Posts Tagged Compensation
New penalties for fully insured plans that favor highly compensated employees
Although employers can be forgiven for focusing on the more pressing elements of the Patient Protection and Affordable Care Act (PPACA) that take effect in January 2014, there is another provision of the law that is not yet getting much attention—and it should.
Global payroll administration has been made possible, at least conceptually, because of advances in technology, vendor service delivery models and global capabilities, wrote Jeff Brown, principal for human capital at Ernst & Young, in a recently published report.
But do multinational organizations agree that a truly global payroll solution exists?
"Organizations that pay for performance are more likely to attract those interested in performing," said Jay Schuster, a partner at consultancy Schuster-Zingheim & Associates, speaking at the 2013 WorldatWork Total Rewards conference, held April 29-May 1.
The rewards package is "a powerful communications tool that defines the kinds of people who will want to join the organization,” he explained. “You can't change the corporate culture without changing rewards."
New bachelor degree graduates in the U.S. commanded an overall starting salary of $44,928 in the first quarter of 2013—up 5.3 percent over the average starting salary that their class of 2012 counterparts realized a year earlier ($42,666), according to the nonprofit National Association of Colleges and Employers (NACE).
The week of April 15-19 is SHRM’s Advocacy Team (A-Team) blog week. The theme is “comp time”. Rep. Martha Roby (R-Ala.) has introduced a comp bill, the Working Families Flexibility Act of 2013 (H.R.1406). The bill would amend the Fair Labor Standards Act (FLSA) to allow employers to provide comp time, that gives private sector employers the option of offering their hourly employees the choice of paid time off for overtime hours worked.
Savvy recruiters know that even in periods of elevated unemployment, there are no guarantees that they’ll land the perfect candidate for their open positions. In fact, many would argue that they have to work even harder to land top talent when faced with soft labor market conditions and the disparities between the workforce skills that are available and the skills that are needed to fill available jobs.
More than a third of surveyed U.S. workers experience chronic work stress, with low salaries, lack of opportunity for advancement and heavy workloads topping the list of contributing factors, according to national survey results released March 5, 2013, by the American Psychological Association's (APA) Center for Organizational Excellence.
Immigration reform, the implementation of the Patient Protection and Affordable Care Act (PPACA) and legislation calling for the raising of the minimum wage are some of the pressing public-policy issues HR professionals should be keeping track of in 2013, said Michael P. Aitken, pictured above, vice president of government affairs for the Society for Human Resource Management (SHRM).
The U.S. Department of Labor (DOL) announced Feb. 26, 2013, that its Office of Federal Contract Compliance Programs (OFCCP) is rescinding two enforcement guidance documents on pay discrimination, originally issued in 2006, commonly known as the “Compensation Standards” and “Voluntary Guidelines.” The rescission is effective Feb. 28.
With the U.S. unemployment rate at the lowest it has been in more than three and a half years, employees’ confidence in the U.S. economy—and their ability to find and keep a new job, should they leave their current employer—appears to be stabilizing, according to the Glassdoor Fourth Quarter 2012 Employment Confidence Survey.
On Jan. 2, 2013, the Internal Revenue Service published in the Federal Register a proposed rule, "Shared Responsibility for Employers Regarding Health Coverage," with guidance on complying with the requirement that large employers provide affordable health care coverage to employees under the Patient Protection and Affordable Care Act (PPACA). The proposed rule has a comment period that ends on March 18, 2013.
Instead of a raise, some employees will see their take-home pay shrink in 2013 due to higher Social Security and Medicare taxes.
The maximum amount of earnings subject to the Social Security tax (taxable maximum) increasedto $113,700 from $110,100 as of January 2013, the U.S. Social Security Administration (SSA) announced on Oct. 16, 2012.
On Jan. 1, 2013, Congress passed the American Taxpayer Relief Act of 2012 (H.R. 8), preventing the U.S. from going over the impending “fiscal cliff,” and President Barack Obama signed the bill into law the following day.
With the fiscal cliff looming and new requirements under the Patient Protection and Affordable Care Act (PPACA) fast approaching in 2013, employee benefit professionals may need to quickly implement payroll and benefit changes. Favorable reductions in employee payroll taxes and favorable employee tax exclusions for employer-provided adoption and educational assistance expire at the end of 2012. Under PPACA, a new Medicare payroll tax and a new contribution limit to health care flexible spending accounts (FSAs) also become effective in 2013.