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  • Earlier this year, the U.S. House of Representatives passed a new retirement bill called Secure 2.0, designed to build off Secure Act 2019. The new bill aims to make it easier for workers to prepare for retirement. This version of Secure Act 2.0 passed by the House requires most employer-sponsored retirement plans to enroll new employees automatically. This makes it easier for student loan borrowers to save and lower retirement plan administration costs for small businesses.

    Currently, the Senate is working on two separate pieces of legislation that should be combined into one package. The Senate’s effort would ultimately reconcile with the House bill. Multiple provisions in the Senate bills overlap with the House’s. However, a handful of additional provisions include access to an emergency fund in your 401(k).

    Secure Act 2.0 

    The following explains how Secure Act 2.0 would allow individuals to save more: 

    • It expands automatic enrollment in retirement plans
    • It promotes the Saver’s Credit
    • It raises catch-up contribution limits
    • It offers extra assistance to student loan borrowers

    In addition, this act would improve current retirement plans by:

    • Delaying required minimum distributions 
    • Making it easier to buy annuities 

    Finally, Secure Act 2.0 would lower costs for employers by:

    • Granting tax credits for small businesses 
    • Supporting small 403(b) plans
    • Easing up on plan paperwork

    Diving Deeper Into The New Law

    When looking at the provisions both the House and Senate have made, it would certainly help retirees. However, it ultimately avoids the heart of the retirement crises – half of Americans don’t save for retirement. Secure Act 2.0 doesn’t support workers who slip through the cracks or move from job to job where they go months or even years without saving for retirement. Retirement savings plans aren’t universally covered, which accounts for a large part of the ongoing American retirement crisis.

    What You Can Do As A Business Owner

    It is more common for individuals to contemplate getting a procedure that will benefit them now rather than saving that money for retirement. While others think they can’t afford to save for retirement. GMS is here to provide guidance on the best plan for your employees. Offering retirement plans is essential for recruiting and retaining quality employees. However, it’s a benefit that comes along with a lot of complexity and risk. GMS helps cut costs, reduce stress, save time, and offer the benefits your employees need. Contact us today to learn more.

  • A nationwide survey found that 50 percent of workers experience the “Sunday Scaries” before returning to work after time off. In comparison, another 40 percent say they struggle with “Imposter Syndrome.” The Sunday scaries are feelings of intense anxiety and dread that routinely occur every Sunday. Imposter syndrome is an internal experience of believing you are not as competent as others perceive you to be.

    What Will You Do As The Employer?

    If you’re an employer and you find that your employees feel anxiety when returning to work, what will you do to combat their feelings? Approximately seven million individuals in the U.S. have been diagnosed with generalized anxiety disorder, making it the most common mental illness. Employees who participated in the isolved’s survey stated that their employer could help reduce symptoms of Imposter Syndrome and the anxiety of returning to work by meeting with supervisors regularly and providing resources to minimize burnout.

    The following are steps you can take to reduce anxiety amongst your employees:

    • Set reasonable expectations
    • Communicate frequently
    • Let employees know they’re appreciated, especially in high-stress times
    • Keep your personal life personal
    • Avoid discussing politics or incendiary topics
    • Break up the normal routine
    • Consider hiring an occupational therapist for your team or provide outside resources for counseling/therapy

    Ask your employees what you can do to help ease their anxiety or how you can reduce burnout. Individuals may want to meet one-on-one with their supervisor, while others may want to meet with an outside resource, such as a therapist. You won’t know the answers until you ask.

    Where GMS Comes Into Play

    At GMS, our experts work diligently with you and your team to make your business run simpler, safer, and stronger. While we can’t ultimately take away the anxiety your employees may be feeling; we can certainly provide you with resources that will be able to help. When you partner with GMS, we assist you in conducting performance reviews. You need to communicate with your team to understand where they’re at, how you can help, and answer any questions your employees have. In addition, we have a 24/7 nurse triage hotline your employees can utilize if they are feeling anxious and need to speak with a professional. We are a one-stop shop providing you with risk management, payroll, HR, and benefits assistance. Contact us today.

