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  • Columbus, Ohio, recently joined other states and municipalities that have passed laws prohibiting employers from inquiring into a job applicant’s salary history. The following cities in Ohio currently have these ordinances:

    • Toledo 
    • Cincinnati

    The Columbus ordinance covers all business owners within the city with 15 or more employers and their agents, such as job placement or referral agencies. It prohibits employers from asking applicants about their salary history, current or former employer, or searching publicly available records to obtain their salary history. An applicant is considered to be any individual applying for employment that will be performed within the city’s geographic boundaries and whose application will be solicited, received, processed, or considered in whole or in part in Columbus.

    The ordinance states that it’s an unlawful discriminatory practice for an employer to do the following:

    • Inquire about an applicant’s salary history, including prior wage, benefits, or additional compensation
    • Screen applicants based on their current wages, benefits, compensation, or salary history, including that an applicant’s salary history meets minimum or maximum criteria
    • Rely solely on an applicant’s salary history when deciding whether to extend an offer of employment or when determining an applicant’s salary, benefits, or other compensation
    • Refuse to hire or otherwise disfavor, injure, or retaliate against an applicant who doesn’t disclose their salary history

    However, employers can still ask applicants about their salary, compensation, and benefits expectations. In addition, employers may inquire into objective measures of the candidate’s productivity, including revenue, sales, or other production reports.

    Its’ prohibitions do not apply if another federal, state, or local law specifically authorizes reliance on salary history to determine employee compensation for a specific position. In addition, it applies to the following:

    • Internal transfers or promotions with a current employer
    • Voluntary disclosures by the applicant
    • Positions for which salary or compensation are set by collective bargaining
    • Applicants who are re-hired by an employer within three years of leaving the employer

    This ordinance goes into effect on March 1st, 2024. Once it’s effective, all employers who fail to comply with its prohibitions permit an applicant to file an administrative complaint with the Columbus Community Relations Commission. Should you violate the ordinance, you could be subject to civil penalties of $1,000 to $5,000.

    If you’re a GMS client and have questions, please contact your HR Account Manager. However, if you aren’t a client of GMS, contact us today to stay compliant with ever-changing laws and regulations.

  • On March 29th, 2023, after three years, Present Joe Biden signed H.J. Res. 7, a resolution to end the national COVID-19 emergency. The national emergency allowed the government to take sweeping steps to respond to COVID-19 and support the country’s economic, health, and welfare systems. While signing this bill immediately ends the COVID-19 national emergency, the public health emergency (PHE) remains in effect.

    The PHE will end on May 11th, 2023. Currently, the PHE mandates that health insurance plans fully cover COVID-19 testing without employee cost-sharing on both an in and out-of-network basis. Once this emergency ends, medical plans, including employer-sponsored plans, will not be required to pay for testing and will have to determine how to move forward.

    What This Means

    The national emergency ends provisions allowing an extended time for special enrollment in plans due to life events such as losing coverage, getting married, or having children. The national emergency gave individuals with a qualifying life event up to a year to enroll compared to individuals typically having 30 days to enroll.

    As a business owner, it’s essential that you’re aware of the impact this has on your business. When you partner with GMS, you gain access to HR experts who ensure you remain compliant. We work with you to update policies, whether in your handbook or educating your employees on the changes that will take place. Interested in learning what else we can help you with? Contact us today.

  • On March 29th, 2023, Ohio’s U.S. Senator Sherrod Brown introduced the Restoring Overtime Pay Act of 2023. If passed, the bill would increase the salary threshold for exempt workers over the next four years and possibly longer. It would make millions of American workers eligible for overtime pay when they work more than 40 hours a week. Overtime-exempt employees refer to individuals who, due to their job duties, are not legally entitled to overtime and are, therefore, “exempt” from the laws regarding overtime pay.

    Understanding The Bill

    If the bill is passed, the salary level for overtime-exempt employees will jump to $45,000 per year, equating to approximately $865 per week. Currently, the requirement is $684 per week or $36,000 per year. In addition, the salary level would then increase by $10,000 in January of 2024, again in 2025, and in 2026, reaching $75,000 per year. Since only 15% of full-time salaried workers are guaranteed overtime pay, this act would strengthen overtime protections and guarantee that 55% of all workers will be eligible for overtime pay. Starting on January 1st, 2027, the salary level would increase again to an annualized amount equal to the rate of the 55th percentile of weekly earnings of full-time salaried workers nationally.

