Quick Hits - July 24, 2024 - American Society of Employers - ASE Staff

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Quick Hits - July 24, 2024

Are you monitoring your employees? The share of companies using some kind of electronic worker-surveillance system surged during the pandemic, reaching nearly 50% in 2023, according to a survey of nearly 300 medium to large employers by research and advisory firm Gartner. These systems, which track how active workers are at their computers, have long been able to detect some installed software or extra hardware.   More of these software systems, such as Teramind and Hubstaff, now also use machine-learning tools that can identify repetitive cursor movements or irregular patterns in someone’s computer activity. In addition, some worker-monitoring software can randomly scrape screen images to check whether screen activity is changing as the computer mouse moves.  Wells Fargo fired workers for creating a fake working environment.  Wells Fargo declined to say exactly how it detected the suspicious activity or whether the workers were remote, only that it “does not tolerate unethical behavior.” Legally, employers have broad latitude to use tracking tools, though they have prompted privacy concerns among worker advocates. There’s also evidence that over-surveillance can be counterproductive. In a survey of 2,300 professionals by job-review site Glassdoor last summer, 41% said employer monitoring of their work devices made them feel less productive.  Maybe the bigger question employers should be looking at is “is the work getting done?” Source:  The Wall Street Journal 7/2/24

For flexibility, more jobs becoming part-time: Job seeker demand for greater flexibility is leading to a boost in part-time employment in nontraditional roles like HR, marketing, and media as more workers look to tailor their work to better fit their own lifestyles. The boost in part-time work in traditionally white-collar industries is allowing employers to attract talented workers who may not be able to work in other arrangements and allows companies to keep labor costs down while still employing highly knowledgeable and experienced staff, experts say. Many of the part-time staffers are new mothers or working parents with years of experience. Others are Gen Z employees with side hustles they dedicate the rest of their time to. Part-time arrangements vary, but most are on schedules where they work either two or three days a week and are paid for the hours worked.  Source: Worklife 6/27/24

IBM sued by Missouri for hiring quotas:  Missouri AG Andrew Bailey has sued International Business Machines Corporation (“IBM”), alleging that the company’s use of racial quotas in hiring and other employment actions violates the Missouri Human Rights Act’s prohibition on discriminatory employment practices.  According to the complaint, IBM’s “diversity modifier” policy established employment quotas based on race, color, national origin, sex, or ancestry. Missouri’s complaint alleges that because hiring decisions were made based on this policy, the “diversity modifier” illegally discriminates against members of groups that IBM has found are adequately or overrepresented within the company, among other things.  The lawsuit seeks injunctive relief prohibiting IBM from using the “diversity modifier” in hiring or in setting terms and conditions of employment, and other relief as determined by the court.  Source: Cozen O'Connor 6/27/24

Motherhood impacts women’s earnings: A new Bankrate analysis of the Census Bureau’s Current Population Survey (CPS) data shows mothers earned 31% less in wages than fathers in 2023 ($55,276 vs. $72,280, respectively), a similar percentage difference to 2022 (32%). According to the analysis, those lost wages can compound significantly, adding up to roughly half a million for mothers over a 30-year career (assuming earnings remain the same). It makes achieving financial goals such as saving money, paying down debt and investing more difficult for mothers who are working with less overtime. In 2023, full-time working mothers with children under 18 earned $55,276, while their male counterparts earned $72,280. That gap translates to a loss of roughly $1,400 a month or $17,000 annually for mothers.  There is no “penalty” for men when it comes to parenthood. Full-time working fathers with children under 18 make roughly 23% more than full-time working men with no children under 18: $72,280 vs. $58,864, respectively.  Despite making gains in education and the workplace, women — especially mothers — still face an uphill battle in a pay gap that has shown little improvement over the last 20 years.   Employers have opportunities to make changes.  Source: MSN 6/26/24

OSHA’s proposed heat regulations regarding paid breaks may lead to overtime:  Paid time for heat breaks that employers must provide under a proposed federal worker safety standard may count toward the 40-hour threshold at which a worker is entitled to overtime.  The proposal from the U.S. Department of Labor's Occupational Safety and Health Administration requires employers to develop heat safety plans before they're needed and calls for relief such as rest breaks in a shaded or air-conditioned space and cool water. It says employers must provide heat protection "at no cost to employees" and calls for paying workers while they're on safety breaks. The break requirements activate when the heat index reaches 80 degrees. At that point, an employer must provide rest breaks in an air-conditioned or shaded space if needed to prevent overheating.  At 90 degrees, 15-minute breaks in air conditioning or shade are required every two hours. The agency announced the proposed rule July 2, but it hasn't published the document in the Federal Register yet, which would kick off a 150-day comment period. The DOL's spring regulatory agenda said the agency plans to publish the notice of proposed rulemaking in August.  Source:  Law360 7/16/24

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