  • Individual state governments continue to propose and adopt legislation requiring businesses to ensure consumers’ privacy rights; however, some states are preparing faster than others. All companies in Michigan, Ohio, and Pennsylvania should be prepared for changes that could be coming their way. The three states have considered implementing bills similar to California’s strict law.

    The California Consumer Privacy Act (CCPA) gives consumers more control over the personal information being collected about them. This law secured new privacy rights for California consumers, including:

    • The right to know about the personal information collected and how it’s used and shared
    • The right to remove or delete personal information 
    • The right to opt-out of the sale of their personal information 
    • The right to nondiscrimination when exercising CCPA rights

    What This Means For Michigan, Ohio, & Pennsylvania

    Should Michigan, Ohio, and Pennsylvania implement a law similar to the CCPA, it would require covered businesses to enforce policies and procedures that provide privacy rights to consumers. If you’re a business owner in one of these states, it is vital to understand the requirements, as they could impact your business.

    Michigan

    The Michigan legislature is considering the Consumer Privacy Act that would apply to for-profit entities conducting business in Michigan or producing products or services targeted at Michigan residents.

    Should the Michigan legislature pass, it would provide consumers with the following rights: 

    • The right to access the personal data collected about an indiviual
    • The right to request that a business is to correct any personal data about them that is inaccurate
    • The right to opt-out of the processing of personal data for purposes of targeted advertising or profiling 
    • The right to obtain the personal data that they provided to the business in a portable and readily usable format
    • The right to opt-out of the sale of the consumer’s data

    Ohio

    The Ohio Personal Privacy Act applies to certain for-profit entities in Ohio. This also includes producing products or services targeted to consumers within the state that has met specific requirements. In addition, this act would exclude specific organizations from its coverage, including state agencies, institutions by HIPAA, and more.

    The act would provide consumers with the following rights:

    • The right to access personal data collected about them
    • The right to request the removal of personal data collected from a consumer for business purposes retained in electronic formats 
    • The right to opt-out of data being processed or transmitted
    • The right to request your data must be provided electronically in a portable, easily usable format
    • The right to opt-out of the sale of personal data of the consumer

    Pennsylvania 

    The Pennsylvania legislature is considering three pieces of legislation: the Consumer Privacy Act and two bills called the Consumer Data Protection Act. The Consumer Privacy Act provides consumers the same rights as the Michigan Consumer Privacy Act.

    The Consumer Data Act applies to for-profit entities that do business in Pennsylvania and meet specific limitations. This act is different from the Consumer Privacy Act as it does not include the right to correct misinformation, restrict the processing of personal data for targeted advertising or profiling, or obtain data in a portable format. In addition, the Consumer Data Act provides for a private right of action when a consumer whose non-encrypted or non-modified personal information is subject to unauthorized access and exclusion, theft or disclosure, to implement and maintain appropriate security procedures and practices resulting in a breach of the business of duty.

    The act includes: 

    • The right to access personal data collected about them
    • The right to request that the business remove any personal information it collected from the consumer
    • The right to opt-out of the personal data of the consumer 

    What’s Next 

    No matter where your business operates, it’s vital to understand the ever-changing laws in each state. As states are beginning to implement similar laws to California, Ohio, Michigan, and Pennsylvania regarding privacy. As a business owner, staying on top of the evolving rules and regulations is essential. When you partner with GMS, you gain access to experts and resources that will help you do so. We partner with small businesses to take on the administrative burdens they don’t have time to handle. Stop worrying about the future and partner with GMS. Contact us today.

  • It’s important to make a name for yourself in business. However, having other people use your small business’ name or sensitive information is less than ideal.

    According to PwC’s 2022 Global Economic Crime and Fraud Survey, 46% of organizations experienced some form of fraud in the last two years. Business identity theft is a serious issue for both small businesses and their employees. Find out how identity theft can impact your business and how you can protect yourself in the future.

