March April WM Magazine 2014

Page 1

March-april 2014

75 Years of Wage and Hour Laws

Hiring Plans and Practices for 2014 Helping Employees Plan for Retirement Can Be a Win-Win-Win Join Us at the 25th Annual Employment Law Update Conference


Contents

March/April 2014 1  A Note From the Editor Health Care Reform Learning Zone

7 Why This Year’s Employment Law Update Is a Milestone

2  How Drug and Alcohol Testing Costs You

8 Then & Now: 75 Years of Wage and Hour Laws

Pre-Employment Screening

Wage & Hour Audit Services

3 Helping Employees Plan for Retirement Can Be a Win-Win-Win

10 What Employers Need to Know About LCA 11 Basic Principles in Workplace Investigations, As Always

Career Transition Services

4 Hiring Plans and Practices for 2014

Investigation Services

5 Member Profile: Scottsdale Chamber of Commerce

12 Construction Contractors and the New Affirmative Action Regulations

Employment Law Update Conference

Affirmative Action Services

6 Staff Spotlight: Michelle Jacobsen

13 Copyright and You

I-9 Compliance Services

MSEC is celebrating its 75th anniversary this year! We opened our doors in 1939 with 100 member companies. Today we have over 3,000 members, in 77 industries, representing nearly a million employees. We appreciate your support and look forward to serving you for another 75 years.

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A Note From the Editor

Lorrie Ray

Membership Development

We continue with our 75th anniversary year. When MSEC began in 1939, just two major employment laws had passed—the National Labor Relations Act and the Fair Labor Standards Act (FLSA). In fact, MSEC was founded to help employers with this legislation. The FLSA has quite an interesting history over the years. Reading 75 Years of Wage and Hour Laws on page eight may help you understand this convoluted law just a little bit better. To learn how MSEC’s membership and services have changed since then, read about that on page nine. Employers continue to face challenges. Sadly, one is the fact that some employees show up at work under the influence and that can have a huge impact on your workplace. Surveys show the majority of employers do drug testing. Read the article on page two, to find out how drug testing may benefit you. You might also want to know about basic principles in workplace investigations to respond to drug use issues in your workplace, and to learn more, read the article on page 11. Our survey results are showing signs that many of our members are hiring. Read the article on this topic on page four. While you are thinking about this, don’t forget to consider those who may be retiring. To learn how best to handle a valuable employee’s retirement, the article on page three may be helpful. It’s now March and our Annual Employment Law update is around the corner. To learn more about what we are planning for our 75th anniversary, and the 25th anniversary of the Employment Law Update, read the article on page seven. Is there something you would like to see in the Workplace Matters Magazine? Please let us know. We love hearing from our members!

Zoning Out On Health Care Reform? Tune Into Our:

The Learning Zone is a free, member only, on-line tool designed to help you through the ACA maze. Your organization’s demographics drive the provisions that you must comply with. This tool allows you to enter your information and the relevant provisions are highlighted. Provision are further detailed with: A comprehensive summary • Key points for understanding Action steps to take to ensure compliance • A timeline with effective dates As required access to relevant forms for documentation and submission FAQ’s • Links to additional resources To access The Learning Zone, go to MSEC.org.

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How Drug and Alcohol Testing Costs You Linda Kinter, Outsourced Consulting Services

Over the last 25 years, the number of private businesses that administer drug and alcohol tests has risen. The Society for Human Resource Management says 57 percent of American businesses required all job candidates to pass a drug test in 2011, and another 10 percent tested just certain applicants. At the same time, the Institute for a Drug-Free Workplace found that 35 percent of workers have seen or heard of on-the-job drug use by co-workers. Drug testing is a way to ensure that individuals on your payroll are clear-headed when working. This is particularly important if you have employees in safety-sensitive positions. Sobriety makes for a safer and more productive work environment, and testing is a surefire way to deter employees from using alcohol and drugs. Here are some of the costs of employing impaired workers: • They function at approximately two-thirds of their productive capacity.

• They are twice as likely to request early dismissal or time off.

• They are almost four times more likely to be involved in workplace accidents.

