HR www.ksshrm.com
Celebrating
Twenty Years of HRising to
New Heights 2009 Annual Magazine & conference preview
ALSO INSIDE:
Extreme Motivation Suggestions • Successful People Don’t Accept Change Anymore! • The Up Side of a Down Economy • State and Federal Legislative Updates
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HR
The official publication of the Kansas State Council of SHRM, Inc., P.O. Box 860531, Shawnee, KS, 66286 www.ksshrm.com
2009 Kansas State Council of SHRM, Inc.
State Council Director Lisa Carlton, MBA, SPHR Director-Comp./Benefits/ HRIS/Payroll Stormont-Vail Healthcare
Awards/Recognition/PR Director Deborah Needleman, SPHR VP Field HR North America Firstsource Solutions USA, Inc.
State Council Director Elect Dan Hamel, CPA, PHR Human Resource Director Metal-Fab, Inc.
Certification Director Roberta Earll, PHR Human Resources Representative Capitol Federal
Immediate Past Council Director Deborah Needleman, SPHR VP Field HR North America Firstsource Solutions USA, Inc.
Foundation Director Ila Russell, SPHR Human Resources Manager Hi-Sonic
Association Management Professional Lori Maher Maher Group, LLC Secretary/Treasurer Lenora Larson Director of Business Development New Directions Behavioral Health, LLC 2009 Conference Co-Chairs Renea Dennison Manager Finance Services Century Health Solutions Dorothy Mezger, PHR Supervisor HRIS and Benefits BlueCross BlueShield of Kansas Governmental Affairs Director Trinidad Galdean, JD, PHR Employment Attorney Kutak Rock, LLP Membership Director Linda Miller, SPHR Human Resources Manager Flame Engineering Inc. Diversity Director Kathy Slemp, SPHR Assistant Professor Friends University Workforce Readiness Director Kyelene Flaming, PHR Human Resource Manager Newport Television, LLC Technology/Communications Director Lakeisha Williams, PHR CoreFirst Bank and Trust
Professional Development Director Charlotte Self Assistant Director/Human Resources Manager K-State Student Union
McPherson Area Human Resource Professionals DJ Freeman Human Resources Coordinator Tabor College Human Resource Professionals of Greater Emporia June Coleman-Hull Career Services Emporia State University Salina SHRM Chapter Natalie Fischer, PHR Director of Human Resources City of Salina SHRM of Johnson County Gordon Smith Vice President Lee Hecht Harrison Southeast Human Resource Association Stacey Hare, PHR Human Resources Generalist Prestige Cabinets
2009 Annual Magazine & Conference Preview
College Relations Director Judy Anderson, PHR, MBA Director of Human Resources & Affirmative Action Officer Emporia State University
7
Departments Director’s Message
District Director (Western KS) Christine Burger, MBA, SPHR, GPHR Human Resources Manager NEW Customer Service Companies, Inc
8
District Director (SE KS Corner) Connie Etzkin, SPHR Human Resources Manager City of Pittsburg District Director (SE KS & Emporia) Jim Maher, SPHR Day & Zimmermann, Kansas Operations District Director (Legislative & Manhattan) Dina Cox, SPHR Human Resources Director Kansas Rehab Hospital District Director (Salina, Hutchinson, McPherson) Linda Frederick, PHR EnerSys District Director (Lawrence & SHRMJC) Jill Krizek First Vice President of Human Resources Bank of Blue Valley
2009 Chapter Presidents
Central Kansas SHRM Chapter of Hutchinson Michelle Waln, SPHR Vice President of Human Resources & Operations Hutchinson Credit Union
Table of Contents
HRMN of Manhattan Fran Mackovjak NanoScale Corporation
Topeka SHRM Chapter Dina Cox, SPHR Human Resources Director Kansas Rehabilitation Hospital Jayhawk Chapter Ann Connor Human Resources Manager Prosoco Western Kansas HRMA Phyllis LaShell Workforce Response Coordinator Kansas Department of Commerce – Hays Wichita SHRM Chapter Kara Hunt, SPHR Human Resources Director Commerce Bank, N.A. SEKC (SE Kansas Corner) SHRM Chapter Connie Etzkin, SPHR Human Resources Manager City of Pittsburg
A Challenging Year for Human Resources Professionals By Lisa Carlton, MBA, SPHR
22
elebrating 20 Years of HRising to New Heights! C 2009 Annual Conference Preview A preview of this year’s exciting conference schedule, speakers and festivities. By Renea Dennison & Dorothy Mezger, Conference Committee Co-Chairs Index to Advertisers
Features 10 Extreme Motivation Suggestions for the Mediocre Employee By Margaret Morford
11
Successful People Don’t Accept Change Anymore! By Kimberly Alyn
15 The Up Side of a Down Economy for Employers By Eric Chester
17 The George Trombold Achievement Award By Deborah Needleman, SPHR
18 Kansas Legislative Update 2009 By Natalie Bright, JD
19 Federal Law & Legislative Update 2009 By Trinidad Galdean, JD, PHR
21 Super HR Development on Capitol Hill By Trinidad Galdean, JD, PHR
The HR Kansas Works 2009 Annual Magazine and Conference Preview is published by: Naylor, LLC 5950 N.W. First Place, Gainesville, FL 32607 Phone: (800) 369-6220, Fax: (352) 332-3331 www.naylor.com Publisher: Tracy Tompkins Editor: Saara Raappana Marketing Associate: Rebecca Wentworth Project Manager: Albert Quintero
Book Leader: Meghan Alty Sales Representatives: Pam Blasetti, Rya Boyce, Jessica Imm, Jacqueline McIllwain, Debbie Phillips, Beth Sheahan Layout & Design: Catharine Snell Advertising Art: Reanne Dawson ©2009 Naylor, LLC. All rights reserved. The contents of this publication may not be reproduced, in whole or in part, without the prior written consent of the publisher. PUBLISHED JULY 2009/KHR-A0009/8926
Advance the Profession • HR Kansas Works 5
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♦ Drafting Policies and Handbooks ♦ Training in Human Rights ♦ Investigating complaints of harassment ♦ Defending and litigating employment law claims ♦ Representation of management in union negotiations
Robert D. Overman Diane S. Worth Tim J. Moore James D. Young Ryan M. Peck Will B. Wohlford
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Director’s Message A Challenging Year for Human Resources Professionals
Lisa Carlton, MBA, SPHR
The Kansas State Council of SHRM would like to thank the corporations, big and small, that allow their human resource professionals to volunteer time to this worthy professional association. Because of your generosity, human resource professionals can collaborate with colleagues within the organization to develop better ways to serve the professional and advance the profession.