    How Does Identity Theft Affect Businesses?

    Identity thieves can target your business in several ways – by attacking your company directly or targeting your employees. While one method is a more direct attack on your business, both forms of theft will end up hurting your business and costing you time and money.

    Examples of business identity theft

    There are multiple ways that fraudsters can use your business’ identity against you. Corporate identity theft scams include:

    • Fake invoices
    • Phishing emails
    • Fake social media accounts
    • Lookalike websites
    • Tax information abuse
    • Trademark ransom

    All of these forms of fraud are used to gain access to something – your back account, personal information, and more. Stolen money and information are just the beginning for the problem. Business identity theft can lead to credit score drops, IRS audit penalties, and a hit to your company’s reputation.

    Examples of employee identity theft

    There are several different ways that identity theft can wreak havoc on your employees’ personal lives.

    • Stolen debit cards, credit cards, or checks
    • Fraudulent change of address
    • Social security number fraud
    • Passport abuse
    • Drivers license misuse
    • Hacked email accounts

    It’s also important that attacks against your employees can impact your business in multiple ways. The most obvious issue is the personal toll that identity theft takes on your workers. According to Allstate, it can take up to 200 hours to resolve identity theft. That’s a lot of time and energy, and your employees may need to take time off to deal with the fallout caused by identity theft.

    There’s also the emotional impact of identity theft. The Identity Theft Resource Center reports that 86.7% of identity theft victims felt stressed, 90% couldn’t sleep properly, and 36.7% suffered from panic attacks. That level of emotional distress will distract your employees and most likely impact work performance, which is why safeguarding them from these issues can directly benefit your business.

    A phone with strong password protection, one way how to protect your business from identity theft.

    How To Prevent Identity Theft At Your Business

    Identify theft can happen to anyone, from a single person to a major corporation. However, that doesn’t mean you can’t take measures to prevent identity theft. Use the following measures to defend your business and employees from future identity theft attacks.

    Add extra security measures

    Protect your business by making it harder for fraudsters to access your information. One of the most common ways for people to steal a business’ or an employee’s identity is to access their private accounts – emails, social media accounts, and more. The following steps can help secure these accounts and shield them from intruders:

    • Use multi-factor authentication to log into accounts
    • Regularly change login information
    • Set password policies to dictate password strength and prevent password duplication across platforms
    • Store sensitive login information with a secure password management system

    Keep any software or computer systems up to date

    Outdated software and other tools can be targets for identity theft attempts. Make sure your business has an updated firewall, anti-virus software, anti-malware software, and pop-up blockers. Any other online tools that you use, such as customer relationship management software, should be as up-to-date as possible. If you have any virtual private networks (VPNs), double check that they were implemented correctly for any individuals accessing information offsite.

    Train employees

    The more prepared your employees are to spot potential identity theft attacks, the better. Conduct cybersecurity training to educate your employees about what to look out for during and outside of work. Teach employees how to spot phishing emails, scam texts, and other attempts.

    You should also highlight standard security protocols and best practices such as your password policies, how to set up multi-factor authentication, and more. Finally, let them know how to report questionable messages and other warning signs so that you and the rest of your business can stay safe.

    Offer identity theft protection benefits

    While you can take measures internally to defend against data breaches, there’s only so much that you can do to prevent identity theft outside of your business. Your employees are still at risk for data security attacks and stolen identities can still have major impacts on your employees’ personal lives and production on the job.

    Offering identity theft protection benefits can help safeguard your employees. These benefits can help protect your employee’s finances, social media accounts, and more during attacks. Identity theft protection also helps employees limit potential damage and quickly resolve the situation.