    What You Need To Know

    Expanding overtime pay would mean more money in the pockets of working-class and middle-class Ohioans who work 50+ hours a week. Should this act pass, business owners must be prepared to adjust their practices and ensure compliance with the new regulations. Consider the following implications your business could face:  

    • You must ensure that employees are properly classified, and paid overtime wages for hours worked over 40 in a workweek
    • You will need to track the hours worked by a larger number of employees, increasing administrative costs and may require additional resources to manage
    • Compensation structures of employees who become eligible for overtime pay may need to be adjusted to ensure compliance
    • Increased potential for lawsuits should you fail to classify employees or pay overtime wages properly

    It’s essential to stay informed about the status of this act and any changes to the law that may impact your business. Consider partnering with GMS, a professional employer organization (PEO) that will keep you updated on ever-changing rules and regulations. We provide time and attendance tracking software to help businesses efficiently and accurately track employee hours worked. In addition, we will help you manage payroll for your employees who become eligible for overtime pay, ensuring that your employees are paid accurately. Let’s take this on together so you no longer have to handle these tasks alone. Contact us today to learn more.

  • As well all know, employee benefits and perks play a significant role in job satisfaction and can often be the deciding factor when choosing between job offers. In recent years, companies have offered various employee perks and benefits to attract and retain top talent. However, as the economy experiences its ups and downs, have you ever heard of a perk-cession? As a business owner, should you be worried about a perk-cession? In this blog, we’ll explore the potential impact of an economic downturn on employee benefits and what workers can do to ensure they’re prepared for any changes that may come their way.

    What Is A Perk-Cession?

    A perk-cession refers to the trend of employers scaling back on workplace perks and benefits. Business owners have begun realizing that they may have adopted the idea of offering additional perks too quickly, as employees nowadays are becoming more interested in perks that can improve their overall quality of life and work experience. You may be wondering what specific perks are being scaled back. Think about the perks outside of your traditional benefits, which can include the following:

    • Gym membership reimbursements 
    • Social events
    • Company outings
    • Catered meals
    • Retreats
    • Conferences
    • Home office stipends

    Why Is This Happening Now? 

    While the trend of offering additional perks to employees has been on the rise for several years, the perk-cession is said to be caused by various factors. The COVID-19 pandemic has significantly impacted the economy, leading many companies to reassess their budgets and expenses. In the wake of the pandemic, businesses have had to begin implementing cost-cutting measures, and employee perks and benefits have been among the first to go. On top of that, the job market has become increasingly competitive, with companies struggling to find and retain top talent. This forces businesses to offer additional perks and benefits to lure in employees. However, as the job market becomes more crowded, companies may be scaling back on perks, as they can no longer afford to offer them to every employee. Ultimately, the trend of providing additional employee perks and benefits has reached its peak, and companies have realized it’s no longer sustainable.

    To cut costs, Google began cutting back on employee perks such as fitness classes and office equipment. Meta announced their plan to cut an additional 10,000 employees and ended free laundry and dry cleaning services for their employees. This is only the beginning of yet another period of unprecedented times for the workforce.

    How You Can Respond To The Perk-Cession

    During these challenging times that require significant decisions that will impact your business, it’s critical that you consider your employees as they’re your biggest asset. To ensure your employees are aware of what’s happening, consider taking the following steps:

    • Communicate openly and transparently: You must be open and transparent with your employees about the company’s challenges and the measures being taken. Regular communication through company-wide emails, town hall meetings, or one-on-one discussions can help build trust and maintain employee morale.
    • Solicit feedback and act on it: Employers should solicit feedback from their employees on what benefits and perks they value the most and use the information to make informed decisions about their benefits packages. This ultimately helps ensure that your company provides the benefits that matter most to employees. It can also aid in deciding whether to eliminate a perk or benefit.
    • Focus on non-monetary perks: Consider focusing on low-cost perks that are still valuable to your employees. For example, offering flexible working hours, training and development opportunities, or recognition programs can help to maintain employee engagement and loyalty.
    • Be creative: As a business owner, get creative with the perks you offer to make up for the cuts in other areas. Have your leaders/managers help. Perhaps instead of providing free lunches throughout the week, you could offer a monthly team-building event or a fun office challenge.

