The beginning of the new year often brings fresh resolve, brightened attitudes, and a renewed sense of hope for the coming year. Savvy employers harness those emotions in their workforce and engage their employees to reach new goals and achievements. But behind the scenes, employers also need to be aware of new laws and regulations that must be implemented to keep things on track.
One of the best ways to capture critical updates is to conduct an annual review of your company handbook and employment practices. Many states and localities have adopted regulations that require certain procedures and information be included in a company handbook. Employers should review those updates for each location where employees work, paying special attention to the following:
- Minimum Wage: Alaska, Arizona, California, Colorado, Florida, Hawaii, Maine, Michigan, Minnesota, Missouri, Montana, New Jersey, New York, Ohio, Rhode Island, South Dakota, Vermont, and Washington have all implemented an increase of the minimum wage for 2018.
- Ban the Box: California and other states have also prohibited questions regarding an applicant’s criminal history from being included on an application for employment. While employers may still check an applicant’s or employee’s criminal background, these laws specify when it may be done and what may be considered.
- Equal Pay and Salary History: Joining Massachusetts, Delaware, California and other states and some cities (Philadelphia, for one) have recently enacted various statutes to prohibit questions regarding an applicant’s salary history on an employment application. While confirmation of prior salary may be done in certain circumstances, basing an employee’s salary on prior compensation is generally prohibited by these laws. Recruiting managers and their teams need to be trained to avoid such inquiries unless and until the point in the process where they may lawfully ask about prior salary.
- Anti-Harassment Policies and Training: Ensure that your non-harassment policy is compliant with applicable federal, state and local laws by including at least two methods to report complaints and checking to be sure that your policy covers all forms of potential harassment and discrimination against protected classes. Employers should also check their training records to be sure that trainings are being conducted with appropriate frequency and that all required persons have timely completed them.
- Update Labor Law Postings: Many of the new laws enacted for 2018 require updated labor law postings. California and New York both have new poster requirements, as do cities including New York City and San Francisco. Employers should consult with counsel regarding these new requirements and be sure that their postings are up to date. A government agency conducting an on-site inspection of a workplace will look for updated posters, and out-of-date posters can lead to fines under some laws, or at least signal that an employer does not focus on compliant employment practices.
- New Mileage Rate: As of January 1, 2018, the IRS mileage reimbursement rate for the use of a car for business travel has been raised to 54.5 cents per mile.
With up-to-date policies and practices in place, employers can focus on building great teams and achieving business success in the new year.