• They are two and one half times more likely to have absences of eight days or more.

• They are five times more likely to file workers’ compensation claims.

• They are three times more likely to be late for work.

Our partner ChemScreen provides members cost-effective national drug and alcohol testing services and a broad selection of testing options. Email pes@msec.org or call 800.884.1328 for more information.

Three Resources that will Vet Candidates to Ensure you Hire the Right Person! Background Checks-Our easy-to-read reports help you determine quickly an applicant’s criminal, educational, and work history. Drug Testing-We partner with Chemscreen to provide a cost-effective, state-of-the-art electronic reporting system with same-day drug test results. Behavioral and Skills Testing We offer a wide variety of Skills Testing and a simple-to-use, cost effective, and flexible online testing application. Our Behavioral Assessments have a proven history of successfully predicating job performance and reducing turnover. To take advantage of these services call 800.884.1328 or email pes@msec.org.

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Helping Employees Plan for Retirement Can Be a Win-Win-Win Kristen Borrego, Outsourced Consulting Services

Retirement is fast becoming the number-two employee benefit concern after healthcare. Employees value a “good retirement plan” as the most important reward feature after base salary. However, nearly three-quarters of near-retirees say they are concerned about their readiness for retirement. Even with the attention directed at retirement these days, here is a question you may not have considered, “Should your organization help employees plan for retirement?” Increasingly, employers are convinced they should do more to help employees achieve successful retirement. This help goes beyond the financial considerations we typically associate with “retirement readiness” to include lifestyle advice. The complexity of retirement readiness seems to grow each year. Employees who already lead busy lives often cannot take the time to answer their accumulating questions. Employers have resources to help to get the conversation started. Why should employers help employees plan for retirement? Some have said, simply because it is the right thing to do. Certainly, and a Mercer study claims that employers taking a proactive focus on retirement strategies gain a competitive advantage. By offering retirement help to employees, employers can maintain productivity and reputation while boosting employee engagement and loyalty. Employers can also attract upcoming generations who are seeking employers who practice corporate social responsibility, among other intangible rewards of company culture. Employers can also benefit by learning when employees are thinking of retiring. Pragmatically, such advance knowledge assists in managing the inevitable transition of roles in your organization. Employers’ retirement readiness increases the flexibility and effectiveness of each stakeholder—your company, the retiree, and the subsequent generations you are looking to attract and retain. Contact us to learn how we can collaborate with you on your retirement transitions at cts@msec.org or call 800.884.1328.

Can You Spot the Potential Retirees in Your Organization? Let MSEC minimize the impact by helping to create a plan for you and your retirees. Our service includes planning for life after retirement, so that the retiree can determine when to leave, how to leave gracefully, and in a way that will benefit your organization not compromise it. To learn more about this service contact us at 800.884.1328 or email hrmanager@msec.org.

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Hiring Plans and Practices for 2014 Sue Wolf, Surveys

In our 2013 Fall Planning Packet Survey, we asked employers in Arizona, Colorado, and Wyoming about their staffing levels and hiring plans for 2013 and 2014. Fifty percent of Arizona employers, 38 percent of Colorado employers, and 35 percent of Wyoming employers reported they would create and hire for new positions in 2014. These figures are lower than previously projected. However, 50 percent of Arizona employers, 62 percent of Colorado employers, and 71 percent of Wyoming employers are also planning to fill current vacancies. These statistics foretell quite a bit of hiring in 2014! What sort of recruiting sources are organizations using when hiring? Our 2013 Miscellaneous Benefits & Pay Practices Survey shows the three top recruiting methods used by Arizona, Colorado, and Wyoming employers were the company website, job boards (e.g., Monster), and employee referrals. Organizations are no longer relying on traditional recruiting methods like newspaper ads, job fairs, or search firms to find today’s employees. Technology continues to change the way employers recruit! What types of tests or practices are organizations using to screen job applicants? Our Miscellaneous Benefits & Pay Practices Survey showed that the most commonly used tests include: clerical ability, job specific skills tests, personality/behavioral tests, mechanical ability, management ability, work simulation tests, aptitude/ cognitive assessment learning measures, and drug and alcohol testing. In the same survey, the majority of organizations reported that they outsource background checks as another level of applicant screening. Eightthree percent of Arizona employers, 80 percent of Colorado employers, and 78 percent of Wyoming employers outsource background checks. MSEC offers comprehensive assistance in the hiring process. We can even provide HR Professional Staff to do the hiring for you. We also have a suite of pre-employment testing services such as skill-based tests, drug/ alcohol testing, and background screening to fit your organization’s needs.