    Consider Partnering With A PEO

    As businesses navigate the uncertain economic landscape brought about by the COVID-19 pandemic, attracting and retaining top talent has never been more crucial. However, the perk-cession may leave some businesses struggling to provide competitive employee benefits and perks. That’s where a professional employer organization (PEO) such as GMS comes into play. When you partner with a PEO, businesses can offer their employees a wide range of benefits, from health care and retirement plans to wellness programs and employee assistance programs, at a fraction of the cost of managing these programs in-house. With a PEO’s support, businesses can still attract and retain top talent, even during tough economic times. Do you want to offer your employees the resources they need to thrive in and out of the workplace and stand out from your competition? Contact the HR experts at GMS, who are ready to help you.

  • In recent years, small and mid-sized businesses have been offering employee benefits at record levels. This is a recent change, as in the past, many small businesses struggled to compete with larger companies in terms of the benefits they could offer their employees. However, in today’s economy, during unprecedented times with inflation and the Great Resignation, small and mid-sized businesses can now offer better benefits packages to their employees.

    The Job Market

    Let’s start by understanding what the job market looks like in today’s economy. The job market has become increasingly competitive in recent years. With unemployment rates at record lows and growing demand for skilled workers, businesses of all sizes must work harder to attract and retain top talent. Offering a competitive benefits package is one way small businesses can differentiate themselves from their competitors and attract the talent they want and need. Research shows that 73% of employees would be encouraged to stay with their current employer longer if given access to more benefits options.

    The Affordable Care Act (ACA)

    The Affordable Care Act (ACA) has also made it easier and more affordable for small businesses to offer health insurance to their employees. The ACA is a comprehensive health care reform law enacted in 2010. The law has three primary goals, which include the following:

    • Make affordable health insurance available to more individuals 
    • Expand the Medicaid program to cover all adults with income below 138% of the federal poverty level (FPL)
    • Support innovative medical care delivery methods designed to lower the costs of health care generally 

    Before the ACA, many small businesses struggled to provide health insurance to their employees due to the high costs involved. However, the ACA introduced a range of tax credits and subsidies for small businesses, which has made it easier for them to offer health insurance to their employees. This has been a game-changer for many small businesses, allowing them to provide better benefits packages without breaking the bank.

    Offering Benefits Is Important!

    There has been a growing awareness among business owners about the importance of employee well-being. Many employers now understand that happy, healthy employees are more productive and engaged. As a result, businesses have begun investing in employee benefits programs that promote health and wellness, such as gym membership reimbursements, mental health counseling, and wellness programs. These programs not only improve employee morale but also help to reduce health care costs for the business in the long run.

    The COVID-19 pandemic also highlighted the importance of employee benefits. Many businesses have had to adapt to remote work and make significant changes to their operations to keep their employees safe. In this new landscape of work, employee benefits such as paid time off (PTO), sick leave, and flexible working arrangements have become essential. Employers who have been able to provide these benefits have been able to maintain high levels of employee engagement and productivity during challenging times.

    GMS Is Here To Help You Thrive

    As businesses continue to recognize the importance of investing in their employees, we can expect to see even more innovative and comprehensive employee benefits programs in the future. Providing benefits not only helps attract and retain top talent but also contributes to a positive work culture and can boost productivity and morale. Benefits such as health insurance, retirement plans, and paid time off can make a significant difference in the lives of employees and their families, leading to increased job satisfaction and loyalty. While offering benefits may require an investment of time and resources, the long-term benefits for your business and employees make it a smart and necessary decision. As small businesses begin offering employee benefits at record levels, it’s time to make a change. Partner with a professional employer organization (PEO), such as GMS, who will provide you with a competitive benefits package. GMS changes the approach to increase affordable options and give your employees access to small business health insurance. We give small businesses the buying power of a larger corporation. In turn, we’re able to offer the following:

    • Financial security 
    • Flexible benefit options
    • Unprecedented customer service experience 

    GMS’ Benefits Account Manager Becky Fink said it best, “When employers offer benefits, they see greater employee retention. GMS enables clients to offer their employees a wide selection of benefit options. Our benefits experts help clients manage enrollment, payroll deductions, and renewals, so offering employee benefits is a breeze.”