For the past several months, we as Human Resources Professionals have seen regulatory changes (FMLA, Cobra and ADAAA, to name a few), experienced an ECFA and e-verify scare and suffered from an economic downturn that we haven’t been subjected to in years. During all of this, the role of the Human Resources Professional, regardless of the level of expertise or HR specialty, has been enhanced and challenged beyond our wildest expectations. The Kansas State Council of SHRM is here to help you. The Council is comprised of seven core leadership positions (Governmental Affairs, Diversity, Workforce Readiness, College Relations, Certification, Membership and the SHRM Foundation), twelve chapter presidents (representing all of the Kansas chapters), a lobbyist and the executive team. Our mission is to serve the Human Resources professional and advance the Human Resources profession. In order to help us accomplish our mission, we host two conferences annually. In February, we hosted our second annual Legislative Conference. The conference sessions were facilitated by experienced and knowledgeable presenters on a myriad of federal and state legislative topics. In addition, several HR Certification Institute credits were offered for PHR, SPHR and GPHR certified professionals. In addition to the conference, our Governmental Affairs Director, Trinidad Galdean, JD, PHR, along with our lobbyist consulting firm, hosts bi-monthly phone conferences. Trinidad also has an article included in this magazine reporting on the state HR legislative issues that were tackled and discussed this past year. The second conference we offer is our annual State SHRM conference (to which this magazine is dedicated). This year is extremely exciting as we will be celebrating our twentieth anniversary! The conference will be held in Topeka, Kansas, September 23 through September 25. With our Keynote speakers: Margaret Morford, Kim Alyn and Eric Chester and our general session speaker, Timothy Davis, along with numerous other talented and experienced breakout session speakers, the conference promises to be a crowd pleaser. In addition, we will be submitting for HR Certification Institute credit and, once approved, a certified professional may earn up to 13 re-certification credits including several strategic management credits. We will also recognize the George Trombold Award nominees and the recipient during our closing ceremony on Friday. During this tight budget year that we are all undoubtedly experiencing, the value of this conference far outweighs the cost. In light of the economy, we have kept the rates the same as last year and continue to offer a discount to early-bird registrants. The Capitol Plaza hotel is offering SHRM conference attendees a nightly room rate of $99, the same rate they offered for the 2006 conference. The State Council has provided educational scholarships to several of our members over the last few years and plan to continue this great benefit. All SHRM members are encouraged to apply for these monies to assist with education and certification expenses related to the HR profession. Your State Council is staffed with qualified HR professionals from across the great state of Kansas who volunteer their time and experience to assure that we remain your HR resource and are available to assist you whenever needed. We’d like to take this opportunity to thank the companies where these dedicated volunteers work at their “real jobs” for allowing them to serve the professional and advance the profession. The State Council is a proud affiliate of SHRM and also would like to thank them for their support. If you have any questions regarding the State Council or would be interested in serving on the State Council or in a chapter in the future, please feel free to contact me at lcarlton@stormontvail.org or (785) 354-5916. The Web site www.ksshrm.com has all the contact information regarding the State Council Members, chapter locations and contacts, the calendar, conference information and registration and numerous links to HR resources. Visit our Web site to learn more. See you in September! Best regards,
Lisa Carlton
Lisa Carlton, MBA, SPHR State Council Director 2009-2010 Director, Compensation & Benefits Stormont-Vail HealthCare Advance the Profession • HR Kansas Works 7
Celebrating
Twenty Years of HRising to New Heights Register today at www.ksshrm.com!
We hope you’ll This year marks the 20th anniversary of the SHRM Kansas State Conference. We are thrilled to host it in Topeka, and want to mark the occasion with outstanding speakers, exhibitors, sponsors and opportunities to learn and win prizes. The conference will be held September 23 through September 25 (Wednesday through Friday) at the Kansas ExpoCentre in Topeka, Kansas. The conference kicks off Wednesday morning with the annual Russ Blosser Memorial Golf Tournament. You won’t want to miss our pre-conference General Session “How to Write an HR Strategic Plan” featuring Margaret Morford. Participants will walk away from this three hour workshop with a strategic plan for their organization. Wednesday evening we will celebrate at a reception with entertainment and
join us as we celebrate this special anniversary of the SHRM Kansas State conference. an opportunity to network. Visit the vendor booths and register for the grand prize, a trip to the SHRM National Conference in 2010. Margaret Morford will return to give our keynote address Thursday morning. Other distinguished keynote presenters include
8 HR Kansas Works • Serve the Professional
Kimberly Ayln, Eric Chester and Timothy Davis. In addition, we are very excited to offer an informative and entertaining assortment of talented speakers for breakout sessions. We will also continue our “Giving” tradition by having Contribution Raffles. Bring a toy for the Toys for Tots raffle. You may also want to buy tickets for the SHRM Foundation raffle which offers prizes contributed by SHRM members. Come and join us as we celebrate this special anniversary of the SHRM Kansas State Conference. It is certain to provide a great time of networking, learning and celebrating. We can hardly wait to share it with you. Renea Dennison & Dorothy Mezger, PHR 20th Annual Kansas State SHRM Conference Committee Co-Chairs