Recruiting Sources Most “Often” Used

Company Website

Job Boards

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35%

Employee Referral

Source: MSEC 2013 Miscellaneous Benefits & Pay Practices Survey

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44%

35%

WY

46%

CO

49%

62%

74%

75%

69%

AZ


Member Profile Scottsdale Chamber of Commerce Founded in 1947, the Scottsdale Area Chamber of Commerce is the oldest and largest business organization in Scottsdale and the second largest chamber of commerce in Arizona. The Chamber was operating four years before the city of Scottsdale was incorporated, and has worked with the city and the business community for more than 65 years to ensure a vibrant and prosperous community. As Scottsdale has changed and grown over the decades, so has the Chamber. At its inception, Scottsdale was one square mile, centered in the Old Town area. Each year brought new growth and expansion until Scottsdale has reached its near build-out size of 185 square miles with a population more than 200 times its size in the 1940s. Each step of the way, the Chamber has worked with businesses to help Scottsdale grow, prosper, and develop into one of the finest community brands in the nation. The Chamber is incorporated as a 501(c) (6) nonprofit, with dues deductible for business members as a regular and ordinary business expense. The Chamber is contractually unconnected to the city of Scottsdale because much of the Chamber’s activity is as an advocacy organization for businesses. The Chamber uses the power of its large business base to work toward business-friendly legislation at the State Capitol and City Hall. The Chamber offers members opportunities to address issues important to the business community and the community as a whole, especially in the areas of public policy and economic development. The Chamber is one of Scottsdale’s primary brand managers. Boasting a presence on the world stage far larger than its population would imply, Scottsdale has a superior and quality brand that is the envy of communities around the country. Few have not heard of Scottsdale, and the majority who

have look on it favorably. The Chamber and others nurture that brand and seek ways for Scottsdale to eschew complacency and embrace new and exciting ways to stay on top. The Chamber offers a wide array of events; programs and services to help businesses of all sizes find value. Often working with quality partners, the Chamber offers programming to better arm businesses with skills and information to help then grow. They urge all businesses to become a part of the valley’s most exciting and energetic business organization. Learn more at their website, www. scottsdalechamber.com, or call 480.355.2700.

Sharing 75 years of Experience at Our 25th Annual Employment Law Update! The ELU is the one conference that covers the most significant employment law developments of the year. May 6 • Fort Collins May 13 • Denver May 15 • Colorado Springs May 20 • Grand Junction June 3 • Scottsdale, AZ To register call 800.884.1328 or registration@msec.org. For additional information go to MSEC.org

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Staff Spotlight Michelle Jacobsen

ICE has Increased Audits by 45%.

Michelle Jacobsen

is an employment law attorney in our Fort Collins office. She is licensed to practice law in Colorado and Wyoming. Michelle has more than eight years of experience in Human Resources, employment law, business law, and banking. She earned her undergraduate and law degree from the University of Wyoming, and she holds the Senior Professional in Human Resources (SPHR) certification from the Human Resources Certification Institute.

Take advantage of MSECS comprehensive I-9 Compliance Services and avoid the potential of thousands of dollars in fines and legal fees.

Michelle also served as general counsel to a large community bank. Prior to practicing law, she worked as an investigator for the Wyoming Department of Workforce Services in Labor Standards. She has assisted clients with various employment law issues including regulatory compliance, discrimination and harassment claims, wage and hour violations, preparation of workplace policies and employment agreements, representation before state and federal administrative agencies and workplace investigations.

