEI) training. The bill was recently passed by the Florida House and Senate; Governor Ron DeSantis is expected to sign it into law shortly.” Full Article
– Morgan, Lewis & Bockius
Tennessee
Tennessee Expands Employee Protections Relating to COVID-19 Vaccine Mandates
“Governor Bill Lee has signed into law a bill that expands protections for employees who are subject to employer COVID-19 vaccine mandates. The new law supplements existing state law that prohibits private employers and other entities from compelling or taking “adverse action” against a person to compel the person to provide proof of vaccination.” Full Article
– Proskauer Rose LLP
- Published in Blog
The RISQ RECAP – March 21st – March 25th, 2022
March 21st – March 25th, 2022
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
Spring Storm Safety Tips for Businesses
“Spring can bring about some of the year’s most dangerous weather and wreak havoc on many aspects of a company’s operations. This article discusses the weather threats to watch out for during spring and measures businesses can take to minimize damage.” Full Article
– Zywave
EMPLOYEE BENEFITS, HUMAN RESOURCES, & COMPLIANCE
President Biden Signs Executive Order Promoting Pay Equity and Transparency “In addition to digesting OFCCP’s release of a new directive on compensation, government contractors may soon see new regulations around inquiries into and the use of prior salary information. In conjunction with Equal Pay Day, President Biden signed a new Executive Order on Advancing Economy, Efficiency, and Effectiveness in Federal Contracting by Promoting Pay Equity and Transparency.” Full Article – Jackson Lewis
EEOC Issues Reminder That Caregiver Duties Continue Even As COVID Surge Wanes “On March 14, 2022, the U.S. Equal Employment Opportunity Commission (EEOC) released a new technical assistance document, “The COVID-19 Pandemic and Caregiver Discrimination Under Federal Employment Discrimination Law,” reminding employers that caregiver obligations continue notwithstanding our gradual return to normal.” Full Article – Squire Patton Boggs
How to Create a Level Playing Field in the Workplace Through DEI Efforts “We know that a more diverse workforce is more competitive, more lucrative, and better for employees and businesses as a whole. And there are many ways that HR professionals and company leadership can manage workforce diversity to achieve success, both in their organization and employees’ individual careers. The concept of equal opportunity employment has long been established in the HR space. But in recent years, companies have been moving toward not only avoiding discrimination, but actively promoting inclusion.” Full Article – Phelps Dunbar LLP
Enforcement Against COVID-19 Related Fraud: Two-year Anniversary Update “On the eve of the pandemic’s two-year anniversary, the U.S. Department of Justice (DOJ) released updated statistics on its efforts to combat COVID-19 related fraud and announced the appointment of a director of COVID-19 Fraud Enforcement. To date, DOJ has charged over 1,000 individuals with criminal offenses involving losses exceeding $1.1 billion; seized over $1 billion in Economic Injury Disaster Loan (EIDL) proceeds; and conducted over 240 civil investigations into more than 1,800 individuals and entities for alleged misconduct in connection with pandemic relief loans totaling more than $6 billion.” Full Article – Morrison & Foerster LLP
EEOC’s Advice to Employers on Accommodating Religion and COVID-19 Vaccines in the Workplace “As employees return to the office, many employers have questions about how to address requests for religious accommodations for COVID – Day Pitney
-19 vaccination requirements. As a result, on March 1, the Equal Employment Opportunity Commission (EEOC) issued guidance on responding to such accommodation requests. As a general matter, employees and job applicants can request an accommodation for an employer’s COVID-19 vaccination requirement if it conflicts with their sincerely held religious beliefs, practices or observances.” Full Article
IRS Issues Guidance on the Tax Court’s Review of Employment Status Determinations “The IRS issued Notice 2022-13, effective February 7, 2022, regarding the Tax Court’s review of an IRS determination as to whether a worker is properly classified as an employee or an independent contractor. The new guidance modified and superseded Notice 2002-5 and Rev. Rul. 2009-39 so that formal IRS notice under section 7346 is no longer a requirement for a taxpayer to petition the Tax Court for review of an IRS’s worker reclassification determination.” Full Article – Steptoe and Johnson
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.
Wisconsin
Wisconsin Supreme Court broadens employers’ substantial relationship defense to conviction record discrimination claims
“The Wisconsin Supreme Court recently issued a significant (4-3) decision in Cree, Inc. v. LIRC (Cree), rejecting the view that domestic violence crimes cannot substantially relate to employment.” Full Article
– Godfrey Kahn
California
California May Relax Background Check Process
“Many employers undertake routine background checks as part of their hiring process. To be effective, of course, the process has to be completed in a timely manner. Yet, a recent court decision, All of Us or None v. Hamrick, 64 Cal. App. 5th 751 (2021), made that process appreciably more difficult by prohibiting searches of criminal court records with the use of a person’s birth date or driver’s license number.” Full Article
– Proskauer Rose LLP
Oregon
Oregon Extends Exemption for Certain Payments from Equal Pay Act
“Last year, the Oregon legislature temporarily amended Oregon’s Equal Pay Act to exempt vaccine incentives, hiring and retention bonuses from pay equity considerations. SB 1514 permits employers to continue offering vaccine incentives and hiring and retention bonuses through the end of Oregon’s COVID-19 state of emergency, plus 180 days, without running afoul of the Act.” Full Article
– Jackson Lewis
Florida
Florida ‘Stop WOKE’ Bill Could Impact Employers’ Diversity, Equity, and Inclusion Efforts
“The Stop WOKE Act prohibits employers from requiring employees to participate in certain types of diversity, equity, and inclusion (DEI) training. The bill was recently passed by the Florida House and Senate; Governor Ron DeSantis is expected to sign it into law shortly.” Full Article
– Morgan, Lewis & Bockius
Tennessee
Tennessee Expands Employee Protections Relating to COVID-19 Vaccine Mandates
“Governor Bill Lee has signed into law a bill that expands protections for employees who are subject to employer COVID-19 vaccine mandates. The new law supplements existing state law that prohibits private employers and other entities from compelling or taking “adverse action” against a person to compel the person to provide proof of vaccination.” Full Article
– Proskauer Rose LLP
- Published in Blog
EPLI Claims on the Rise
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.
