Bety GrazierLena AdanalianJanet MokCelina SerranoStefanie StrobelNick HernandezDanny AlonzoBrian Dahl
Alum-Titan Case StudyGoals•Eliminate the risk and damage of employment litigation•Hire and retain top employees. •Offer competitive benefits•Support and encourage on-going learning opportunities for staff.
Section 2
Sexual Harassment
Legal Sexual Harassment
Problem: Alum-Titan has a Vice President of Manufacturing who is having an affair with his Assistant
Solution: Hire a trainer to conduct Sexual Harassment Training. Ensure that everyone signs an acknowledgement of the completion of the course.
Section 2Expired work permits
Sexual Harassment
Legal Expired work permits
Problem: You did find one I-9 which contained an expired work permit
Solution: Audit all employees to verify legal work status and keep track of when work permits are set to expire so they can be renewed before the expiration date
Section 2Expired work permits
Cobra
Sexual Harassment
Legal Cobra
Problem: COBRA paperwork given to terminated employees contingent upon return of their uniforms
Solution: Companies are required to provide the COBRA paperwork, regardless of whether other company-specific conditions are met. Employers must notify plan administrators of a qualifying event within 30 days after an employee's death, termination, reduced hours of employment or entitlement to Medicare.
Section 2Expired work permits
Cobra
Handbook
Sexual Harassment
Legal Handbook is out of date
Problem: There is an Employee Handbook dated December 1996 which functions as both a handbook and a policy manual. Changes in policy are communicated verbally and through written memoranda.
Solution: company should create a policies and procedures document that is separate from the employee handbook that includes the following: unlawful harassment complaints policy, discrimination complaints policy, alcohol & drug use policy, and dress code
Section 2Expired work permits
Cobra
Handbook
Sexual Harassment
Personnel Files
Legal Personnel Files
Problem: Personnel files for former employees are on file back to 1975.
Solution: A separate employee file should be accessible to only designated individuals in the human resources department Under the Health Insurance Portability and Accountability Act (HIPAA), it is imperative that all medical documentation be maintained by the benefits section. Documentation related to health issues should be kept for five years after employee termination. As personnel files are used to make personnel decisions (who to promote, lay off, fire, etc.), it’s presumed that managers and supervisors have access to those files. Medical information, background investigation reports, I-9s should have separate files to avoid any appearance of discrimination when making those decisions. Also, information that could be used for identity theft should be limited.
Section 2
Promotion
Performance Management Affair results in promotion
Problem: VP of Manufacturing had an affair with his assistant, resulting in her promotion to Analyst to the VP of Quality Control
Solution: Institute a formal annual performance review system, with training beforehand for managers on how to complete a performance appraisal; including keeping logs of good/bad performance examples. Informal reviews should be done at least quarterly, but preferably a monthly one-on-one meeting between supervisor/employee. At the Analyst’s first performance review, determine if she is capable of doing her current job, if she is qualified to do the job, etc. If so, no problem in letting her remain there. If not, she must be demoted or transferred to a job she is qualified for, based upon her performance (not with whom she is sleeping)! Her previous supervisor must be re-trained on Sexual Harassment.
Section 2Lack of performance appraisals
Promotion
Performance Management Appraisals
Problem: Lack of Performance Appraisals after 90 days ; “Promotions at Manager Discretion”
Solution: Implement an annual review process that includes MBO, Graphic Rating scales, 360 Feedback. 360 Feedback gives the employee a more thorough understanding of their impact on people they interact with every day. It also fosters teamwork and trust. MBO encourages employees to work effectively toward reaching desired goals.
Section 2
President’s benefits
Benefits President and top 6 reports benefits
Problem: The President and the six top reports also receive a company paid $200,000 life insurance policy which is not outlined in the Employee Handbook.
Solution: The President and the six top reports insurance policy plan should be outlined in the Employee handbook so that other employees are aware. It should state that any candidates in a President and the roles his six direct reports get (now and incoming candidates in this position) will have this benefit so that other employees do not feel there is preferential treatment
Section 2
Coaching
Coaching No formal coaching or developmental program
Problem: There has been no formal training program at Alum-Titan. All management is attending this program which deals with communication, conflict management, performance contracting, etc. There are no plans to extend these sessions to the first line supervisor level.
Solution: Hire contractors to provide specialized training courses. Teach managers to coach their staff. Provide bi-lingual trainers when necessary. Coaching opportunities include: mentor program, job rotation, ongoing, instant coaching and feedback
Section 2
Pay scales
Compensation Pay scales
Problem: Pay scales changed annually, most often to adjust top rates to accommodate employees who progress to that level.