I-9 Audit Service Our audit includes reviewing 1-9 forms, identifying paperwork errors and providing improvements for your 1-9 process. I-9 Training

Michelle’s favorite thing about working at MSEC is the relationships that she has built with the members and over the years. She has formed friendships with many of them. She likes helping members with complicated legal issues and she likes that her work is constantly changing. She appreciates working in an organization with so many knowledgeable and highly skilled professionals.

Our comprehensive training will provide you with a solid understanding of the 1-9 process. We can customize the training to meet your specific needs. I-9 Advice Your MSEC membership includes information and advice to ensure your compliance with 1-9 and E-verify requirements. Call as often as you need.

In her spare time, Michelle gardens, reads, and spends time with her family and friends. She enjoys cooking and doing home-remodeling projects.

For information call 800.884.1328 or email us at immigration@msec.org

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Why This Year’s Employment Law Update Is a Milestone Interview with Tim Settle, Director, Employment Law Services S. Lorrie Ray, Membership Development

Lorrie: Tim, why are you excited about this year’s Employment Law Update? Tim: It’s MSEC’s 75th anniversary, and it’s the 25th anniversary of our annual Employment Law Update. This is a great time to reflect on how employment law and human resource practices have changed since 1989, and understand the effect those changes have had on our members. It’s also a time to evaluate how we can continue to help our members prepare for future changes that are certain to come. We are proud that we have been able to keep our members informed and prepared with our annual update for 25 years. Lorrie: What kinds of changes have occurred in the past 25 years? Tim: To name just two, the Americans with Disabilities Act and the Family and Medical Leave Act. Neither of these laws existed in 1989. In those 25 years, the number of laws and regulations at the federal and state level that affect employers has increased dramatically. We have also seen an evolution of laws that were in existence 25 years ago, transforming and expanding through regulatory and agency action. The Fair Labor Standards Act and the National Labor Relations Act existed in 1989, but since then we have seen resurgence in application and enforcement under each law.

have grown and expanded on a regional and national basis, so have their needs to comply with the laws of other states. We see more state laws enacted each year, which increases our members’ compliance obligations. In Colorado alone, we have seen a number of employment laws passed affecting employers in the past several years, everything from civil unions to limits on employers access to social media to greater penalties for small employers in discrimination cases. I expect to see more of that trend in the future. Lorrie: How have we helped our members with all the changes to the laws over all these years? Tim: Of course, we inform members of new laws as they pass, but we go far beyond that. Employers need not only to be aware of these changes, but also to know how to manage effectively in light of them. We let members know how the law will affect them and what they can do to have strong policies, procedures, and responses to issues that may arise. With programs like our Employment Law Update, we have been able to regularly reach out to a large segment of our membership and provide necessary updates in an informative and hopefully entertaining presentation. Lorrie: I am looking forward to attending MSEC’s 25th Employment Law Update. How can I find out more? Tim: Simply go to our website, MSEC.org, and search for Employment Law Update, or give us a call at 800.884.1328.

Lorrie: The changes you mention are mainly federal changes. What about changes in state law? Tim: That’s a good question and an important issue. In 1989, there were fewer state laws affecting employers, and our members tended to be located in just the Mountain States’ region. As our members march-april 2014

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Then & Now

75 Years of Wage and Hour Laws James McDonough, Membership Development

The Fair Labor Standards Act of 1938 (FLSA) introduced a federal minimum wage of $0.25 per hour, increasing to $0.30 per hour in 1939, when MSEC was established. The product of numerous compromises, federal minimum wage only applied to the 20 percent of the U.S. labor force employed in activities related to interstate commerce. Yet opponents railed against the law and vowed repeal, to which FDR responded “My God! 25 cents an hour! Why all the fuss?” The debate continues to this day with surprisingly similar controversy.

Debate over the federal minimum wage has raged over MSEC’s entire 75-year history. Among the most controversial of all employment laws, it started when 13 states passed minimum wage laws between 1912 and 1920. Colorado’s law passed in 1917, protecting women and minors only. The national debate heated up during the Great Depression when President Franklin Roosevelt (FDR) considered federal minimum wages an important step toward increasing employment, boosting household incomes, and tackling worker exploitation. Many workers, including children, toiled 60 or more hours a week for wages that barely kept them fed. FDR believed that boosting worker pay would stimulate demand for goods and services, thus stimulating employment in the broader economy. Political foes saw this as an unwanted expansion of government power. Industrialists were opposed, citing the impact on corporate profits. Economists were split over the efficacy of a minimum wage. Surprisingly, even some labor unions were not supportive, fearing a threat to their interests.