Schedule of Events 20th Annual Kansas State SHRM Conference Celebrating 20 Years of HRising to New Heights September 23 - 25 at the Kansas ExpoCentre in Topeka, Kansas Register Today – www.ksshrm.com Wednesday, September 23rd
9:00 am – 2:00 pm
Thursday, September 24th 7:30 am – 8:00 am
Breakfast
7:30 am – 8:00 am
8:00 am – 8:25 am 8:25 am – 9:25 am
Welcome/Conference Opener
8:00 am – Keynote: Rising to 9:00 am Real Leadership
Russ Blosser Memorial Golf Tournament
10:00 am
11:15 am
Keynote: The Savvy Owl Politics, Power & Influence
12:15 pm – 1:20 pm 1:30 pm – 2:30 pm How to Write Margaret an HR Strategic Morford Plan
Breakout Sessions 2009 Labor & Employment Update Performance Appraisals Creativity Boot Camp for Leaders Identity Theft
2:45 pm – 3:45 pm
5:00 pm – 8:00 pm
Welcome Reception/Exhibitor Hall/Networking
3:45 pm – 4:15 pm 4:20 pm – 5:20 pm
9:30 am – 10:30 am
Kim Alyn
Margaret Morford Candy Whirley Jeff Lanza
Shelly Freeman, JD
Cultural Proficiency Kirk Perucca Leadership Ethics Jeff Lanza Onboarding with Carrots Chris Kendrick Lunch- Exhibitor Hall - Networking Breakout Sessions Legal Update – HR Cases HR Effectiveness Strategic HR Issues:
Breakout Sessions Immigration Compliance Effective Corporate Communications How to Launch Your Own Hot Air Balloon Succession Planning
Trinidad Galdean, PHR Cindy Kimber Dina Cox, SPHR Sean Balke
Michael Blumenthal, JD
Breakout Sessions
Bernie Becker, SPHR Bob Young, SPHR Bill Quattlebaum Keith Wiedenkeller, SPHR
Breakfast
Margaret Morford
FMLA Realities
2:00 pm – 5:00 pm
Friday, September 25th
Alan Rupe Nan Russell CHRO Panel
Resolving Conflict through Karen Black Powerful Communication Breakout Sessions Legislative Legal Update Timothy Davis, JD (ADAAA, Cobra, EFCA) The Levity Effect - Pays to Scott Christopher Lighten up Strategic Facilitation Skills Cynthia Stotlar, SPHR Delight and Inspire or Frank Keck Frustrate and Confuse Exhibitor Door Prizes Giveaways - must be present to win HR @ the Movies Timothy Davis, JD
10:45 am – Breakout Sessions 11:45 am Privacy in the Julie McKee, JD Workplace Employee Kyelene Flaming, PHR Development HR & Business Larry Burk, SPHR Ethics Lessons from Downturn Implementing A Lenora Larson Workplace Wellness Program 12:00 pm – Luncheon 1:00 pm George Trombold Award Winner Announced 1:15 pm – Keynote: Eric Chester 2:15 pm Employing Generation Y
2:15 pm – 2:30 pm
Conference Close
Advance the Profession • HR Kansas Works 9
Extreme Motivation Suggestions for the Mediocre Employee
Margaret Morford
By Margaret Morford
I would be doing you a disservice as a manager if I allowed you to grow stale in your job.
10 HR Kansas Works • Serve the Professional
Obviously, I would first make the usual suggestion of finding out what portions of the job the mediocre employee really enjoys and does well, and I’d recommend expanding those roles. Beyond that, I have three extreme suggestions: 1. Give mediocre employees very specific deadlines or production expectations on every assignment or task. Allow them to arrange and manage their workload in any manner they like as long as they get their work done on time and it is a quality work product. This means managers will have to set specific quality standards as well as deadlines every time they give an assignment. Tighten the parameters with each new assignment so that employees who have historically “cruised” are no longer able to do so. This requires some discipline on the part of the manager as these employees always do the least amount when the instructions and/or deadlines are not specific or they are vague. 2. Managers should make it clear that every year they move the bar up on performance – and that this expectation will be reflected annually in an employee’s performance review. The specific message is, “I expect more from someone with five years experience in the job than an employee with one year experience. You cannot do the same job next year that you did this year and expect to get the same ratings you did on your performance review. Our organization has a right to expect that you will grow and develop as you gain experience and you have that same right to increased skills development so that you stay employable in a workplace that is constantly changing. I would be doing you a disservice as a manager if I allowed you to grow stale in your job.” This means the manager must ask the question, what is different about this person’s performance this year than last year? If the answer is “nothing,” some of the employee’s performance ratings should be lower that year. This is the difference between an employee that has five years of experience versus an employee that has the same year of experience five times. 3. The mediocre performance should be reflected in the employee’s annual increase. Normally, managers will make some small adjustment to the mediocre performer’s annual raise, but it should be such a significant amount that it sends the clear message that mediocre performance will not be rewarded. Often, where the corporate guideline is 3 percent, the star performer gets 3.5 percent and the mediocre one gets 2.5 percent. If managers really want to address their mediocre employees, that ratio should change to 4.5 percent or 5.0 percent for the star performer and the mediocre performer should get 1.0 percent to 1.5 percent – a lukewarm raise for lukewarm performance. What is the worst a manager will suffer – that the mediocre employee’s performance drops off? It already has, but they have not suffered the consequences of that decreased performance. ■
Successful People
Don’t Accept Change
Anymore! By Kimberly Alyn
Kimberly Alyn The old success philosophy was that if you wanted to be successful in whatever you did, you had to accept change. The new philosophy is that successful people don’t accept change – they initiate it! But first, let me clarify: successful people don’t initiate change for the sake of change. They initiate change for the sake of improvement. Not all change is good, and running through your organization or your personal life like a bull in a china shop for the sake of creating change is not the kind of change I am advocating. I am suggesting change that increases morale and generates improvement. A new employee asks a seasoned veteran about a particular process in the organization: “Why do we do it this way?” The veteran snaps back, “Because that’s the way we have always done it!”