Solution: Pay scales should be reviewed annually to determine placement in the market salary range. Salary inquiries should be made online (cheap and easy) and by the old-fashioned telephone call to similar companies. Most HR professionals are happy to share information, as they get feedback from their counterparts in the process.
Section 2Top Range Salaries
Pay Scales
Compensation Top Range Salaries
Problem: Several employees paid above the top of the range.
Solution: Top rates should not be adjusted to accommodate employees at the top of the range if the range is determined to match the market. Wages should be frozen until the market “catches up.” Other benefits may be given, such as flex time, executive leave, bonuses, etc., although these should be distributed fairly amongst similar job titles.
Section 2Top Range Salaries
Annual Increases
Pay Scales
Compensation Annual Increases
Problem: Most employees have received annual increases of 3-4% for the past 3 years
Solution: Employees will begin feeling entitlement to 3-4% percent annually, regardless of performance. Increases should be awarded based upon the total package of job performance, certifications held, specific duties performed, tenure, etc.
Section 2
OSHA Violation
Training OSHA Violation
Problem: A serious injury accident in the plant has recently occurred and several safety violations were found in a subsequent OSHA inspection. One of the violations was that the company didn’t have an IIPP or a Hazardous Material Training program.
Solution: Ensure at minimum mandatory:Sexual Harassment TrainingWorkplace Violence TrainingIIPP or a Hazardous Material Training programTraining on completion of Performance Appraisals for Managers/SupervisorsUse tools to make mandatory training less
onerous (lunch provided, offsite somewhere “fun”, etc.).
Section 2Orientation
OSHA Violation
Training Orientation
Problem: No formal orientation for new hires
Solution: Create New Hire Training Program. Include information about the company, goals, mission, policies and procedures, and a mentor program.
Section 2Orientation
OSHA Violation
Training Orientation
Problem: No formal orientation for new hires
Solution: Create New Hire Training Program. Include information about the company, goals, mission, policies and procedures, and a mentor program.
Section 2
Background Checks
Recruitment Background Checks
Problem: There is no reference checking or drug testing other than for professionals where industry contacts are often utilized.
Solution: All candidates that will get an offer need to provide three references of people they have worked with in the past to be contacted by HR and need to go through background checks (criminal, credit*, education verification). Drug test process must be required from every person on staff.
Section 2Employee Applications
Background Checks
Recruitment Employee Applications
Problem: There are no applications or records of the searches done by West Search other than the two resumes for the new employees.
Solution: Alum-Titan should have a consistent hiring process for all candidates that come in for an interview. Regardless of whether they are referred by other employees, advertisement, or job boards, if they are interviewed by Alum-Titan, they need to fill out a job application and have it attached to their resume. HR needs to keep records of all applicants that apply to the company for up to 1 year for EEOC purposes (2 yrs recommended); employees that are hired should have their application materials kept for the term of their employment plus 1 year (or 2 recommended).
Section 2Employee Applications
Interviews
Background Checks
Recruitment Interviews
Problem: Interviews for all candidates are conducted by hiring supervisors or managers who make the final decision
Solution: Alum-Titan should assemble a hiring team to interview potential candidates for their department. Hiring team will be able to decide if there is a culture fit. It also saves the company money by avoiding bad hires. The panel should include an HR staffer to ensure questions asked of applicants are legal. Panel can also include the hiring manager, but must also include others to avoid nepotism or hiring of friends who may not actually be qualified.
Section 2Employee Applications
Interviews
Job Descriptions
Background Checks
Recruitment Job Descriptions
Problem: Lack of job descriptions except for Inside Sales Manager’s 5 employees
Solution: Revise job descriptions. Create new descriptions. Ensure salary grades are appropriate. Job descriptions are necessary for hiring, determining market salary ranges for each job, and for letting employees know what is expected. In addition to generic job descriptions, each position should have a description as well, since a clerk-typist in Manufacturing and one in Sales may have entirely different duties. Position descriptions should be reviewed annually with the employee at the time of performance appraisal to include any new duties and to remove duties no longer performed. This is necessary to determine if the employee is in the correct salary range.
Bety GrazierLena AdanalianJanet MokCelina SerranoStefanie StrobelNick HernandezDanny AlonzoBrian Dahl
Alum-Titan Case StudyBenefits•Controller’s time kept free to focus on clients as policies & procedures are put in place•Fines and fees for violations reduced or eliminated•A team with the right skills to deliver the service
Questions?