Key dates in MSEC’s 75-year history with the minimum wage: 1939: MSEC established to respond to New Deal legislation, including the NLRA and FLSA. 1940s: During World War II wage debate subsides due to full employment and high union participation. 1950s: Post-war boom years keep employment and wages high. 1961: Amendments cover many employees in large retail, transit, construction, and service industries.

The U.S. Supreme Court ruled throughout the 1930s against labor and wage laws, citing concerns over the rights to free negotiation between employee and employer. However, one ruling, Tipaldo, was so unpopular; the Court was widely criticized for “condemning 3 million children and women to economic slavery.” Emboldened by his 1936 landslide re-election, FDR threatened to pack the Court with six new justices sympathetic to his vision, sidelining the “nine old men.” Fearing this move, Justice Owen Roberts joined more liberal court members in a key vote to support state wage laws; setting the stage for FDR’s federal labor and wage reform agenda.

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1966: Amendments apply piecemeal to government workers and most private sector workers. 1967: Different minimum wage rates set for farm and non-farm jobs; persist until 1978. 1968: Real purchasing power of the minimum wage hits its peak ($10.55 in current dollars). 1978: Uniform minimum wage across most industries for nonexempt workers only.

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1997: A subminimum wage set for younger workers. States granted right to set higher wage levels. 1997-2007: Longest period of time with no increase in the minimum wage. 2010: Colorado’s minimum wage decreases, the only such change in U.S. history. 2014 Snapshot: Complex patchwork of minimum wage laws across the country. Washington has the highest statewide minimum level at $9.19 per hour. Many major cities require higher minimum wage: San Francisco $10.55 per hour., Santa Fe $10.51 per hour. Colorado and Arizona laws require annual adjustment using a cost-of- living formula. Wyoming law defines a lower minimum wage than federal mandate. National debate over “livable wage” of $15 per hour.

Not your Grandfather’s Fair Labor Standards Act! Not only has the FSLA evolved over the last 75 years, the state laws are more complicated as well. Make sure your policies aren’t stuck in the 30’s let MSEC conduct a Wage and Hour Audit. Our staff attorneys will help you untangle the complicated issues and recommend strategies for compliance. The audit includes: • Recordkeeping and retention requirements • Exempt status-review positions for proper exempt classification • Deductions from pay for salaried exempt employees • Pay practices for nonexempt employees – On-call pay, travel time, and inclusion of bonus • Payments and shift differentials in overtime calculations • Computing overtime pay for inside sales personnel paid on commission For more information on Wage and Hour Audits, contact 800.884.1328 or email els@msec.org.

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What Employers Need to Know About LCA Chris Bauer, Specialized Legal Services

