2011's Top HR Challenges

All involved in the home care industry are very familiar with CMS, OIG and the Stark law. We keep current with issues around ZPIC, RAC and DME MAC audits. We have heard horror stories of the financial impact these audits have had on some providers.

We hire consultants and have experts in-house to dig through the mountains of regulations related to every aspect of industry compliance in the HME business. Add to all this new requirements and potential changes to health care in the Patient Protection and Affordable Care Act, and it sometimes makes those of us in the business want to open a hotdog stand on the corner and just take cash.

But how familiar are you with the DOL (Department of Labor), ICE (Immigration and Customs Enforcement) or the EEOC (Equal Employment Opportunity Commission)? How well do you know the provisions contained in the FLSA (Fair Labor Standards Act), the IRCA (Immigration Reform and Control Act) or whether the FMLA (Family and Medical Leave Act) pertains to your business?

Your company faces significant human resources challenges in 2011 that could have a big impact on your business. With constant changes in employment law, health care reform and other federal and state legislative initiatives, it is more important than ever to know your risks as an employer. Employee-related lawsuits can bankrupt a company.

Many experts agree that the top HR challenges this year are related to wage and hour, closer scrutiny by the Department of Labor, increasing employee engagement, retaining top performers and dismissing bottom performers. The actions you take today can protect your business from the first two, and effective programs can impact the rest.

The FLSA

The Department of Labor enforces the Fair Labor Standards Act. The FLSA, also referred to as the Wages and Hours Bill, was passed in 1938 and established a minimum wage, guaranteed overtime pay for certain jobs and placed restrictions on the employment of minors. The original provisions of the law remain the mainstays of its enforcement today.

A business is still required to pay the established minimum wage to applicable employees, and some states have a minimum wage in excess of the federal minimum wage. A business is still required to pay an overtime rate of at least 1½ times the base hourly rate after 40 hours in a week. Some states require overtime payments after eight or 12 hours in a day, regardless of the total for the week.