This past Jan. 1, 2015 wasn’t only a time to recover from New Year’s Eve celebrations. It was also the start date for a number of new federal regulations that employers will need to comply with if they don’t want to face a host of fines – or worse punishment. It’s easy to read about and prepare for updates to compliance issues, but it’s wholly another activity to actually put them into practice. With the mountains of paperwork that many organizations have to deal with in maintaining compliance with employment and recruiting standards, it’s easy to let a few forms fall through the cracks. However, there won’t be any excuse when the government comes knocking.
Here are a few areas that employers need to remain vigilant:
- Keep employees and new hires in the loop about health coverage
Due to regulations included in the Affordable Care Act, employers with 50 or more full-time employees must keep staff members informed of their options for healthcare coverage, explained the U.S. Small Business Administration. The IRS went on to explain this essentially means providing statements that detail the coverage offered by the employer. There are multiple ways to distribute the information, depending on the type of employee and size of the organization. In addition, employers have to keep their workers in the loop about the health insurance marketplace.
- Fastidious recordkeeping
The IRS is increasingly interested in keeping tabs on employers in the new year. Also falling within the purview of the ACA is the requirement to report employer-sponsored health coverage to the IRS. Applicable large employers, or those with 50 or more full-time employees, are required to send the details of the available health care plans, explained the Society for Human Resources Management. Why? The ACA established a minimum essential coverage standard that employers have to meet in order to avoid paying a fee. The forms include the 1094-B and 1095-B.
- Working overtime
Employers will face new Fair Labor Standards Act revisions to overtime pay, as they’ve been described as outdated, according to Law 360. The current salary threshold per week is $455 to qualify an employee as exempt from overtime pay. The individual would also have to work in a managerial capacity to meet the requirement. However, the minimum payment level is predicted to change and set a higher benchmark.
There are numerous changes in the workplace occurring throughout the year, and employers will have to keep on top of them and update their forms to ensure compliance. Staffing software is one solution that can make this process much more streamlined and keep employers in the government’s good graces.
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