    What To Do If Your Business Identity Is Stolen

    Despite your best efforts, there are times when your business may be a victim of identity theft. The good news is that there are additional steps you can take if someone has stolen sensitive data and personal information from your business. The IRS recommends taking the following actions if your business information is compromised:

    • Contact the IRS as soon as you believe someone is using your Employer Identification Number.
    • File a police report with the local police department.
    • Review and reconcile any account statements as soon as you receive them.
    • Review all business registration information online and look for suspicious activity in bank accounts, online accounts, and any other pertinent sources.
    • Contact one of the three credit reporting companies – Equifax, Experian, or TransUnion – to place a 90-day fraud alert on your credit reports. Once you contact one company, it must tell the other two to do the same.
    • Request a credit freeze from each of the three reporting companies.
    • Close any accounts that may have been compromised or tampered with during or after the attack.
    • File a complaint with the Federal Trade Commission.
    • Stay on alert for suspicious activity and conduct regular business credit reviews every year.

    Protect Your Business From Identity Theft

    Between on-site safety and online security, it’s vital to make your small business as safe as possible. That’s why GMS helps employers protect themselves and their employees from identity theft.

    Our goal is to make your small business simpler, safer, and stronger. In addition to providing expert payroll, benefits administration, and other HR management services, we provide clients access to GMS Connect. This cutting edge software allows users to securely access all their employee data online. We can also help you offer additional benefits such as identity theft protection to protect your employees and enhance your benefits package.

    Contact GMS today to talk to one of our experts about how GMS can save you time and protect your business through benefits administration and other services.

  • As a small business owner, it’s difficult to find the right balance between a competitive benefits package and your budget. Fortunately, offering voluntary disability insurance is one way to support employees without breaking the bank.

    In 2020, the Bureau of Labor Statistics (BLS) found that short-term disability (STD) was available to only 40% of civilian workers, while long-term disability (LTD) was only available to 35%. While most employees don’t have disability insurance, it does create an opportunity for employers.

    Do you want to stand out from competitors and provide employees with a way to protect their income? Offering short and long-term disability insurance is a more cost-effective way to recruit and retain top talent. Read more about how voluntary disability insurance works and the benefits of providing your employees with this benefit.

    What Is Short-Term And Long-Term Disability Insurance?

    Short-term and long-term disability insurance helps answer the difficult question, “How much do I pay an employee who has suffered from an illness or injury after they’ve exhausted their sick leave?”

    Short-term disability benefits are calculated as a percentage of weekly wages (up to 60% or 2/3 of weekly income) and usually have a maximum benefit of $1,500 to $2,000 weekly. It pays an employee a portion of their salary in situations when they experience a non-job-related illness, injury, or medical issue that stops them from working for a limited time. Long-term disability is similar, but provides financial benefits over longer periods of time.

    What’s The Difference Between Short-Term And Long-Term Disability?

    Short-term and long-term disability follow the same calculation: employees receive up to 60% or 2/3 of their weekly income. The main difference between STD and LTD is the waiting period and how long it lasts. LTD’s waiting period can take anywhere between three to six months, and coverage typically doesn’t last any longer than three years.

    How Much Does Disability Insurance Cost?

    In 2022, the BLS reported that, on average, hourly costs per hour worked for STD was $0.08, while LTD was $0.05. Those hourly costs are a notable decrease from years past, making disability insurance more cost-effective than before. These estimates allow employers to estimate how much offering voluntary disability insurance will cost their business.

    For example, let’s calculate the estimated disability insurance costs for a full-time worker. Someone working 40 hours per week for 52 weeks will work an estimated 2,080 total hours in a year. We can use these hours to determine a potential annual cost for STD, LTD, and a combination of both benefits:

    • STD = 2,080 hours x $0.08 per hour = $166.40 annually
    • LTD = $2,080 hours x $0.05 per hour = $104 annually
    • STD and LTD combined = $270.40 annually

    This is an estimate for one full-time employee, so you’ll need to do the math to calculate costs for your entire eligible workforce. For that equation, you can use a total annual hour estimate for any employees eligible for voluntary disability insurance. The resulting number will give you an idea of how much this benefit would cost your business.

    A woman with an injured arm signing up for voluntary disability insurance.

    Does Offering Voluntary Disability Insurance Benefit Small Businesses?

