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CHANGE:
A PLACE TO START!
 Change
is inevitable. If you need proof, just look at where you
were 10 years ago.
Fast Company magazine sees change management
as one of the three essential components for survival in
today's economy (with learning and leadership being the
others). Although changing with the times makes sense,
there can be a great amount of emotional
resistance in getting people to "move
their cheese."
The word "change" evokes images of a
distant past. For most people, their first experience
with the concept came when their parents told them to
change one of their behaviors. Since early on,
"change" has been associated with control,
the threat of punishment behind it, and rebellion.
We were resistant to being told to change then, and
we remain so today, even when it makes sense
to do so! That's why managers and leaders
have to be very understanding when going about the
process.
Before implementing "change" in your
workplace, start by asking team members to describe an
experience in their career that involved change. Ask
them how going through the process felt and what the
eventual outcome was. Acknowledge that not all change is
positive: Things often change for the worse.
Telling stories allows us to connect emotionally with
change by expressing our fears and anxieties, as well as
our hopes and desires. We can build on past lessons,
including successes and failures alike. Going through
this type of group exercise allows team members to have
some ownership of the change that will affect them. Once
these emotional fears and anxieties are on the table,
they will disappear in the light of understanding —
and big changes can happen!
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AGE
DISCRIMINATION: A ONE-WAY STREET
 In
the recent case of General
Dynamics Land Systems, Inc. v. Cline (discussed in the
"Cases of the Month"), the U.S. Supreme Court held
that age discrimination is a one-way street. Apparently you
can discriminate against younger workers, even when they're
over 40. In this case, the company's collective-bargaining
agreement with its union eliminated its obligation to
provide retiree health benefits, except for current workers
who were at least 50 years old. Employees who were at least
40 years of age, but less than 50, sued under the Age
Discrimination in Employment Act and eventually lost.
As the court stated, "The Age
Discrimination in Employment Act of 1967 ... forbids
discriminatory preference for the young over the old. The
question in this case is whether it also prohibits favoring
the old over the young. We hold it does not."
To learn more about this decision, take a look at the "Cases
of the Month".
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SENIOR
EMPLOYMENT: UP, UP, AND AWAY!
 The
story used to go like this: Come work for us for your
lifetime, and we'll let you retire at 65, and then provide
you with a pension that will support you until you die at
67. Times have changed! Today there's no job security
(other than maintaining your talents in an organization
with positive cash flow), nobody dreams of retiring at 65
on Social Security, we're living far longer than previous
generations, and more people are working well beyond
normal retirement years, either for income security or
lifestyle.
According to the AARP, employment among those 55 and
older has jumped to nearly 3 million in the past three
years, with more than 2 million of these people working
full time. Says Boston College economist Joseph Quinn,
"A 100-year-old trend toward earlier retirement is
over."
What this means for the employer is a less costly,
calmer, more reliable, and increasingly flexible labor
pool that will keep growing as baby boomers approach
retirement age. Also, many employers have found that
raising the percentage of workers over 50 makes the staff
look more like their clientele. The benefits of employing
older workers far outweigh the costs. They tend to be more
accepting of flexible schedules and low wages, have lower
absenteeism rates, and remain with their employers twice
as long as younger workers (however, their health care
costs are higher). Remember that these seniors have the
same need for belonging as do any other employees. Make
sure to keep them involved in your corporate culture
through such steps as ongoing training and mentor
programs.
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MOTIVATE
THE DEMOTIVATED
Employer after employer is faced with hiring low wage
earners who are seldom motivated toward high performance.
Except for workplace newbies, most low wage earners are
there precisely because of their
lack of motivation, creating a classic Catch-22 for
employers. If it's true, as the saying goes, that
"I'd rather have ignorance on fire than knowledge on
ice," how can you turn up the burners on low wage
earners without increasing turnover? Here are three
suggestions:
- Pay
them a bit more. There's no better
example than the In-N-Out hamburger chain located
throughout the Southwest. They attract the best in
terms of low-wage talent largely by advertising that
they pay at least a dollar per hour more than their
competitors. Because low wage earners are motivated by
survival, security,
and the need to belong (in
that order) the extra pay makes far more difference to
them than it might to someone earning three to five
times that amount. Pay them the extra money with the
understanding that they'll be excellent employees.
Take a look at their web site www.in-n-out.com.
- Show
them that there's a way up. Whether it's
a landscaping business, a retail operation, or
telephone bank, every company needs managers and
supervisors. Show employees that there's a career path
for them if they follow guidelines and expectations,
including training and experience. Offer examples of
other employees who have climbed the corporate ladder
and the path they had to follow. Have those employees
act as spokespeople for career motivation.
