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What to watch for in 2022: Regulatory/compliance

Trends and legislative agendas indicate that employers will face some new challenges in 2022 while battling old ones. When possible, it is critical that businesses prepare for these changes in advance of implementation. Below are some major regulatory and compliance trends we are watching as well as some actions we recommend taking throughout the year.

Minimum Wage Increases: Twenty-five states and Washington, D.C., are increasing their minimum wage in 2022, with 21 of the increases going into effect by January 1. Three states will also see corresponding increases to the exempt salary thresholds.

Action: Review wages paid to all employees ensuring they meet minimum wage standards and possibly adjusting others who are close to minimum wage to prevent wage compression.

National Labor Relations Act Initiatives: The pro- labor majority of the National Labor Relations Board (NLRB) are reviewing several workplace rules to give employees more protections. Some initiatives include defending protected, concerted activity, including using company networks and systems, redefining independent contractors, prohibiting and penalizing wage theft, and enforcing compliant handbook and policy language. Additionally, the Department of Labor and NLRB signed an agreement to share information, training, and enforcement more freely thereby increasing the possibility of cross-agency investigations and added penalties.

Action: Stay up to date with rulings and changes that will impact all workplaces. Review your policies, procedures, and actions to ensure all employees can exercise their rights. Ensure compliance with wage payment practices and employee/independent contractor classifications.

Discrimination Protections: State, county, and city governments will continue to pass laws expanding protections for certain characteristics such as pregnancy and childbirth, natural hair and protective hair styles, sexual orientation, gender identity, gender expression, COVID vaccination status, homelessness, or immigration status. Laws are also being strengthened to prohibit retaliation against any employee who makes a valid discrimination or harassment claim, files a discrimination or harassment complaint with a federal or state agency, or participates in any related investigation whether internal or by legal authorities.

Action: Know all the federal, state, and local laws which apply to your workplace and employees. Ensure there is no adverse employment action taken based on protected characteristics. Investigate any complaints. Draft and enforce policies prohibiting discrimination, harassment, sexual harassment, and retaliation.

Marijuana Legalization: Thirty-seven states and Washington, D.C., have legalized marijuana in some form while nine others have decriminalized it or legalized CBD oil. Initiatives to expand the legalization of medical and recreational marijuana use are expected. The federal government is also looking into options to legalize marijuana in some form.

Action: Understand the marijuana laws in your state and how they impact your policies and procedures, especially for drug testing and disciplinary action.

Restrictive Covenants: Federal and state governments are reviewing legislative options to limit non-disclosure, confidentiality, non-compete, and non-solicitation agreements so employees have more latitude and protections,

Q. With the CDC changing the quarantine period for someone who contracts COVID-19, can I require an employee to return after five days

A. Maybe. You must consider several factors before establishing a return date. To meet CDC guidelines, the COVID-positive person has to be asymptomatic or have symptoms that have improved and no fever without the aid of medicine. If they still have symptoms beyond the mild lingering cough or congestion, they should not return until they are feeling better.

Another thing to consider is state health department guidelines. Some states have not yet updated their requirements to the shorter period so they may require the 10- or 14-day isolation period.

Always consult the current guidance from the CDC, state health departments, and documentation from a healthcare provider when timing an employee’s return to the workplace. regarding how businesses and employers gather and protect information as well as actions that need to be taken if there is a breach threatening the security of that information.

Action: Consult data security experts to ensure all the sensitive and confidential information you gather on customers and employees is protected. Take required actions if there is a breach.

Other regulatory changes: In addition to all of the above, we expect federal, state, and local government to build on recent legislative changes including pay equity, mandatory benefits, wage theft, ban-the-box, safety, and use of artificial intelligence.

Paige McAllister, SPHR Affinity HR Group contact@affinityhrgroup.com

especially if little consideration is given.

Action: Have any restrictive covenants regularly reviewed by legal counsel that is familiar with local employment law.

Independent Contractors: In addition to the NLRB reviewing independent contractor definitions, the DOL will join some states in refining the tests and criteria for independent contractors to ensure workers are properly classified.

Action: Review all current independent contractor relationships and ensure they meet the test under state law as well as DOL and IRS regulations.

Paid Leave: President Biden and Congress will continue to push for paid family leave and paid sick time on a federal level. In the meantime, several states have passed new paid or unpaid sick or leave laws while others are expanding leave laws currently in place. Some local governments are passing sick leave laws which apply to their city or county.