While some of the younger generations may appear to be asking simply to challenge authority, question everything and irritate the older generations, there are times when it is an absolutely legitimate question. The best answer is an explanation of why things are done the way they are done followed with a question: “Why? Do you have a suggestion for improvement?” If you can’t ask that question, you are not engaging in successful leadership, management or innovation. If you are one of those people who thinks only management can come up with the best ideas and processes, you are missing the boat. Keeping things the way they are simply because
“that’s the way we have always done it” is a poor excuse for stifling growth. It reminds me of the young wife who is getting ready to make her first Thanksgiving dinner. She puts the turkey in the oven and then starts preparing the ham. She sets it on the cutting board and chops both ends off the ham, put it in the pan and then covers it with tin foil. Her husband is curiously watching
Advance the Profession • HR Kansas Works 11
and he asks, “Honey, why do you cut both ends off the ham?” She stood silent and thought for a minute. “Well I don’t know. That’s just the way my
mom always did it. Let me call her and ask her why.” The young wife gets her mom on the phone. “Hey mom, why do we cut both ends
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off the ham before we cook it?” Her mom thought for a second, chuckled and replied, “I really don’t know. That’s just the way your grandmother always did it. Let me call her and ask.” So she gets her mother on the phone. “Mom, why do we cut both ends off the ham at Thanksgiving time?” Her mom shot back, “Well I don’t know why you do it – I did it because my pan was too small to fit that ham!” We see generation after generation doing things a certain way and they have no idea why… “That’s just the way we’ve always done it!” We develop ingrained patterns for doing things and forget to ask why we are doing them. A group of researchers put five monkeys in a habitat. There was a banana hanging from a string at the top of a small staircase. One of the monkeys spots the banana and heads up the stairs for it. Just as the monkey is about to reach the top of the stairs, the researchers spray ice cold water on all five monkeys. The monkey on the staircase backs away from the banana and shakes the cold water off. The researchers then replace one of the monkeys with a new monkey. He spots the banana and starts to go for it. As he begins to climb the stairs, all of the other monkeys grab him and drag him to the bottom of the stairs. Then they replace another monkey with a new monkey who has never been sprayed with water. This new monkey sees the banana and heads up the stairs. All of the monkeys grab him, thump on him, and pull him to the bottom of the stairs including the new monkey who has never been sprayed with water. The researchers repeat this process, and each time
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the new monkey always goes for the banana and the other monkeys always intervene and prevent the process. This is repeated until all five monkeys have been replaced. Not one of those monkeys will ever try to get that banana again, and they have absolutely no idea why, because 3:03:22 AM
Initiate change for the sake of improvement. none of them have ever been sprayed with ice cold water. All they know is, “That’s just the way it’s always been.” Do you notice people in your organization or in your life attempting to drag people away from change, innovation and creativity? Do you see a strong resistance to process improvement? Too many organizations resist change for a variety of reasons. Maybe those who resist change the most have had their ideas sprayed with ice cold water in the past. Maybe they have been thumped too many times for “going against the system.” We tend to condition ourselves to expect what we have always gotten. Do you know why a full-grown circus elephant can be held by a very small pole and a light chain that is clamped around his ankle and he won’t try to escape? I asked this at a firefighter conference once and one of the guys yelled out “’Cause he’s married?!” As funny as that may be, it is not accurate. The reason the elephant doesn’t try to escape is that he is conditioned to believe that he is not strong enough. When the elephant is a baby, he is held by the same pole and chain with a smaller clamp around the ankle. At this age, he is too weak to pull himself free. He will try and fail and over a period of
time, he will precondition himself to believe that he will always fail. So here he is, a full grown, multi-ton animal that could yank himself free in one strong pull, and he won’t even try. He just assumes he is incapable. It’s called learned helplessness and humans are just as susceptible to this phenomenon. A study was conducted on piranhas in a huge fish tank. The piranhas were placed in
half of the tank and the piranhas’ prey was placed in the other half of the tank. A glass divider was placed between them. The piranhas would see their prey and they would swim around and bang their head into the glass divider. They would then circle the tank and try again. As they swam for their prey, their heads met with the glass divider once again! Over a period of time, the piranhas grow weary of banging their head against the glass divider and they give up. They begin to swim side by side with their prey, and they never try again. The researchers can remove
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Don’t let past patterns dictate future results. the glass divider and those piranhas will swim side by side with their prey until they starve to death. It doesn’t take long to reach a stage of conditioned failure and learned helplessness. If you feel like you are merely beating your head against a wall, you tend to give up. If you are constantly going against the tide, it can get exhausting. People often settle into
their careers, giving up on the idea that any real and lasting change can take place. Long-term growth and success in any public or private organization requires constant change and innovation. Surviving this economic downturn will require some creative budgeting and possibly trying things that either didn’t work in the past or have never been tried at all. Don’t let past patterns
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dictate future results. The outstanding organizations of the future will be the organizations that embrace change for the sake of improvement and refuse to give up when others have given in. Successful leaders, whether formal or informal, stand up for positive improvement in their organizations and initiate the changes that need to take place. Spend some time this week taking inventory of your organization. What needs to change to improve the effectiveness of the leadership in your organization right now? What needs to change to improve employee and management relations? What needs to change to improve morale? What needs to change to improve your customer service? What needs to change to increase the level of organizational commitment by your employees? What needs to change in you to be a more successful person? What changes can you initiate today to make your organization the absolute best it can be? Successful people don’t accept change anymore – they initiate it! ■ Kimberly Alyn is a best-selling author and an international professional speaker. She delivers time-tested and progressive self improvement concepts with humor and insight, and audiences rave! Kim is the author of ten books including the best-seller How to Deal With Annoying People (with Bob Phillips, Ph.D.), Discover your Inner Strength (with contributors Stephen Covey, Ken Blanchard, and Brian Tracy), and Men are Slobs, Women are Neat… and other Gender Lies that Damage Relationships (with Bob Phillips, Ph.D.). Kim has also developed and produced numerous CD/ DVD productions on a variety of topics. Kim offers keynotes and longer presentations on topics like leadership, success principles, team building, dealing with annoying people, and giving butt-kicking presentations! Kim has been an entrepreneur and successful business owner since the age of nineteen and possesses a contagious passion and enthusiasm for life that you just have to experience for yourself! An advocate of life long learning, Kim has her bachelors degree in management and her masters degree in organizational management. Kim reads over 60 books a year on a variety of self-improvement topics. Kim has over 20 years of experience with speaking, training, educating, and entertaining audiences.