    Get a quote from us today to gain a competitive edge in today’s labor market.

  • The U.S. Citizenship and Immigration Services (USCIS) will be disposing of E-Verify records created on or before December 31st, 2012. E-Verify is an internet-based system that compares information an employer enters from an employee’s Form I-9 and employment eligibility verification to records available to the U.S. Department of Homeland Security and the Social Security Administration to confirm employment eligibility.

    What To Know As A Business Owner

    If you’re an E-Verify employer, you have until June 23rd, 2023, to download case information from the Historic Records Report to retain information about your older E-Verify cases. You’re required to record the following:

    • E-Verify case verification number on the corresponding Form I-9
    • Employment eligibility verification 
    • Attach a copy of the case details page to the Form I-9

    It’s essential to download the Historic Records report from E-Verify at the end of every year. 

    The Historic Records report provides case data, including basic company and case identifiers and case resolution information. The case data does not include sensitive employee information such as Social Security numbers or document numbers.

    To download Historic Records, click here for instructions.

    GMS Is Here To Help

    As this deadline is approaching quickly, consider partnering with a professional employer organization (PEO) such as GMS. GMS’ HR experts ensure that E-Verify employers are prepared to download case information before it’s deleted by monitoring case status, providing guidance and support, and maintaining records. We will keep your records of all E-Verify cases, ensuring you have access to the information you need. Ultimately, we help you comply with E-Verify requirements and avoid potential penalties. Contact our HR experts to get started today.

  • As a business owner, staying up to date with the latest regulations and laws related to your industry is important. However, with the effective dates of the Providing Urgent Maternal Protections (PUMP) Act Enforcement and the Pregnant Workers Fairness Act (PWFA) quickly approaching, managers must ensure they are well equipped to navigate these new regulations. The PUMP Act and PWFA are significant legislative updates impacting many businesses. They will require company operations to change, and managers need to understand what these changes entail.

    But first, let’s refresh ourselves on what these laws are.

    PUMP Act

    The PUMP Act was passed as part of the federal spending bill by Congress and signed into law by President Biden in December 2022. It ultimately extends workplace lactation protections to the majority of breastfeeding employees throughout the country. It amends the 2010 federal Fair Labor Standards Act (FLSA) law “Break Time for Nursing Mothers” that previously mandated workplace lactation accommodation protections. Employers must provide reasonable break time and a private non-bathroom space to pump for up to one year after a child’s birth. The PUMP Act grants these same protections to exempt and non-exempt employees and includes the right to sue for the following:

    • Lost wages
    • Emotional distress
    • Punitive damages 
    • Attorney feed 

    The PUMP Act goes into effect on April 28th, 2023. 

    Understanding PWFA

    PWFA will require employers to reasonably accommodate workers for known limitations related to pregnancy, childbirth, or related medical conditions. This act applies to all employers with 15 or more employees. Pregnancy discrimination was already prohibited by the Pregnancy Discrimination Act (PDA) of 1978. In addition, the Americans with Disabilities Act (ADA) requires employers to provide reasonable accommodations to employees with certain conditions related to pregnancy that qualify as a disability. However, many other common pregnancy-related conditions are not covered. That’s where PWFA comes into play – it extends protections similar to those provided under the ADA. It now accommodates the known limitations related to a qualified employee’s pregnancy, childbirth, and related medical conditions.

    PWFA takes effect on June 27th, 2023.

    What You And Your Managers Should Understand

    Now it’s time to discuss what your managers should be cognizant of should an employee allege their employer isn’t complying with these laws. With these effective dates approaching rapidly, what can you do to implement these requirements? Here are a few actions you and your managers should consider taking:

    -Review and update policies: Employers should review their lactation accommodations, break times, and paid leave policies to ensure they comply with the new requirements under the PUMP Act and PWFA. In addition, your employee handbooks should be updated to reflect the changes.

    -Provide training: You should train your managers or leaders within your organization on the new laws so they can answer employee questions and ensure compliance.

    -Provide lactation accommodations: You must provide a private space, other than a bathroom, for employees to lactate. This space should be away from all employees and free from possible intrusions. In addition, you must provide reasonable break time for employees who need to breastfeed.