    While voluntary disability insurance is an additional expense, that extra money is a good investment. There are plenty of ways that offering voluntary disability insurance benefits employers, such as attracting new employees, enhancing current employee loyalty, and helping employees return to work.

    Attract new employees

    STD and LTD fall under “voluntary disability insurance” because only California, Hawaii, New Jersey, New York, and Rhode Island require that employers offer STD and LTD by law. However, MetLife’s annual report on workplace trends found that 51% of employees see disability insurance as a must-have. That desire for disability benefits means that offering STD and LTD can help you attract more talented employees than before.

    Enhance current employee loyalty

    Employees like working for places that support their overall wellbeing. The Council for Disability Awareness (CDA) reported that 62% of employers care that their jobs offer them more financial security through their benefits package. In addition, the CDA reported that 64% of employees would be more loyal to their current employer if they had benefit choices. An extra show of support can help keep your employees happy, which means they’re more likely to stay and be productive.

    Additionally, an Aflac study revealed that 59% of individuals working at small companies are willing to accept slightly lower pay with better benefits. If you’re brainstorming how to keep employees engaged without increasing wages, offering STD and LTD might be an option. Since the average cost per full-time employee is $270.40 a year, it might be more cost-effective to offer employees disability insurance versus increasing wages.

    Help employees return to work

    Poor employee retention hurts your business’ bottom line. If an employee ends up out of work because of a disability, they may leave for a job that offers them insurance in case of a future issue. Replacing lost workers is quite an expense when the Society of Human Resource Management (SHRM) reports that the average cost to hire a new employee is $4,638.

    Certain disability insurance options offer rehabilitative programs to help employees heal sooner. When an employee prematurely returns to work with an unhealed injury, they won’t be as productive or may create additional issues. These programs can help workers heal properly and get back to full strength more quickly.

    GMS Offers Comprehensive Supplemental Benefits

    Supplemental benefits are a strategic tool that help you keep and attract valuable employees. The need for competitive benefits is why GMS partners with small businesses to manage their benefits administration.

    GMS partners with credible health insurance companies to provide you and your team with supplemental benefits that can complement a traditional group health plan. Contact GMS today if you’re looking for PEO experts to help you find the best and most affordable supplemental insurance plans for your employees.

  • In the wake of the pandemic, employees’ views of work-life balance have significantly changed. As a result, the term “quiet quitting” was established. While there is not one specific definition, the term rejects the notion that employees should go beyond their job description without additional benefits.

    According to NPR, “supporters argue that quiet quitting is a way to safeguard your mental health, prioritize your family, friends, and passions, and avoid burnout.” However, the term has nothing to do with quitting, completing the bare minimum, or slacking at work. When it comes to quiet quitting, Americans are working to integrate their personal lives with their work lives.

    How It Works

    According to Forbes, the following are attributes of quiet quitting: 

    • Showing up to work on time, no earlier
    • Taking a lunch break, not eating at their desk
    • Leaving on time
    • Turning off emails and calls outside of work hours
    • No extra activities 
    • Not volunteering for work events
    • Helping eas other’s workloads

    Is It Effective? 

    Despite the popularity of the quiet quitting trend, disengaging entirely from the workplace may not be the best option. As an employer, begin taking note of situations when employees become distant. If you notice that an employee is less driven when completing everyday tasks, communicate with them. By communicating with your employees, you can establish a plan that best works to suit their needs.

    Many believe that by setting boundaries at work, they are less likely to experience burnout. However, addressing the challenges head-on can help employers regain control. If the employee is not completing their everyday tasks, it might be time to part ways.

    GMS’ Support 

    When you partner with GMS (Group Management Services), you gain immediate access to an HR Account Manager. This support can guide you in the best way to manage a disengaged employee, who may be taking part in the phenomenon of quiet quitting. Communication is key to managing quiet quitting. Employees want to know their efforts are being recognized. Contact GMS today to learn more.