Up Side
The of a Down Economy for Employers By Eric Chester
Cheer up, gang. In spite of the dire headlines all over the financial pages, there is a silver lining – unemployment is up! Why is that good news? The rise in the number of pink slips means that the pool of available young workers is getting deeper. Hence, your application flow is up and costly employee turnover is down. In this wide scale economic crisis, entry level jobs for teens and front-line professionals are suddenly on the endangered species list – a scenario that hasn’t played out in several decades. And with all that business owners and operators have to worry about, filling positions and keeping them staffed is not as challenging as it was just several short months ago. However, don’t assume that your staffing woes are now in your rearview mirror; at least not as long as you are counting on the performance and productivity of your people to keep you in business. In these turbulent times, it is your internal customers
Eric Chester (employees) that will have the biggest impact on both the number – and the spending – of your external customers. As important as front line personnel are to their bottom line, in a contracted market, most businesses begin their budget-cuts by slashing payroll, meetings, training and various other “employee expenses.” While these line-items are easy targets, the thought process behind this always astounds me. Now is when organizations really need their people; and they need them to be performing at their very best, serving cheerfully, not fearfully. The reason more millionaires are created during recessions than periods of prosperity is simple; wise investors snap-up great deals. (GE stock, for example, is worth $50 per share if it’s worth a nickel, and it’s currently trading at less than $15.) Similarly, while most businesses pull back on marketing, wise business leaders grow revenues and capture significant market share by snapping-up the recession-adjusted advertising rates their competitors are passing on, enabling them to win over new customers. The same principles apply to human capital. As important as your market share is to your longevity, don’t overlook the comparative importance of your “employee share,” i.e., how you stack-up “talent-wise” within your industry. Are you in the locker room with your competitors waiting for the rain to stop and for the sun to start shining again, or are you actively leveraging this opportunity to upgrade and solidify your roster of talent? Last week, the managing partner of a small boutique accounting firm told me that he hasn’t been able to recruit top young accountants
in recent years because he was “getting trounced by the big four with the attractive offers they extend to top accounting grads.” Now some of those same firms are downsizing their recent hires, and he’s making some unbelievable talent acquisitions at a bargain price. When I asked him if he’d simply lose those people when the market corrects, he said, “Most will be with us for many years after they experience our culture from the inside.” He then added, “…and they won’t soon forget how quickly they were cast out by their former employers when the chips were down.” Another client revealed that because of the economic slowdown, his company’s upper management had not only decided against giving employees a Thanksgiving turkey – a tradition the company had practiced for twenty-three years – but that they had also decided to cancel the annual company Christmas party. You think their front-line employees are really going all out to bring in new sales, avoid excessive waste and provide excellent customer service? Cutting staff is one thing, but cancel a party and your Gen Whys are going to rebel! Look, I’m not an idiot. Tough times call for tough measures and you’ve got to find ways to bring your budget in alignment with sales. As they say, there’s no profit in overhead. But if you tamper with your “employee share” without first exhausting every other conceivable cost-saving measure, it’s going to come back to haunt you. Here are a couple items to thoughtfully consider as the year draws to a close with the economy in contraction: Build your employee brand – Never before has a generation of workers been more connected. Face it: your young employees are online at this very moment, telling their peers all about their current employment experience. Your reputation as a millennial-friendly employer is being forged right now on the social networks of Facebook, MySpace, etc. If you’re treating your Gen Whys better than
Advance the Profession • HR Kansas Works 15
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your competitors, you, too, can make some unbelievable talent acquisitions at a bargain price. And if Generation Y is a cohort you want to attract as customers, be doubly careful how you treat them as employees! During dead periods, train for gain – On slow days, don’t send ‘em home; train ‘em like crazy! Now is when you can ramp-up all elements of your operation and enhance your service experience. You can reinforce all those lessons you’ve been wanting to teach them, but couldn’t because you/they were too busy to train. Remember, it’s what you do in the slow times that determines how long the slow times will last, and how quickly you’ll rebound when business improves. Never let ’em see you sweat – You may recall this tagline from an ’80s deodorant commercial, but the words ring true for leaders in today’s economic climate. If you appear visibly stressed by a drop in your revenues, your reports are going to catch your state-of-panic and lose their focus. Stay positive and remind your face to smile. Be cool, calm, and confident and never doubt the value proposition of your brand and your products. Many of your young employees may be nervous about losing their job, but don’t be fooled into believing that fear motivation is your friend. No one performs at their peak under duress. Like it says in the Good Book, “This too shall pass.” We’re going to hit the bottom in the coming months, and we’ll recover. The labor market will also correct, and young talent will soon again be in very short supply. They’re going to remember who had their back during this storm, and who didn’t. So take full advantage of the current market conditions to set yourself apart from the crowd. Your eventual ROI will keep you on top for a long, long time. ■ Eric Chester, President and Founder of Generation Why, Inc., author of Getting Them to Give a Damn-How to Get Your Front Line to Care About Your Bottom Line (Dearborn 2005), and award winning speaker is available through www.GenerationWhy.com or by calling 303-239-9999.
Contact Tim Davis at 816-472-6400. www.constangy.com Class Action Defense • Litigation Prevention • Labor Relations • Employee Benefits OSHA • Wage Hour • Immigration • Affirmative Action
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The George Trombold Achievement Award By Deborah Needleman, SPHR
Nomination forms available at www.ksshrm.com. The George Trombold Achievement Award was established in 1992 in honor of George Trombold and to recognize the achievements of human resource professionals who exemplify a passion for human resources and are dedicated volunteers in their community. George Trombold was an HR executive at Boeing for 37 years, serving as Director of Industrial Relations for 23 years. Trombold was an enthusiastic supporter and promoter of human resource professional development until his death in 2007 at the age of 98. He recognized the value of professional networking and was one of the early founders of the American Society for Personnel Administration (ASPA) that later became the Society for Human Resource Management (SHRM). He rose to the top as a volunteer leader in 1964 when he became the National Chairperson for ASPA. In addition, he was an active on the local level as a member for the Wichita chapter. Trombold was a long standing volunteer leader in the Wichita community. He served on numerous boards, including the Chamber of Commerce and served over 45 years with the Red Cross. Because of this service, he was inducted into the Red Cross Volunteer Hall of Fame. Trombold did all of these things, not for self advancement, but because he knew it was the right thing to do. ■
George Trombold Achievement Award Recipients 2008 2007 2006 2005 2004 2003 2002 2001 2000 1999 1998 1997 1996 1995 1994 1993 1992
Trinidad Galdean Phillip M. Hayes Lisa Carlton Amy Shoemaker Naomi Strong Frankie Brown Cynthia Stotlar Ila Russell Jamesina Evans Joyce Shaw Jan Mathieu Jerry Henson Steve Jacobson Jeanine Wyatt Jim Spangler Roger Morris C. Roger Bolton
Wichita SHRM Chapter Kansas State Council of SHRM Topeka SHRM Chapter Wichita SHRM Chapter Wichita SHRM Chapter Wichita SHRM Chapter Topeka SHHRM Chapter HRMAJC Chapter Topeka SHRM Chapter Jayhawk Chapter HRMAJC Chapter HRMAJC Chapter Wichita SHRM Chapter Topeka SHRM Chapter Wichita SHRM Chapter HRMAJC Chapter Wichita SHRM Chapter
Right people, right results, right now.