    -Consider flexible work arrangements: Employers should consider offering flexible work arrangements such as a work-from-home option to help employees balance their work and caregiving responsibilities.

    -Review record-keeping procedures: You must maintain records of lactation accommodations and break times provided to employees for three years. Consider reviewing your record-keeping procedures to ensure you comply with the new requirements.

    Seems Like A Lot, Right?

    As the second quarter of 2023 is in full swing, you have many responsibilities on your plate. We get it. The last thing you need right now is to get fined for not complying with yet another law. However, your employees are your greatest asset, and you must ensure they have a safe and welcoming environment. Have you considered partnering with a professional employer organization (PEO) to help you implement these changes? If you partner with a PEO such as Group Management Services (GMS), you gain access to HR experts that know the ins and outs of the PUMP Act and PWFA. We’re here every step of the way to ensure your business is compliant. Whether we need to update your employee handbook, create and implement policies and procedures, or provide you and your managers with training so you can better understand what these laws mean, we’ve got you covered. Contact us today so we can set you on the path to success.

  • The Illinois Supreme Court issued an opinion on Walton v. Roosevelt University on March 23rd, 2023. This affirms the validity of a vital preemption defense for employers facing litigation under the Illinois Biometric Information Privacy Act (BIPA). Before we hear the decision of the Illinois Supreme Court, let’s understand the history of this case and what BIPA means.

    Understanding BIPA

    The Illinois legislature unanimously passed BIPA in 2008. This law ensures that individuals are in control of their own biometric data and prohibits private companies from collecting it unless they do the following:

    • Inform the person in writing of what data is being collected or stored
    • Inform the person in writing of the specific purpose and length of time in which the data will be collected, stored, and used
    • Obtain the individual’s written consent 

    Biometric data is data based on an individual’s biometric identifiers that are used to identify an individual. It can include a retina or iris scan, fingerprints, voice print, hand scan, and face geometry. BIPA has become the most litigated biometric privacy statute in the nation. It establishes standards for how businesses must handle Illinois consumers’ biometric information. The main goal of this law is to create a standard of conduct for private entities to collect or possess biometric information responsibly.

    Walton V. Roosevelt University Case

    This case is about an employee at Roosevelt University who brought a class action claiming the University violated various provisions of BIPA by using a biometric time-clock system. This system was used to scan his fingerprints without obtaining his informed written consent. The University then disclosed his biometric information to a third-party payroll services provider without his consent. The employee sued the University, alleging that they violated BIPA by doing the following:

    • Failing to develop a written policy made available to the public, establishing a retention policy, and guidelines for destroying biometric data 
    • Collecting his biometric data without providing him with the requisite notice and obtaining his written consent
    • Disclosing his biometric data without consent 

    However, an Illinois Appellate panel held that the Labor Management Relations Act (LMRA) prevents the employee from usurping the bargained-for dispute resolution requirements in the collective bargaining agreement by first suing the University directly in court. The University moved to dismiss the case because LMRA pre-empted the plaintiff’s claims.

    What The Illinois Supreme Court Decided

    The court affirmed the appellate court’s holding that Illinois’ BIPA is pre-empted by federal labor law for plaintiffs who are members of a bargaining unit and covered by a collective bargaining agreement. The court held that Illinois would follow Seventh Circuit precedent. In addition, the court found that the Seventh Circuit decisions governed the case and should be followed because they concern federal law and were reasonable.

    Ultimately, the Illinois Supreme Court ruled that the LMRA preempts BIPA claims brought by an employee of a bargaining unit if the employer cites the collective bargaining agreement’s management rights clause in response to the claim. The court deferred to the federal case law on this issue.

    What This Means For Business Owners

    While you may think this case does not directly impact your business, you may have thought wrong. Unionized employees are not prohibited from seeking redress for alleged BIPA violations. They must pursue these claims through the grievance procedures in their collective bargaining agreements instead of in state or federal court. In addition, business owners should be aware of their obligations under BIPA if they collect, use, or store biometric data from employees or customers.