  • The U.S. Department of Labor’s Occupational Safety and Health Administration (OSHA) cited Woodbridge Englewood Inc. for one willful and nine serious violations, with the proposed penalties equaling $271,403. It is determined that the company was cited for exposing their workers to fires while failing to properly train them on initial stage fire identification and the use of fire extinguishers. This was followed by federal safety investigators receiving a referral from a local fire department that had responded to 13 fires at this company in two years.

    Woodbridge Englewood Company 

    Woodbridge Englewood, formerly known as Hematite, is a designer and manufacturer of automotive and industrial components. Its products include insulators, body plugs, acoustic wheel liners, underbody shields, lower air deflectors, aero shields, under-engine covers, and more. Woodbridge Englewood has multiple locations across the country, with its headquarters in Canada. However, this incident occurred at its Clayton, Ohio, location.

    OSHA’s Findings

    Between June 2020 and June 2022, Woodbridge Englewood Inc. had 13 fires at its facility. OSHA found that the polyethylene material this company heats to create molten plastic for automotive parts catches on fire in the ovens. In addition, the material is easily ignited, even by static, and is very difficult to put out when a fire occurs. Employees combated fires with extinguishers, which lessened repair costs and production time, rather than allowing sprinklers to activate, endangering workers.

    Ken Montgomery, OSHA Area Director in Cincinnati, Ohio, stated, “the company must immediately review its emergency action plans and the process for storing and handing flammable materials. Incorporating training and protective measures will help minimize fires and protect workers on the job.”

    Be Proactive, Partner With GMS

    At GMS, our safety experts are here to ensure a similar situation similar to this Ohio manufacturer doesn’t happen in your warehouse. It’s essential your employees are given the right tools to succeed while creating a culture of safety to minimize any risks their daily activities may carry. GMS can help business owners take a proactive approach to workplace safety through various services, including:

    • Onsite consulting
    • Job inspections
    • Accident and injury investigations
    • Training
    • Job hazard analysis (JHA) and standard operating procedures (SOP)
    • OSHA inspection and citation assistance 

    Want to make your workplace a safer place? Contact us today. 

  • Assembly Bill (AB) 152 would extend California’s COVID-19 supplemental paid sick leave (SPSL) to December 31st, 2022. The California SPSL law is set to expire on September 30th, 2022, if Governor Gavin Newsom does not sign the bill. The law provides qualified full-time California employees with up to 80 hours of SPSL when they cannot work for the following reasons related to COVID-19:

    You are caring for yourself: 

    • Subject to a quarantine or isolation period
    • Advised by a healthcare provider to quarantine 
    • Experiencing COVID-19-related symptoms and seeking a medical diagnosis

    You are caring for a family member:

    • Child whose school or place of care is closed or otherwise unavailable for reasons related to COVID-19 on the premises
    • A family member who has COVID-19 or who is subject to a quarantine or isolation period

    Vaccine-related – you or a family member are: 

    • Attending an appointment to receive a vaccine
    • Recovering from symptoms of a vaccine

    How AB 152 Could Help Small Businesses

    If AB 152 is approved, it will establish the California Small Business and Nonprofit COVID-19 Relief Grant Program within the Governor’s Office of Business and Economic Development (GO-Biz). GO-Biz serves as the State of California’s leader for job growth, economic development, and business assistance efforts. The program would provide small businesses and nonprofit organizations grants up to $50,000 but “no more than the actual costs incurred for” SPSL between January 1st, 2022, and December 31st, 2022.

    In addition, employers would not be obligated to provide additional COVID-19 SPSL to employees who have already used their allotment for 2022. Employers should evaluate whether SPSL obligations pertain to their employees and whether they qualify for the small-business grant relief.

    GMS Is Here For Additional Support 

    While rules and regulations are constantly changing for small business owners, GMS experts are here to set you at ease. Our team partners with small business owners to take on the HR administrative burdens that shouldn’t stop you from growing your business. We will keep you up-to-date on rules and regulations vital to your business. In addition, we provide small businesses with benefits outsourcing services that allow your business to offer competitive, cost-effective benefits. Contact us today.