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7300 W. 110th Street, Suite 800 Overland Park, KS 66210 111 S. Whittier Street, Suite 300 Wichita, KS 67207 800 421-7943 • www.right.com
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the Profession • HR Kansas Works 17 PM 5/21/09 1:11:36
Kansas Legislative Update 2009 Natalie Bright, JD
By Natalie Bright, JD, Kansas-SHRM Lobbyist
The 2009 Kansas Legislative Session came to an end early in the morning on May 9th, just one day short of the authorized 90 days. The real news of the session is that after substantial spending cuts and tax “speedups” lawmakers were able to produce what is predicted to be pocket change (roughly $17,000) in the bank at the end of Fiscal Year 2010. However, next session lawmakers will face even bigger cuts or less subtle tax law changes, aka tax increases, which are very unpopular in an election year. The estimate for cuts and tax increases in the election-year 2010 session is about $568 million, which set the stage early for a very interesting legislative session prior to an election year. Following is a summary of the bills enacted during the 2009 Legislative Session and are most pertinent to the human resource profession. If you have any questions regarding the bills discussed below, please feel free to contact the Kansas SHRM lobbyist at natalie@ brightcarpenter.com. Income Tax Withholding (SB 97) – Creates the Promoting Employment Across Kansas Act (PEAK), which allows a “qualified company” to retain 95 percent of their payroll withholding taxes on new employees for a period not to exceed 10 years if certain wage requirements are met when hiring a specified number of new employees. There are qualification requirements that must be met as well location requirements. The bill requires the Secretary of Commerce to conduct an annual review of participating qualified companies. Minimum Wage Increase (SB 160) – Increases the state minimum wage from $2.65 an hour to $7.25 an hour beginning on January 1, 2010. The bill exempts employees and employers covered under the federal Fair Labor Standards Act.
Continuation of Benefits – ARRA (HB 2052) - The bill amends the state continuation of coverage law to incorporate certain provisions and requirements of the American Recovery and Reinvestment Act of 2009. The bill requires that employers of eligible terminated employees to provide notice of the right to second chance elect under ARRA. The bill also includes premium subsidy requirements to be paid by insurance carrier, which will be reimbursed under ARRA provisions. State Continuation of Benefits (HB 2214) – Amends several provisions in the insurance code including state continuation of coverage requirements for sickness and accident health insurance plans and HMO (health maintenance organizations) plans to provide that the insurance carrier, rather than the employer, is required to administer premiums to the insurance carrier rather than the employer. However, employers are still required to give reasonable notice of the right of continuation of coverage.
18 HR Kansas Works • Serve the Professional
Mental Health Parity (HB 2214) – Amends three statutes in the Kansas Mental Health Parity Act to require health insurance policies, on and after November 1, 2009, to provide the same benefits for the treatment of mental illness, alcoholism, drug abuse or other substance use disorder as are provided for mental illness. The mental illness, alcoholism, drug abuse, or other substance use disorder benefits are to include the same deductibles, copayments, coinsurance, outof-pocket expenses, treatment limitations, and other limitations as they apply to other covered services. Additionally, an increased lifetime benefit for out-patient services will apply to small group plans and treatment limitations will be applicable to large group plans. Unemployment Compensation Changes (HB 2374) - Allows for the draw down an additional $69.0 million dollars in American Reinvestment and Recovery Act (ARRA) funds for the Kansas Employment Security Trust Fund through the modification of three provisions of Kansas Unemployment Insurance Compensation law. • 1st modification allows applicants to use an alternative wage base period when calculating benefits. Under current law, claimants must use the first four of continued on page 22
Trinidad Galdean, JD, PHR
Federal Law & Legislative Update 2009 By Trinidad Galdean, JD, PHR, Kutak Rock LLP
During the first quarter of 2009, significant changes have taken place for employers. Many of those changes are a result of President Obama following through with his campaign promise to the American worker. In addition to changes in federal regulations, federal cases have also been decided during the last 12 months have affected employers’ policies and practices.
Federal Cases Retaliation - Opposition Activities The U.S. Supreme Court recently expanded the protections related to retaliation. In Crawford v. Metropolitan Government of Nashville, No. 06‑1595 (US 1-26-2009), the Supreme Court held that an employee does not need to initiate a complaint in order to
have engaged in protected activity under Title VII. Under the Court’s analysis, when an employee reports inappropriate behavior during an internal investigation, whether or not the employee instigates the investigation, that report by the employee qualifies as protected opposition to the inappropriate conduct. Race Retaliation In CBOCS West Inc. v. Humphries, 553 US ___ , 128 S. Ct. 1951 (2008), Hendrick G. Humphries, an African‑American, alleged that CBOCS retaliated against him. This ruling now has significant implications for employers. Title VII has a 180‑ or 300‑day administrative filing requirement and a damages cap. Section 1981 has a four‑year statute of limitations and no statutory cap on punitive damages. The Court’s authorization of retaliation claims under Section 1981 means that employers will now have to face a longer statutory filing period and potentially punitive damages, without a cap. FLSA In a decision that could lead to limited back pay awards for misclassifying salaried employees, the United States Court of Appeals for the Tenth Circuit endorsed the “fluctuating workweek” method of calculating back pay. In Clements v. Serco, Inc., No. 06-4316 (10th Cir. July 1, 2008), the Tenth Circuit affirmed the trial court’s calculation of back pay based on the oftenmisunderstood “fluctuating workweek” method. This method of calculation is an available alternative to the traditional timeand-a-half method of calculating overtime, and can result in a significantly lower award of back pay. This could have a substantial effect on the size of the award, especially in collective
Advance the Profession • HR Kansas Works 19
action cases involving multiple plaintiffs. Employers who are concerned about their classification of employees should work with legal counsel to perform an internal audit. Enforceable Arbitration In 14 Penn Plaza, L.L.C. v. Pyett, ____ U.S. ___, 2009 WL 838159 (April 1, 2009), the Supreme Court held that a collective bargaining provision which requires union members to arbitrate age discriminations under the Age Discrimination and Employment Act was enforceable. ERISA In LaRue v. DeWolff, Boberg & Associates, Inc., 128 S. Ct. 1020 (2008), the Court held that an individual pension plan participant could sue the plan administrator under ERISA for breach of fiduciary duty resulting in a loss to the employee’s retirement funds.