As COVID-19 vaccination rates increase and transmission rates of the virus decrease, employment practices liability insurance (EPLI) claims involving retaliation are expected to continue to increase as employees return to the workplace. Data from the Equal Employment Opportunity Commission (EEOC) shows that EPLI claims alleging retaliation have increased every year since 2003, with 37,632 workplace retaliation claims filed in 2020. The claims are typically filed in conjunction with discrimination or wrongful termination allegations.
The EEOC anticipates a rise in whistleblower claims from employees bringing forward concerns about health and safety in the workplace. Such claims may include employees concerned about exposure to COVID-19 due to unsafe working conditions or situations where employees allege they were wrongfully denied a request for leave or workplace accommodation.
The cost to defend and settle retaliation lawsuits has increased considerably in recent years, and the EEOC doesn’t anticipate that trend slowing down. With more workers bringing forth COVID-19-related legal actions, businesses are eager to purchase EPLI policies. However, the shift in the market has resulted in higher policy retentions, premium increases and new exclusions specific to COVID-19 exposures, and EPL insurers have started scaling back coverage.
Businesses can be proactive in mitigating EPL claims by:
- Distributing an employee handbook—The handbook should contain the company’s equal employment opportunity policy and provide employees with steps for reporting discrimination or harassment.
- Developing a code of ethics policy—Avoid ethical violations by developing and implementing a code of ethics and sharing it with all employees. This can help reduce an employer’s exposure to punitive damages.
- Instituting handbook auditing procedures—Keep the handbook up to date on the latest law changes by having an audit procedure in place.
As employees return to the office, employers should review their EPL coverage and take proper precautions to avoid EPL claims. For more information on EPLI, contact us today.
Remote Employees More Isolated Than Ever
As the world enters the third year of the COVID-19 pandemic, remote employees feel more isolated than ever. According to a survey from One Poll and Volley, 7 out of 10 employees who work from home report feeling increasingly isolated after more than a year out of the office. Two-thirds of respondents also report feeling disconnected from their teams, with a similar percentage reporting they work directly with someone they could not pick out of a lineup.
Loneliness can result in poor mental health outcomes, such as depression or anxiety. Employers should be concerned that isolation can lead to increased stress levels and poor decision-making, both of which can hurt business. However, it can be difficult to detect symptoms of isolation.
To better thrive in remote work situations, employers should encourage employees to:
- Reach out to coworkers. Utilizing video and audio calls throughout the week to communicate and brainstorm with coworkers can increase feelings of collaboration and inclusion. It can also help teams communicate more effectively and avoid misunderstandings.
- Work outside the house once a week. As more COVID-19 vaccinations are administered and restrictions are lifted, it can be helpful to work outside the home at least one day per week. A library, café or co-working space can help fight feelings of isolation.
- Go outside for lunch. Taking a break and enjoying a nice walk during lunch can help bring fresh energy back to work. Making time for movement outside or inside can help boost endorphins.
- Make plans for after work. Schedule time with friends and family after work to feel less lonely. Having plans can also ensure employees don’t overwork or get burnt out.
Employers should be proactive in reducing feelings of loneliness and isolation in remote workers to improve morale and business outcomes. For more information, contact us today.
- Published in Blog
Dazed and Confused
By Bailey Penrose, Employer Services Account Manager
Marijuana is becoming a problem, y’all. Not from any philosophical or moral viewpoint (that’s an individual’s point of view and out of my purview) but from an employment standpoint. As it currently stands, 36 US states and 4 US territories have legalized cannabis products for medicinal use; 18 US states, 2 US territories, and the District of Columbia have legalized cannabis products for recreational use. On the flip side, on the federal level the use of cannabis products for either medicinal or recreational purposes is totally illegal.
The divide between state and federal regulation is causing some distinct headaches as employers and individual’s try to understand which standard to follow. We don’t have to look very far to see examples of this. Just look at the headlines from the beginning of July, where athlete Sha’Carri Richardson ran afoul of differing rules:
Guidance is still coming, but I’m afraid it’s going to be a little bumpy as the US feels it’s way through the quagmire. Please see the articles included here for more information on how these regulations realistically apply to employers and their employees.
Weed at Work: Must Employers Accommodate Medical Use?
How Should HR Respond to Federal Marijuana Legalization?
Alaska Drug and Alcohol Testing Laws
Legalized Marijuana and Employment – Off-Duty Use and Drug Testing
- Published in Blog