MMC, INC. E-Newsletter   Volume IV, Issue No. 4

April, 2008

Welcome

We at MMC welcome our new and returning subscribers to the MMC Client E-Newsletter. Since its inception in October 2004, the number of our subscribers has doubled to some 600 organizations which look to MMC each month for the latest in human resources news and legal updates. Our subscribers are comprised of busy entrepreneurs, organizational leaders, in addition to human resources professionals and labor and employment law practitioners. We encourage all to tell a friend about our free online newsletter and welcome feedback and suggestions as to how we can better serve our audience.

Nonetheless we trust this edition will provide all with helpful information in line with the high standards and expectations our subscribers demand. On behalf of everyone at MMC, the premier human resources outsourcing service provider, a very happy Spring 2008.

MMC University Announcement

MMC offers continued education courses to human resources professionals, Certified Public Accountants, Attorneys, and more. In May, MMC will offer courses open to the public on "Generation Gaps and Motivating Everyone In The Workplace." For more information on course offerings or to register for a course in your area, please call (800) 899-MMCI (6624), ext. 5130.

History of MMC

MMC, Inc. was established in 1983 for the purpose of providing highly effective administrative and human resource functions. Our goal is to offer quality services that set the highest standards and exceed the expectations of our clients.

In this issue

• Employee Handbooks: A Necessity?
• But It's Warm Outside - Dress Code Guidance For The Spring and Summer
• Refusal To Hire Physically Impaired Not Unlawful - EEOC Failed To Demonstrate ADA Violations
• Legal Update: Appellate Court Finds Independent Contractors Are Employees For Purposes of Workers' Compensation Insurance

Employee Handbooks: A Necessity? Why Your Workplace Should Not Be Without

Ever find yourself wondering why human resource professionals push the importance of employee handbooks? After all, who even reads them? And what are the downfalls of purchasing a handbook online or, better yet, plagiarizing a handbook from a former employer?

The problem with doing without a handbook or relying on outmoded and/or canned policies is that employers risk confusing employees and exposing themselves to lawsuits fueled primarily by mixed workplace policy messages. For example, if you are an Equal Employment Opportunity employer and you don't make that clear through a set of written policies, the appearance of hiring preferences could subject you and supervisors in your workplace to unnecessary legal scrutiny.

Five benefits you'll want to consider as to why your workplace cannot afford to be without an employee handbook:

1. Excellent vehicle for conveying management expectations, organizational mission, and business objectives. Aside from telling employees why your organization exists, the handbook can be key for assuring employees understand the purpose of their contributions.
2. Excellent option for clarifying what is "at-will" employment. If you require two-week notices before resigning, are obligated to follow progressive disciplinary policies, and/or rely on probationary periods, your workplace could be sending mixed messages as to whether you truly have employees who can resign or be terminated at any time and for no cause as is inherent in "at will" employment.
3. Excellent means for educating employees as to organization's anti-harassment policies and means for reporting violations. You should not require your employees to guess at what is unlawful harassment and what they should do to avoid being unlawfully harassed.
4. What better way to reserve employer rights to modify workplace rules? Just because your workplace may have "always" managed certain issues one way or another, the right to modify certain approaches could be hampered by a failure to notice employees that the rules can change from time to time.
5. How do you know employees are aware of what rules apply to them? Employee acknowledgements of having received and reviewed employee handbooks are an excellent resource for assuring everyone understands what is expected of them.

If any of these points has struck a cord of concern with you, do not hesitate to contact our Human Resources or Labor Law Departments. We are always happy to assist you. Feel free to call us at (800) 899-MMCI (6624).

But It's Warm Outside - Dress Code Guidance For The Spring and Summer

As the days become warmer, many employers find themselves in the uncomfortable position of having to manage professional appearances while balancing employee needs to feel comfortable. As a general rule, if you are exposing more skin than not, you probably have not taken appropriate steps to "dress for success".

To read more about appropriate spring/summer attire, click on spring/summer dress code tips.

Refusal To Hire Physically Impaired Not Unlawful - EEOC Failed To Demonstrate ADA Violations

As laws protecting the physically disabled are slated to expand, a Texas federal court held on April 25th that an employer's decision to not hire an individual known to have a slight physical impairment is not unlawful. In Aleman v. Lyondell-Citgo Refinery, the EEOC sought damages on behalf of an employee whose employment offer was rescinded when he disclosed during a pre-employment physical that he had previously undergone brain surgery and suffered residual weakness to the right side of his body. The trial court held that an employer is free to decide that some limiting, rather than substantially limiting, impairment makes certain individuals less ideal for employment than others. It is likely we are to hear more about this holding in the months ahead. To read more, click ADA Breaking News Article.

Legal Update: Appellate Court Finds Independent Contractors Are Employees For Purposes of Workers' Compensation Insurance

In Antelope Valley Press v. State Compensation Ins. Fund, _ Cal.Ct.App._ (April 30, 2008), District 3 of the California Court of Appeal concluded that newspaper distributors classified as independent contractors for the Antelope Valley Press were indeed "employees" for purposes of workers' compensation insurance. In reaching the "employee" status conclusion, the Court considered several [Borello] factors including (1) the lack of evidence that workers had held themselves out as independent contractors, (2) compensation for work performed, (3) disparity of bargaining power, (4) skill required to perform work in the occupation, (5) work performed under supervision of a principal, (6) length of time services to be performed, and (7) workers' contributions and investment in their occupation or business. This case underscores that an error in classifying workers as independent contractors -- even with the assistance of savvy independent contractor/distributorship agreements -- can result in the imposition of hefty penalties and fines on employers. When in doubt, it is always best to work closely with legal counsel or to err on the side of caution and classify workers as "employees".

To read the full decision click, Antelope Valley Press.

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