Federal Legislation & Regulations Ledbetter Fair Pay Act On January 29, 2009 President Obama signed the Lilly Ledbetter Pay Act. The Act expressly overrules the Supreme Court’s decision, in Ledbetter v. Goodyear Tire, by specifying that discriminatory pay decisions occur each time a discriminatory paycheck is issued, not just when the employer makes an adverse pay decision. The Lilly Ledbetter Fair Pay Act is broader than the decision encompassed by the Supreme Court in that it
applies to disparate pay claims which would fall under Title VII, ADA, ADEA and the Rehabilitation Act. GINA On May 21, 2008 President Bush signed the Genetic Information Nondiscrimination Act (“GINA”). Genetic testing involves the analysis of chromosomes, DNA, RNA and genes and gene products such as proteins and enzymes to detect inheritable or acquired disease-related disorders or conditions. GINA not only ensures that genetic test results are kept confidential, but prohibits the use of genetic information to deny employment or insurance coverage. GINA’s employment provisions take effect in November 2009. As a result of GINA, employers must take care not to make any employment decisions based on any genetic test results of employees. FMLA The Department of Labor (“DOL”) recently published revisions to the Family and Medical Leave Act (“FMLA” or the “Act”), which went into effect on January 16, 2009. These are the first revisions to the Act since it was enacted into law in 1993. The final rule updates the FMLA to implement new military family leave entitlements and clarifies numerous other provisions, including those regarding eligible employees, serious health conditions, notice requirements, light duty and waivers of rights. The entire rule, and sample forms, can be accessed through the DOL web site.
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Americans with Disabilities Act Amendment On September 25, 2008 President Bush signed the Americans with Disabilities Amendments Act of 2008 (the “ADAA”). The ADAA overturns a series of seminal United States Supreme Court decisions which narrowly construed the Americans with Disabilities Act’s (“ADA”) definition of “disability.” As a result of the ADAA, many more employees will fall within the definition of “disabled” and be entitled to the protections of the ADA. Notably, the ADAA retains the original definition of “disability.” The Act, however, takes a number of steps to ensure that this definition is expanded and interpreted more broadly in favor of coverage. At a minimum, employers should review their policies to ensure compliance with the requirements of the ADAA, review their interactive accommodation process and retrain managers and human resources personnel who are involved in the interactive process or in making decisions regarding accommodations. American Recovery and Reinvestment Act of 2009 On February 17, 2009 Congress enacted the American Recovery and Reinvestment Act (“ARRA”) which has been commonly referenced as the “Economic Stimulus Package.” ARRA creates a new cause of action for employees who allege being subjected to reprisal for “whistleblowing” about gross mismanagement or waste of stimulus funds made available by ARRA. Additionally, as part of ARRA, employees subject to an involuntary termination of employment from September 1, 2008 to December 31, 2009 are entitled to a subsidy of up to 65 percent of their COBRA premiums payable by the U.S. government. In conclusion, all the recent developments in the employment area, from case law to regulations, have required employers and HR professionals to keep current and make any changes to existing policies and procedures. Needless to say, HR professionals have been busy addressing these changes during 2009. ■
Visit us online at www.ksshrm.com
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• Serve the Professional
3/21/09
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Super HR Development on Capitol Hill INTRODUC
TION OF OR IGINAL MO The follow TIONS AND ing resoluti HO U SE RE S on was intr OLUTIONS o d u ced and re HO U SE RE S a d b y OLUTION N title: o. 6 007--By Commit tee on Com merce and t he Hu m a L ab o r n Reso
Trinidad Galdean, JD, PHR
Whereas,
u rces tions of a n profession plays a c ri employer a nd a n em tica l a nd st rateg ic ro ployer’s w t he Hu m a ork force; a le in the overa ll n nd tra in ing , e Resou rces professio va luati ng , a nd ma n na l assists a n emplo ag ing a n e mployer’s yer in rec ru it ing , h t he Hu m a ir ing , work force n Resou rc ; a nd e employer on federa s professiona l add re l, state, a n d loca l law sses complia nce is sues for a s; a nd ma ny hu m n a of the Soc n resou rces profess iety for H io n a ls a re me u ma n Reso is a ff il iate mbers o d u (“SH R M” w it h the nationa l S rces Ma nagement (“ f the K a nsas State C ), the worl oc iety for ou nc il K S-SH R M d’s Hu resou rce m ” a nagemen la rgest professiona ma n Resou rces M ) wh ich 20 0 0 K a n sas memb t, a nd serves 12 K a l assoc iation devote a nagement ers of SH R n d M a nd hu sas SH R M C hapters to hu ma n ma n resou K S-SH R M rces profe wh ich serve over ssiona ls; a of Hu ma n a nd loca l SH R M C nd ha R comprehe esou rces professio pters’ m issions a re n n to serve th Resou rces’ sive resou rces, a nd a ls by prov id ing th e ne e d s em to essentia l, st rateg ic ro adva nce the profess ost c u rrent a nd le; a nd ion by pro moti ng H K S-SH R M u ma n a n d lo ca l SH R M C hu ma n re hapters m sou rces pro a ke leg islation fessiona ls th in K a nsas ava ilable to emplo work force at may impact a K y u ; a nd a nsas emp p-to-date in forma ers a nd tion on pe loyer’s op n erations a nd the K a d ing On February 2 K S-SH R M nsas a n d lo ca l SH R M C and 3, approximately have assis ha te leg islators d over the past yea pters, th rough the 100 Kansas HR proir membe rs in supp , state com rs ly related to m fessionals met at the employers it tees, a nd state a ing k nowledge a nd a nd volu nteers, g en the work fo o re rce in K a n r how the impact of c ies on how to add sou rces to state “super”-charged KSsas; a nd re leg