Employers often sponsor professional foreign nationals for H-1B status or a similar status for citizens of certain favored countries (e.g., H-1B1 for Chilean and Singaporean or E-3 for Australian). Many enter into sponsorship without understanding the liability that goes along with filing the companion document to the petition for work status called the Labor Condition Application (LCA). A signed LCA must accompany the petition for work status. By filing it, the employer agrees to significant obligations that are actively enforced by the U.S. Department of Labor (DOL) and U.S. Citizenship and Immigration Services (USCIS). The LCA details the terms and conditions of the position, including the type of occupation, the prevailing wage, and the location(s) where the foreign national will be working. By filing an LCA, the employer attests that: • It will pay the required wage to the foreign national. This wage is the higher of the actual wage the employer pays to other employees in similar positions, with similar experience and qualifications or the prevailing wage set in the LCA. The required wage is the minimum that the employer can pay the foreign national during employment. DOL regulations limit payroll deductions during the employment term to tax and benefit deductions and other deductions requested authorized in writing by the employee. If improper deductions cause the foreign worker’s wage to drop below the required wage, the DOL will deduct those from salary paid when auditing whether the required wage was paid and order back pay for any deficits. While audits are not common, they can be initiated as part of other wage and hour investigations or by worker complaints. • Hiring the foreign employee will not adversely affect the working conditions (e.g., hours, shifts, vacation time, and other benefits) of other employees doing similar work. • No strike or lockout is currently occurring in this occupational class. If a strike or lockout occurs, the employer must notify the DOL within three days. The foreign national cannot work at a job site having a strike or lockout. • It has notified the union representative or, if there is no union, all employees of the proposed employment. The employer must provide a copy of the LCA to the foreign worker before the employment begins. The employer must also create a public access file containing the posted LCA and other required documents. The file must be available to anyone who wishes to examine it, including other employees and federal auditors or investigators. The employer must retain the file for the longer of one year after the last date of employment, or one year after expiration or withdrawal of the LCA. The employer must keep payroll records for at least three years from the date created. We are glad to answer your questions about the LCA. You can reach us at 800.884.1328 or immigration@msec.org.

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Basic Principles in Workplace Investigations, As Always Mark Flynn, Specialized Legal Services

judge viewed the investigation as an attempt to exonerate IBM rather than determine if Castelluccio was treated fairly. The investigator’s admission that the investigation would have ceased if Castelluccio had signed the severance agreement, suggested that following IBM’s EEO policy was secondary to avoiding litigation. The blogosphere and employment law publications have taken special note of an age discrimination case out of Connecticut. Castelluccio v. International Business Machines (Conn. 2014). Well before the $2.5 million verdict in favor of Castelluccio, publicity focused on the judge’s decision to exclude IBM’s workplace investigation from evidence based on the determination that it was one-sided. The case reinforces the importance of following basic principles to support an appropriate investigation, but seems also to have prompted some professional investigators to oversell their assertions of neutrality.

Several web-based snippets on the ruling imply that the lack of neutrality in the investigation might only be overcome by hiring a third-party investigator. While hiring an outside investigator may be the best choice in some circumstances, it is false and impractical to suggest that HR professionals cannot be neutral in internal investigations. As always, the issue goes back to the tenets of a sound investigation, regardless of who assumes that role. Neutrality or impartiality is best demonstrated by sound and consistent process, rather than even the most sincere self-declarations.

Castelluccio’s age discrimination complaint on June 13, 2008, followed notice of his pending termination after over 40 years of employment at IBM. IBM’s HR consultant conducted an “open door” investigation in response and on August 11, 2009, informed Castelluccio of his finding: IBM had treated Castelluccio fairly when it terminated him. The judge declared it “not an investigation conducted by a neutral party” because it “represents only the findings and conclusions of IBM, as opposed to Castelluccio’s account of the circumstances surrounding his termination.” It focused more on Castelluccio’s job performance than his age discrimination claim. The

It is unclear what an “open door” investigation meant in this case, but the facts suggest that the investigator did not allow Castelluccio to tell his side of the story in full and only considered information from executives critical of his work performance. The scope of the investigation was not properly framed around the allegation of age discrimination, but on an ambiguous standard of fair treatment. Likewise, the 14-month lag between the complaint and communication of findings misses the mark for a prompt investigation. These deficiencies do not correlate to internal HR professionals more so than third-party investigators.

Finding the truth in a workplace allegation can be like finding a needle in a haystack. Let MSEC do it for you. We will conduct a thorough investigation and provide the findings in a comprehensive investigation report that becomes your legally defensible basis for informed decision making. MSEC investigators, are experienced employment law attorneys, and practiced interviewers.

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Construction Contractors and the New Affirmative Action Regulations Melinda Sanders, Specialized Legal Services

does not lend itself to extensive data collection, data evaluation, or written affirmative action plans. Nevertheless, beginning March 24, 2014, construction contractors will be required to collect extensive data and create written affirmative action plans Although supply and service contractors have dealt with data collection and statistical analyses for race and gender for decades, construction contractors must educate themselves about data collection, utilization goals, hiring benchmarks, impact-ratio analyses, and the formation of job groups. The new requirement to solicit disability information at three distinct stages of the employment process also poses challenges to construction contractors who often accept walk-in applicants and extend immediate job offers.