- Help
them belong to something larger than themselves.
A classic example is Service Master: They don't just
clean buildings; they provide Service. A sense of
belonging enhances cohesiveness and communication,
whether it comes from a corporate theme, company
uniforms, team sponsorships, or community activities.
By the way, don't assume that you know what your
employees want to belong to: Ask them.
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BLS
SITE OFFERS STRAIGHT SKINNY
The US Bureau of Labor Statistics (BLS) Web
site (www.bls.gov/cps) releases monthly employment data
that's widely used by both investors and employers. The site
offers a valuable tool for financial forecasting, hiring,
compensation, and other market-sensitive factors, as well as
information on specific occupations and industries. You can
easily find employment data for the nation, as well as for
your state and metropolitan statistical area. This site also
provides a great resource for vocational counseling and
planning.
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DON'T
RISK ASKING WORKERS TO WAIVE THEIR CIVIL RIGHTS
A federal district court in Philadelphia has
ruled that Allstate Insurance Co. unlawfully retaliated
against some 6,200 of employees by requiring them to
give up their right to file workplace discrimination claims
in order to remain as agents with the company. The suit by
the Equal Employment Opportunity Commission (EEOC) charged
Allstate with violating the non-retaliation requirements of
several federal anti-discrimination laws, including Title
VII of the Civil Rights Act of 1964, the Age Discrimination
in Employment Act of 1967, and the Americans with
Disabilities Act of 1990.
The bottom line: Don't even think about
pressuring your employees to waive their civil rights.
All you'll do is invite lawsuits! If they do it voluntarily,
that's different. Remember, the EEOC and courts throughout
the nation take a hard line on protecting Civil Rights laws.
To view the EEOC press release on the Allstate case, go to http://www.eeoc.gov/press/4-2-04a.html.
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“To stay ahead, you chiefly need to understand how
the soft world works”
Kevin
Kelly,
The
New Rules for the New Economy
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This issue discusses:
We’ve also provided hyperlinks to a free Form
of the Month.
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THE
PRICE OF ALCOHOLISM
It's estimated that alcohol abuse costs American business
$134 billion a year. This includes the use of more sick
leave, absenteeism, accidents, turnover, and so on. For
example, people with untreated alcohol problems are five
times more likely to file a Workers Compensation claim than
are their sober counterparts.
Alcohol abuse is by no means limited to the rank and
file. Every year, high-level executives engage in negligent,
if not abusive, conduct due to their alcoholism, which
either goes unnoticed or untreated. According to www.alcoholcostcalculator.org,
a site hosted by the George Washington University Medical
Center, one finance company with 500 employees pays more
than $100,000 in alcohol-related health care costs per year.
A manufacturer with 3,000 employees has nearly 200 problem
drinkers. If you're a professional services firm with 50
employees, the chances are that you have two problem
drinkers, six employee family members who are problem
drinkers, and alcohol-related health care costs of more than
$13,000 a year.
The site recommends managing this challenge by
encouraging the treatment of alcohol-related problems and
providing such comprehensive Health insurance benefits as
confidential alcohol screening and mental health and
substance abuse coverage.
Ensuring Solutions to Alcohol Problems offers a
step-by-step guide to researching and assessing the alcohol
treatment benefits in your company's health plan. To view
their analyses, go to www.ensuringsolutions.org.
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GET HIP TO
HIPPA
Chances are that you've already been inundated with
information on complying with the new Health Insurance
Privacy Protection Act regulations. In case you need more,
here are a few links to free Government resources: http://answers.hhs.gov
http://privacyruleandresearch.nih.gov/faq.asp
and http://thomas.loc.gov/cgi-bin/bdquery/z?d104:HR03103:%7CTOM:/bss/d104query.html%7C.
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CASES OF
THE MONTH
Our legal staff offers this review of top cases that
might affect your business.
(PDF)
(WORD)
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FORM
OF THE MONTH:
Business Ethics and Conduct Disclosure
Statement
(PDF)
(WORD)
According to the Wall Street Journal, four in 10
employees surveyed would not disclose an ethical violation
voluntarily! This form, similar to the Employee Compliance
Survey, is meant to encourage employees to speak up about
wrongdoing. Disseminate it either quarterly or semi-annually
to make sure that you cleanse your company of possible
ethics violations. Remember, good ethics is good business!
For a great source of information on workplace ethics, go
to www.ethics.org.
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For
more information on the contents of this newsletter,
please e-mail or give us a call.
The material presented here is general in nature.
Due to local and state laws and ordinances, an individual
article might not apply in every jurisdiction.
Copyright Employer
Advisors Network, Inc. 2004
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