Action: Understand what sick and/or leave laws apply to your employees based on where they work. Draft procedures so all requests are handled consistently.

COVID-19-related Regulations and Mandates:

OSHA Vaccine/Testing Mandate: The U.S. Supreme Court recently granted emergency relief to stay implementation of OSHA’s Emergency Temporary Standard. The court’s ruling puts implementation and enforcement of the rule “on hold” pending further review by the U.S. Court of Appeals for the Sixth Circuit, and, conceivably, a return visit to the Supreme Court itself.

Quarantining: The CDC has changed their guidance for those who are exposed to or who are asymptomatic or have recovered from mild symptoms after contracting COVID19. However, some states have yet to update their guidance so there may be conflicting requirements.

Action: Check both CDC and state health department requirements on quarantining when dealing with employees who are exposed or test positive.

Privacy and Data Security: The protection of consumer and employee information will remain a priority for several states. We have already seen many states pass strict laws

TAL Holdings Buys Bayview

TAL Holdings, Vancouver, Wa., has agreed to purchase Bayview Building Materials of Elma, Wa.

After a transition period, Bayview was to open as part of the TAL family of brands on Jan. 31, while retaining the Bayview name.

Bayview was founded by Robert Bush and Vic Druzianich in 1964, passed to son Rick Bush in 1985, and acquired by Rick Jensen and Jim Depretto in 2003.

Jason Blair, CEO of TAL Holdings, said, “Bayview is a successful business with product offerings that include a complete hardware store, large lawn and garden facility and rental center in addition to their full assortment of lumber and building materials. Their diverse product mix, experienced teams, and solid market reputation makes Bayview an excellent fit for TAL.”

TAL currently operates 15 locations under seven brands in Washington, Oregon, Idaho and Montana, including Badger Building Center, Browne’s Home Center, Gerretsen Building Supply, Lake Chelan Building Supply, Marson & Marson Lumber, Mount Vernon Building Center, and Tum-A-Lum Lumber.

BMC West Closing in Perris

This month, BMC West will shutter its Perris, Ca., facility.

Slightly over 300 employees will lose their jobs betwen Feb. 16 and March 2, but reportedly have been offered opportunities at other locations.

The closure comes 13 months after BMC was acquired by Builders FirstSource, which operates 580 locations across the country.

R/W Buys into Midwest

R/W Specialties, Denver, Co., has purchased the assets of America Building Products, Jefferson City, Mo., and merged its distribution operations into its own.

Founded in 1965, RW is a wholesale distributor of specialty building products serving a diversified customer base located throughout the Mountain West and operations in Colorado, Utah, Arizona and Wyoming.

America Building Products is a dedicated distributor of interior and exterior doors, windows, cabinets, hardware, and millwork, serving its customers in Missouri, Kansas, Oklahoma, Illinois and Arkansas. With a 30+ year track record of success, ABP provides its customers with superior technology and quality, including its state-of-the-art pre hung door capabilities to meet its customers’ exact specifications.

According to Jen Brooks, chief operating officer of ABP, “R/W is the ideal partner for ABP as we continue to bring our capabilities across the United States. Our shared resources and combined operations will allow us to better serve both our customers’ needs.”

Sacramento Hardware Store Readies Double-Duty Project

Emigh Ace Hardware, Sacramento, Ca., will unveil a store-within-a-store concept when it takes over a former CVS Pharmacy building in El Dorado Hills, Ca.

The 23,000-sq. ft. will house both a 12,000-sq. ft. Emigh Ace Hardware store as well as a 6,500-sq. ft. Emigh’s Outdoor Living, which sells the likes of patio furniture and grills.

It is expected to open in early to mid spring.

Founded more than 100 years ago, Emigh currently operates a hardware store with an outdoor living branch next door in Sacramento’s Arden-Arcade neighborhood.

Parr Buys Puget Sound’s Three-Unit Roof Truss Supply

The Parr Co., Hillsboro, Or., has completed its acquisition of Roof Truss Supply Inc., Woodinville, Wa.

Founded by Paul Morris in 1972, Roof Truss Supply, also known as RTS, is a market leader in roof and floor trusses, pre-cut lumber packages, doors and millwork in the Puget Sound market. Currently owned and operated by Tracy Rex, RTS has 120 employees spread across three locations: one truss plant, pre-cut/LBM facility in Woodinville and two door and millwork plants in Everett and Puyallup, Wa.