In 2011, the Office of Federal Contract Compliance Programs (OFCCP) proposed new affirmative action regulations for protected veterans and disabled individuals. These regulations go into effect March 24, 2014. One of the most significant new requirements is that government contractors, including construction contractors, must implement a seven percent utilization of individuals with disabilities in each job group.

We will be offering training specifically designed to help construction contractors comply with these requirements in April 2014. In the meantime, please contact our contact Affirmative Action Planning Services at 800.884.1328 or aaps@msec.org with your questions.

Contractors from the construction industry sent several requests asking the OFCCP to create an exemption from this utilization goal for physically demanding and safety-sensitive jobs. The OFCCP responded that the requests were based on the flawed notion that “individuals with disabilities as a group are incapable of working in these jobs.” The OFCCP said it would not “construct an avenue to permit contractors to avoid hiring individuals with disabilities from certain jobs.” Therefore, as of March 24, 2014, construction contractors that employ 50 or more employees and have a government contract or subcontract of $50,000 or more must create written affirmative action plans for disabled individuals and must also begin collecting and analyzing data on disabled individuals.

MSEC prepares more than 500 Affirmative Action Plans annually. Our menu of options is flexible, feature-rich, and customizable to meet the specific needs of your

The requirement for construction contractors to collect and analyze data is a marked shift from the agency’s previous stance. In its 2009 Technical Assistance Guide for Federal Construction Contractors, the OFCCP acknowledged that the “fluid and temporary nature of the construction workforce”

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organization. Call 800.884.1328 or email us at aaps@msec.org.

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Copyright and You James McDonough, Membership Development

Our lives are awash in media content and information. Paper-based records and information resources are migrating to internet databases, clouds, and other web-based platforms. Smart phones, apps, and tablets make it easy and fast to find and share content with co-workers, customers, and whole communities. Such ease and freedom may lull users into thinking that accessible content is free to use in any way they choose. Nothing could be further from the truth! Copyright law still exists and intellectual property rights are vigorously enforced. With the click of a mouse, a scanned article is sent to thousands of customers or employees. A clever YouTube video is streamed for a business presentation. Both have copyright protection, and using them invites risk and financial consequences. Consider this scenario… To dress up a flyer to market your business, you browse the web and find a picture with a banner declaring it “FREE!” You download the picture, paste it into the flyer, and distribute to thousands of homes in your area. Is this OK? It may surprise you to learn that this likely violates copyright. “But it was FREE!” you say. True, however, if in fine print the picture states it is free for “personal use only,” then your commercial use was prohibited. Commercial use of copyrighted material requires advance approval and usually payment of a fee. Violating copyright exposes you to legal action by content owner. “But that is so unlikely! I am a small business and no one will pay attention to me!” Your business may be a small fish in a big pond, but the Internet and social media make it hard to hide. Predicting what will “go viral” or how information may be used is impossible. Once it is on the web, it has a life of its own.

You should know that virtually ALL materials in ALL media are protected by copyright, including: • Print: books, magazines, periodicals, newsletters • Film: DVD, streaming, televised, videotape, etc. • YouTube, TED Talks, and corporate websites • Music: CD, tape, streaming, iTunes, MP3, radio, etc. • Clip art found online, even if it says it is “free” • Online content: articles, blogs, papers, photos, tweets, screen shots, etc. • Art, photographs, and still images from video These materials are not protected by copyright: • Government documents • Materials with expired copyright: http://fairuse.stanford.edu/charts-and-tools/ • Certain materials released to the public domain (different than “publicly available”) • Purchased materials that grant specific user rights • URLs • Logos (but they may protected by trademark law) Train your staff to respect copyright laws. These user-friendly resources can help: • The U.S. Copyright Office www.copyright.gov • The Copyright Clearance Center www.copyright.com The MSEC Library has numerous resources to help you, and the know-how to use them lawfully. Contact me at 303.223.5330 or email jmcdonough@msec.org for help.

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