    Business owners must consult legal counsel to understand the pre-emption issues that may arise in specific situations. Partnering with a professional employer organization (PEO) such as Group Management Services (GMS) provides you with the support you need. GMS experts help business owners comply with federal and state laws and regulations, including anti-discrimination and privacy laws. In addition, we can help employers manage their employment-related risks by providing employment practices liability insurance (EPLI) coverage. EPLI helps protect employers from the financial loss associated with claims of discrimination, harassment, retaliation, and other workplace-related claims. GMS ultimately helps business owners mitigate legal risks by providing up-to-date employment policies, procedures, and employee handbooks that are compliant with state and federal laws. Protect your business and contact us today.

  • Within the past few years, the cannabis industry has grown exponentially with the legalization of marijuana for medicinal and recreational use in many states across the country. Recreational marijuana is legal in more than 20 states, with additional states legalizing medicinal marijuana. However, despite the legalization, cannabis businesses still face several operational challenges. A main challenge is finding financial institutions that are willing to work with them. This issue has been intensified by a recent decision by Paychex, a provider of payroll and HR services, to stop offering direct deposit services to cannabis firms.

    On March 29th, 2023, Paychex announced that they would no longer process direct deposit payments or offer services for marijuana-related businesses, beginning May 1st, 2023. Paychex will begin suspending the following services:

    • Automatic payroll tax administration 
    • Direct deposit 
    • Time and attendance services 

    What This Means For Small Business Owners

    The decision by Paychex to terminate direct deposit services to cannabis firms will significantly impact the industry. Direct deposits are crucial for employers to pay their employees quickly and efficiently. Without this convenient service, cannabis businesses may suffer in attracting and retaining employees and managing their cash flow effectively. Ultimately, this change can lead to difficulty in finding banks and financial institutions that are willing to work with cannabis businesses. This, on top of the numerous other issues cannabis industries, are already fighting – banking, tax codes, compliance, HR – could have a detrimental impact on many of the firms.

    What Happens Now?

    If you’re a business owner in the cannabis industry who used Paychex for their services and are unsure of what to do now, you’ve come to the right place. Group Management Services (GMS) is a professional employer organization (PEO) that partners with businesses similar to yours. We have experience working with businesses in the cannabis industry, so we understand the unique challenges your business faces daily. Fortunately, our team of HR experts works diligently with you to provide payroll and HR services designed specifically for your business and is compliant with applicable laws and regulations.

    Our goal at GMS is to help your cannabis business thrive in these challenging times. The last thing we want is for your business to go under because you can’t manage your employees’ payroll. We take that off your shoulders so you can focus on more important aspects of your business. Get a quote today so we can get your employees paid!

  • Porter Roofing Contractors Inc., a Tennessee-based roofing contractor, face a hefty penalty after the U.S. Occupational Safety and Health Administration (OSHA) cited them. This citation came following the death of an employee who had fallen through a skylight at a Florida airport hangar. OSHA cited the company for four serious violations and proposed $53,797 in penalties.

    OSHA stated that Porter Roofing failed to inspect job sites, materials, and equipment regularly. In addition, they exposed their workers to electrical, struck-by, and fall hazards while failing to report work-related employee hospitalization within 24 hours.

    About Porter Roofing Contractors Inc.

    Porter Roofing is your single-source contractor for consultation, execution, and installation of various high-performance roof systems. They have blueprinted an innovative culture throughout their company, emphasizing the welfare and safety of everyone involved with any roofing project they undertake.

    The Assistance Of A PEO

    Unfortunately, the failure of Porter Roofing to prioritize the safety of its workers resulted in the tragic loss of an employee’s life. This serves as a reminder to take proactive measures to safeguard your workers and prevent unnecessary loss of innocent lives. Have you considered partnering with a professional employer organization (PEO)? A PEO such as Group Management Services (GMS) helps businesses with OSHA compliance to reduce the risk of an OSHA inspection and to prepare for one if it does occur.

    At GMS, our risk management team can perform a comprehensive assessment of your company’s safety practices identifying areas of non-compliance with OSHA regulations. The assessment can include the following:

    • Review safety policies and procedures 
    • Conduct safety policies and procedures 
    • Identify training needs

    We provide you with safety training for your employees so you can avoid accidents and injuries and reduce the risk of OSHA violations. In addition, if you don’t already have safety programs and policies in place, our experts help you develop and implement safety programs and policies that comply with OSHA regulations. We do it all. Contact us today to ensure your workers are working in a safe environment.