islation a ffects a n ss leg islation SHRM Employment Law e mployer a K S-SH R M nd & Legislative Conference educate a prov ides a n a n nua nd in form l employ m ent law co employers in Topeka to advance the on recent n fe ch a employer’ a nges in laws a nd nd the Hu ma n Reso rence in Februa ry Kansas HR Voice. s work forc reg u lation to u e; a nd s a ffecti ng rce profession in K Super Training was a nsas a n employ er a nd the K S-SH R M supplied to HR professionp ro v ides a on the H il l” at the S n a n nua l leg islative als from “Super Lawyers” tate C apit a nd emplo advocac y ol in y in employment law at top meeti ng s ers to travel to the to encou rage hu ma it iative in Februa ry Sta an n , the State o d briefi ng s w it h K te C apitol for a n e resou rce professio “H R employment firms in Kansas. na ls a nsas State ducation d f K a nsas: Now there a L y eg islators of leg islati The training covered employfore, wh ich serv v es to bene e ment law updates, emergfit ing discrimination claims, retaliation updates, ADA Amendments, FMLA changes, compensation issues, managing da ily opera
Whereas, Whereas, Whereas,
Whereas, Whereas, Whereas, Whereas, Whereas,
Be it reso e d by the o State of Klv use of R ansas: ThaH t we proclaimepresentatives of the February 3, K an s a s H u 2 0 0 9 as m an R e s
ource Day.
Advance the Profession • HR Kansas Works 21
the non-employee and legislative lobbying. The attorneys presenting from top employment law firms such as: Kutak Rock LLP Foultson Siefkin LLP Stinson Morrison Hecker LLP Husch Blackwell Sanders LLP Spencer Fane Britt & Browne, LLP Ogletree Deakins Nash Smoak & Stewart, P.C. Polsinelli Shughart P.C. Super Networking took place with HR professionals having “one-on-one” time with key legislative leadership in Kansas. HR professionals such as Bill Goodlatte, Vice President of Human Resources for LDF Companies, and Deb Needleman, Vice President of Organizational Development for Firstsource Solutions USA, Inc., were also able to testify as HR experts before a legislative committee on health care issues affecting employers. Super Recognition was given to all of the HR professionals in Kansas with the Resolution for February 3 being proclaimed as “Human Resources Day” by the Kansas House of Representatives (See the Resolution on previous page). ■
Kansas Legislative Update from page 18
the last five completed calendar quarters, ignoring the last completed quarter or lag quarter, in determining benefits. The modified provision allows claimants to use the last four completed quarters including the most recent quarter, eliminating the lag quarter provision. Claimants can calculate benefits using either methodology and choose the option which provides the greater benefit. This modification allows the State to access the first $23.0 million in ARRA funding for the Trust Fund. • 2nd modification codifies the practice of allowing traditional part-time workers to claim part-time unemployment insurance compensation benefits, assuming they
Index to Advertisers ATTORNEYS Constangy, Brooks & Smith, LLP....................16 Hinkle Elkouri Law Firm LLC..... inside front cover ATTORNEYS, EMPLOYMENT & LABOR LAW Constangy, Brooks & Smith, LLP....................16 Foulston Siefkin, LLP.....................................20
HEALTH BENEFITS Blue Cross Blue Shield of Kansas.....................4
BACKGROUND INVESTIGATION Atlas Risk Management, LLC.......................... 17 CONSULTANTS, MANAGEMENT Right Management........................................ 17
HR INFORMATION SYSTEMS NuView Systems, Inc............... inside back cover
CONSULTING & TRAINING HROI...............................................................3
INSURANCE Preferred Health Systems......... inside back cover
CONSULTING FIRMS HayGroup, Inc.......................... inside back cover
LAW FIRMs Constangy, Brooks & Smith, LLP....................16
DRUG & ALCOHOL DETECTION & TESTING TMHC Services, Inc....................................... 17 EDUCATION Newman University, School of Business..........22 EMPLOYEE ASSISTANCE PROGRAMS TMHC Services, Inc....................................... 17 EMPLOYEE BENEFITS Baker University............................................14 Century Health Solutions..................................6 Constangy, Brooks & Smith, LLP....................16 22 HR Kansas 331654_Newman.indd 1
HEALTH & WELLNESS Vision Care Direct..................outside back cover
HIGHER EDUCATION Baker University............................................14 Friends University............................................6 Johnson County Community College Center for Business & Technology.............. 12 Kansas State University - Div. of Continuing Education................................. 13 Webster University................... inside back cover
ATTORNEYS, IMMIGRATION LAW Constangy, Brooks & Smith, LLP....................16
www.newmanu.edu/executiveed
would be otherwise qualified to receive benefits. The modification has no fiscal impact, but moves current Department of Labor practice into statute. • 3rd modification provides an additional 26 weeks of unemployment insurance coverage for persons who are otherwise qualified to receive unemployment compensation and are enrolled in a stateapproved training program, a shared work program, or a job training program authorized under the Workforce Investment Act of 1998. Kansas currently provides a maximum of 26 weeks of coverage for individuals enrolled in approved training programs. The second and third modifications qualify Kansas to access an additional $46.0 million dollars in ARRA funding for the Kansas Employment Security Trust Fund. ■
Works • Serve Professional 5/18/07 the 7:58:25 AM
LEGAL SERVICES Morris, Laing, Evans, Brock & Kennedy.............6 PROFESSIONAL DEVELOPMENT & SEMINARS Kansas State University - Div. of Continuing Education................................. 13 TRAINING, ORGANIZATIONAL Kansas State University - Div. of Continuing Education................................. 13 VISION PLANS Vision Care Direct..................outside back cover
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