Unemployment Compensation and COBRA Benefits Set to Expire Today

Federal unemployment compensation and COBRA benefits expire tonight due to a gridlocked vote in the Senate.  As FOXNews reports:

Unemployment insurance and COBRA benefits will expire Sunday for millions of voters because the Senate was unable this week to pass a short-term extension, a failure that reflects partly the partisan gridlock that has stalled the Democratic legislative agenda and partly the Senate rules that allows one lawmaker to block legislation.

According to the FOXNews article, while benefits are set to expire today, the Senate should be able to renew them with a Tuesday vote.  Congress will soon take up a broader bill in its "jobs agenda," which includes an extension of the benefits for one year.  The bill is expected to pass by the end of next week.

As CNNMoney reports, the effect of the current benefits expiration is that unemployed workers will not be able to apply for the federal benefits during the expiration period, and those workers will stop receiving federal unemployment compensation checks once their state benefits or current federal benefits run out.  If the new extension is approved, jobless workers could reapply for federal benefits, but they will not receive missed payments.

Southwest Florida HR Law & Solutions will continue to monitor these developments, and will post updates as they occur. 

The NLRA...Not Just for Unionized Workplaces

A provision in fictional ACME, Inc.'s employee handbook states:

"All employees are strictly prohibited from discussing their salary or wage information with one another. Violation of this policy may lead to discipline up to and including termination."

This provision, or one similar to it, is undoubtedly found in handbooks or other work rule documents in many workplaces. Is there a problem? Yes—and it could become more pronounced if not rectified soon by ACME and/or other employers.

Many employers are surprised to learn that the National Labor Relations Act ("NLRA") applies to non-union workplaces. It does, and Section 7 of the NLRA guarantees that all employees, regardless of union status, have the right to engage in "concerted activities for the purpose of . . . mutual aid or protection." This means that all employers, both union and non-union, are prohibited from interfering with their employees' right to discuss terms and conditions of employment, including wages and benefits, with each other.

In a relatively recent National Labor Relations Board decision, the NLRB found that an employer's "Confidentiality" rule, which prohibited employees from discussing disciplinary information and salary, "plainly infringes upon Section 7 rights" as it "explicitly restricts discussion of terms and conditions of employment."

Now that we know stifling discussion about wages and benefits risks violation of the NLRA, what about other ramifications?  Another consideration after the jump

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FLSA, Severance Agreements, FMLA, and more: New Issue of HFSH Employment Law Update Online Now

The Employment Law Practice Group is pleased to provide the February 2010 edition of the Employment Law Update, which features the following articles:

  • Did you know that Florida ranks second only to California in the number of wage and hour suits brought against employers?  Robert Shearman provides employers with a timely update and advice in "Taking Care of Business and Working Overtime: FLSA Lawsuits on the Rise."
  • Whether an employee is terminated because of a depressed economy or poor performance, severance agreements are important for employers and employees alike. John Agnew explains in "Why a 'Golden Parachute' Can Be As Good For The Employers As It Is for the Employee, Especially in Difficult Economic Times."
  • In the article "Amendment to FMLA Expands Military Family Leave," Joanne Lashey explains how FMLA policies should be reviewed and revised to comply with changes to exigency leave, contingency operations and caregiver leave requirements.

Q&A with Charlotte Mack King: Hope Hospice and Community Services, Inc.

Charlotte Mack King, Chief Human Resources Officer of Hope Hospice and Community Services, Inc. ("HOPE"), graciously agreed to answer a few questions for this blog. HOPE has managed to weather one of the worst economies in recent memory, in fact thriving despite dismal economic conditions in Southwest Florida. 

Charlotte, an MBA and SPHR, has an extensive HR background with 35 years of broad employer and consultative experience. In her role at HOPE, Charlotte directs all aspects of HOPE's human resource operations, overseeing a team of HR Directors with a staff of 1,000+ throughout Florida. 

We wanted to get Charlotte's view on various matters that are affecting HR today, along with her advice and insight on successful strategies.

"Recruit carefully; seek out those candidates who can bring good influences and/or practices to their job. The individual in the lead HR role must take the lead—remain positive, professional, and communicate routinely with the HR team," Charlotte says.

See more of her answers, after the jump.

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COBRA Notification Deadline Two Weeks Away

On December 19, 2009, President Obama signed into law the Fiscal Year 2010 Defense Appropriations Act (the "Act"), which included an extension of the eligibility period and duration of the COBRA premium subsidy for assistance eligible individuals. Employers should be aware by now that the COBRA premium subsidy has been extended, as they are required to take several specific actions with regard to the extension.

Particularly, the notice to individuals describing the extension must be provided no later than February 17, 2010. This notice must be provided to those employees who were

  1. assistance eligible individuals, or
  2. experienced a qualifying event related to a voluntary or involuntary termination of employment at any time between October 31, 2009 and December 19, 2009. 

The Department of Labor has model notices available and employers who have not yet provided the required notice should make it a priority to ensure compliance with the Act.