In 2020, Parr’s executive team developed a three-year strategic vision with support from its board of directors. A key initiative was to expand the footprint of roof and floor truss manufacturing, doors and millwork in the Pacific Northwest. “This addition will allow us to offer our products and services to customers in a new region of the Pacific Northwest, taking another step toward providing all products and services for the building industry from under one roof,” said Mike Howell, CEO of The Parr Co.

Parr operates 44 facilities in Oregon and Washington, including professional and retail building supply yards, cabinet design centers, pre-hung doors and millwork, truss and floor truss manufacturing plants, and a wholesale hardware distribution warehouse, providing building solutions and services throughout Oregon, Washington and beyond.

“The addition of Roof Truss Supply is a natural fit,” added Howell. “Our mutual values are rooted in a locally owned, family-based upbringing where our communities are key. We will continue to focus on people first, high customer service standards, and providing quality materials... attributes that lead to building, improving and enhancing the houses we call homes in the communities we serve.”

NEWS Briefs

J.H. Baxter reportedly was set to shut down its Eugene, Or., treating facility, effective Jan. 31.

The Port of Coos Bay, Or., has purchased the former GeorgiaPacifi mill site at the port for use as a multi-purpose shipping facility. The site has traditionally handled only wood products, but the new owner plans to expand to other products as well.

National Wood Products,

Chino, Ca., is now distributing Kronospan products, including particleboard and MDF.

Union Pacific Railroad

subsidiary Loup Logistics Co.,

Omaha, Ne., has acquired the Precision Components Inc.

transload facility in Phoenix, Az.

The 100+-acre PCI Reload includes 125,000 sq. ft. of covered storage and three miles of rail capacity, served by UP.

Ace Hardware is opening a new store in east Sacramento, Ca.—a few blocks down Folsom Blvd. from the recently closed site of East Sac Hardware.

Do it Best switched its spring market to virtual-only Feb. 11-25, instead of in-person in Indianapolis, In.

Jacobs Lumber Co., Kamiah

Id., was honored by the Senate Committee on Small Business & Entrepreneurship as Idaho Small Business of the Month for January.

FSC Hardwood Decking RED GRANDIS

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Unity Forest Products

Yuba City, CA.

Wynnchurch Capital LP has sold its majority interest in Rosboro Holdings Inc., Springfield, Or., to One Equity Partners. Wynnchurch said it is retaining “a significant minority” stake in the company it acquired in December 2016.

Rosboro is a manufacturer of engineered wood products including stock and custom glued laminated timber (“glulam”) and lumber used in residential and light commercial construction.

“Rosboro represented an opportunity to invest in a company with a leading market position, differentiated product offering and long-standing customer relationships,” said Brian Crumbaugh, partner at Wynnchurch. “We are proud of the management team’s accomplishments during our ownership period and are excited to continue our partnership with management during Rosboro’s next phase of growth.”

SoCal Distributor to Relocate

This spring, National Wood Products – So Cal will be relocating to a new complex in Corona, Ca., located about five miles north of their existing facility in Chino.

The company said the new location would provide convenience with an easy access location (by being just off the 15 freeway at Cajalco), more warehouse space, same great products, and same great service.

The move is expected in April or May, with the facility to be fully operational by June.

DECKING MANUFACTURER Deckorators is rolling out an updated version of its online deck design tool.

Deckorators Relaunches Design Tool

Just in time for deck planning season, Deckorators has released the latest version of its Deckorators Deck Designer—a web-based and easy-to-use deck design program.

From planning and visualizing to confirming material lists and hiring a professional, the tool makes it easier than ever to take a deck beyond ordinary with 3D-renderings that let you build a customized deck and style it with products.

Accessed at www.deckorators.com/inspiration/deck-designer, it enables users to: • Utilize unique design capabilities such as picture framing, board angles, shapes and multi-level options. • Choose from the complete lineup of Deckorators composite decking, railings, balusters, post caps and more. • Create vivid designs in 3D and view from any angle. • Select different backdrops, add furniture, or upload personal photos to visualize the deck in the actual space. • Save and design multiple projects. • And pull a full report of each design, including a complete job materials list.

“Homeowners want decks that are a true reflection of who they are,” said Jase DeBoer, senior marketing manager of outdoor living. “The Deckorators Deck Designer enables users to explore the possibilities for their outdoor space, then bring their unique vision to life.”