Wednesday, July 20, 2011

Tim's Talkin' about Drug Tests with the Unemployed, Social Media Labor Issues and the E-Verify Program

ONE BIG TEMP ORDER!

As a result of the earthquake related troubles in Japan Toyota has announced that it will hire between 3000 and 4000 temporary workers. Also, Honda will hire about 1000.

Toyota suffered a nearly 75% loss in production following the quake.

DRUG TESTING AND UNEMPLOYMENT
You would think that with unemployment levels at such a high rate, finding qualified workers would be a breeze. The problem is more and more applicants are failing pre-employment drug tests. What make this more amazing is that most applicants in this job market know they will be drug tested and still can't pass.

According to the agency CSS Workforce NY, a study they performed involving southern tier New York State, somewhere between 30 to 50 percent of job applicants in that area could not pass a drug test.

We see this problem in the staffing industry as well. You combine the drug test issue along with the background check required by many companies and the employable pool of labor shrinks dramatically.

RETALIATION AND WORKERS COMPENSATION CLAIMS
We've discussed the ramifications before about terminating an employee or even ending the assignment of a temporary because they filed a worker's compensation claim.

One aspect of the statute became clearer recently when the Ohio Supreme Court ruled 4-3 that the protection of this law does not extend to employees who are terminated BEFORE they file, institute or pursue a claim.

I'm not sure what this ruling accomplishes for employers that don't violate this part of the law but if you do it promotes speedier termination.

BAN THE BOX PICKS UP STEAM
If you don't know what this movement is all about be aware. It is designed to eliminate the "box" on employment applications that inquires about an applicant's criminal history.

Checking the "have you ever been convicted of a felony" box often times eliminates otherwise qualified individuals from employment. This, many say, makes the problem of returning convicted criminals to society even more difficult by denying those that have paid their debt the opportunity to move forward.

A group called All of Us or None has mobilized to pass laws eliminating this practice and has some success in selected cities across the country and in the public sector. Those private sector companies that have government contracts are also in their sights. The belief here is that these type of questions immediately discriminate against individuals convicted of crimes that really have relevance to the job being applied to perform. In some ways they have a point. We are a people of giving second chances....it's the third, fourth, etc. that cause the problem.

E-VERIFY COMING TO A HUMAN RESOURCE DEPARTMENT NEAR YOU
The U.S. House Subcommittee on Immigration Policy and Enforcement is starting the process that would ultimately require all U.S. companies to use E-Verify before hiring any employee.
For those that don't know, E-Verify is the governments verification required primarily of those doing work for the government.

On the plus side by fully establishing an electronic system the current Form I-9 process would be eliminated. It would also protect employers using the system from prosecution for having an illegal slip through the hiring process.
On the down side, the law may require re-verification of existing employees within certain time limits.

SOCIAL MEDIA--PART TWO
We discussed the impact of social media and employees being protected via the concerted activity defense. A couple of more cases are making their way through NLRB complaint filings. One involved employees complaining about a company's handling of a sales event that offered customers hot dogs and bottled water. The implied violation here is that the company was being cheap and as a result it impacted on the earnings of sales people. This was a Facebook posting. The other was a termination of five employees that were alleged to have harassed a co-worker via Facebook as well as complaining about working conditions.

The bottom line is tread carefully before you take disciplinary action based on social media communications. Nothing is easy anymore!

BACKGROUND CHECKS AND THE EEOC
According to sources the EEOC will hold a meeting on July 26, 2011 to investigate the use of criminal background checks in the hiring process. The concern is that use of these records may create unfair barriers to those trying to re-enter the workplace.

TIP OF THE MONTH GIVE SMALL BUSINESS A CHANCE


 As more and more large companies shy away from using regional staffing services in favor of VMS operators I can't help but wonder why. The VMS (Vendor Management System) is one of centralized planning that sounds good on paper but at what expense? What it really comes down to is service. And do you really want someone hundreds of miles away, who don’t know you or your special requirements brokering your staffing needs?

Think about this. There is a reason that small regional staffing companies earn 81-85 percent of their business from companies with less than 1000 employees. And that number grows to 90% for those servicing industrial accounts. It all comes down to service. In the light industrial sector of the staffing business there is no such thing anymore as the standard order. It has become very specialized and the national services just are not as proficient in filling these orders as the smaller staffing firms.

So, before you place that next order with that large national supplier take our small business test in this month's RESOURCE and pause to think about where this country would be without small business. The numbers are truly staggering.

                                                      WHERE WOULD WE BE WITHOUT THEM?
Small business is defined as those businesses that employ 500 or fewer employees.

1.Small firms represent what percent of all employer firms?
    a. 65%
    b. 50%
    c.  99.7%
    d.  80%
2. How many self-employed individuals work in the U.S.?
    a. 500,000
    b. 1,250,000
    c.  5,000,000
    d.  15,300,000
3. What is the percent of private sector employees working  for small firms?
   a. 50%
   b. 25%
   c.  75%
   d. 10%
4. True or False. Small firms produce 13 times more patents per employee than large patenting firms?
   a. True
   b. False
5. How much non-farm GDP is produced by small firms?
   a. 52%
   b. 44%
   c. 68.5%
   d. 12%

6. Between 1993 and 2009 small firms accounted for what percent of the 15 million net new jobs created?
   a. 45%
   b. 89%
   c. 31%
   d. 65%
7. How many new employer firms opened for business in 2009?
   a. 552,600
   b. 89,452
   c. 215,463
   d. 12
8. Most recent census data indicates what percent of small businesses fail in the first two years?
   a. 96%
   b. 18%
   c.  31%
   d. 49%
9. True or False. Small firms hire 43% of all high tech workers?
   a. False
   b. True
10. What percentage of total U.S. private payroll comes from small business?
   a. 14.2%
   b. 62.8%
   c.  44.0%
   d. 82%

Answers (1-a) (2-d) (3-a) (4-a) (5-a) (6-d) (7-a) (8-c) (9-b) (10-c)