  • Governor Henry McMaster signed Bill S. 11 at the state house on August 25th. The bill allows employees in the state of South Carolina paid family leave for the birth of a child, adoption of a child, and fostering of a child. This follows McMaster’s call for a family leave bill in March 2020. 

    The paid family leave bill includes: 

    Birth of a child

    • Six weeks of paid leave for the employee who gives birth
    • Two weeks of paid leave for the employee who does not give birth but is a new parent

    Adoption of a child

    • Six weeks of paid leave for state employees who are the primary caregivers of the child
    • Two weeks of paid leave for the employee who is not primarily responsible for the care of the child

    Fostering a child

    • Two weeks of leave for employees who foster

    This bill will go into effect on October 1st, 2022. This bill helps families and helps the state retain its best employees with an additional benefit. 

    Benefits Administration Outsourcing With GMS

    As a business owner, it’s crucial to keep and attract quality employees so you can continue to grow your business. However, offering a quality benefits program is becoming increasingly expensive. Implementing benefits within your business can be a timely process. At GMS, our benefits outsourcing services allow your business to provide competitive, cost-effective benefits while you focus on growing your business. Learn how GMS can help you with added bills and ever-changing laws and regulations. Contact us today.

  • The seventh Circuit Court of Appeals rejected the Equal Employment Opportunity Commission’s (EEOC) on August 16th, 2022. This was to increase the scrutiny given to sex discrimination cases under the Pregnancy Discrimination Act and the Civil Rights Act of 1964. This ruling now means employers may exclude pregnant workers from light-duty work if they have a non-discriminatory reason.

    However, the Appellate Court rejected this argument and found that the Pregnancy Discrimination Act was entitled to heightened scrutiny or a “most favored nation status” amongst other types of discrimination. The Pregnancy Discrimination Act (PDA) forbids discrimination based on pregnancy when it comes to any aspect of employment, including hiring, firing, pay, job assignments, promotions, layoff, training, fringe benefits, such as leave and health insurance, and any other term or condition of employment.

    Understanding Young V. UPS

    In 2015, the U.S. Supreme Court issued its decision in Young v. UPS, which employer and employee groups hoped would clarify whether employers must provide workplace accommodations to pregnant employees, following the same manner as they provide accommodation to employees who are injured on the job. In addition, the Supreme Court ruled that pregnant employees can claim disparate treatment by showing that they belonged to a protected class, requested accommodation, and could not receive it while the employer accommodated others who were similar in their physical limitations. The employer must show a legitimate, nondiscriminatory reason for denying the accommodation. If not, it’s a violation of federal law.

    A case back in 2017 regarded Walmart, which permitted light duty for workers that were injured on the job but did not offer light duty to pregnant workers or employees who were injured outside the job. The EEOC then argued that this instituted sex discrimination violated Title VII of the Civil Rights Act of 1964 and the PDA. However, Walmart required pregnant employees with lifting restrictions or other limitations to go on leave.

    In 2020, Walmart settled a different national class-action lawsuit that denied light-duty work to pregnant workers for $14 million and has overhauled the policy since then. A lawsuit was filed against Walmart in 2013 and 2014. These incidents pertained to denied accommodation requests. Walmart has since changed its policy as a result of the lawsuit.

    New Laws Have Been Enacted Since 2020

    Walmart has been an example for other companies to set the proper protocols in place. This has led additional states to pass laws prohibiting pregnancy discrimination. Over the last couple of years, there have been over 30 states that have enacted pregnancy accommodation mandates. In addition to these state mandates, employers are making decisions to open restricted-duty programs previously reserved for employees injured on the job to pregnant employees with restrictions.

    What This Means For Employers

    While rules and regulations are constantly evolving, it’s vital for the business owner to stay on top of them. When you partner with GMS, you no longer have to deal with the burdens of staying on top of regulatory changes. Our experts provide you with resources that enable you to focus on growing your business while we handle payroll, risk management, HR, and benefits. Contact us today to learn more.