Healthcare Human Resource Management Flynn Mathis Jackson Langan Employee Relations in the Healthcare Industry Chapter 10 PowerPoint Presentation by Tonya L. Elliott, PHR

After you have read this chapter, you should be able to: Learning Objectives After you have read this chapter, you should be able to: Review the common components of an employment agreement Define Employment-At-Will and identify exceptions to this concept Describe due process and explain alternative dispute resolution processes Explain the whistleblower doctrine and apply the concepts to the healthcare industry Discuss issues associated with drug testing for healthcare employees Identify elements common to employee handbooks Outline the progressive discipline process

Employer Employee Relations Employee Relations Philosophy All aspects of how an organization treats and responds to its employees Includes how it communicates with employees May serve as a strategic advantage Critical to healthcare organizations in retention efforts

Employee Rights: Statutory Federal and state regulations Equal employment opportunity (EEO) Health and safety regulations (OSHA) Employee benefits law (ERISA) Wage and hour law (FLSA) Case law Professional association guidelines Workers’ compensation Unemployment compensation

Employee Rights: Contractual Employment contracts/agreements - Formal agreements between employer and employee about their working relationship Separation agreements Retention agreements - Designed to retain key employees during mergers, consolidations, or changes in organizational leadership and Board representation Training contracts Drug testing permissions

Employment Contract Contents Terms of contract Provisions for renewing contract Duties and responsibilities Compensation Benefits Severance benefit Non-compete clauses Non-solicitation clauses Dispute-resolution clauses Change-in-control clauses Termination and resignation clauses Review & rescission rights Employee allowed period of time to review contract and rescind agreement after signing

Other Rights & Responsibilities Implied Contracts Unwritten agreements between employers and employees Examples: oral agreements or employee handbooks Employment Practices Liability Insurance (EPLI) Protects healthcare organizations from lawsuits initiated by their employees

Employment-At-Will Employers the right to hire, fire, and promote whomever they choose Employees the right to terminate their employment for any time for any reason ____________________________________________________________________________________________________________ 3 Exceptions Public-policy violation - when employee is fired for reporting illegal activities by the employer Implied contract – might suggest an employee will be employed indefinitely in exchange for satisfactory job performance Good faith & fair dealing – employer/employee must treat each other fairly

Wrongful Discharge & Documentation Termination of employee for reasons that are illegal, improper, or inconsistent with organizational policies Documentation for wrongful discharge lawsuits New employee orientation materials Employee handbook Discharge letters Performance appraisals Job description Discipline process and performance management

Just Cause Determinants Figure 10-5

Constructive Discharge & Due Process Creating impossible working conditions that force an employee to resign Employees may be awarded back pay and punitive damages Due Process Opportunity for an employee to explain and defend their actions during the disciplinary process Employers should provide due process to avoid negative decisions by outside investigators

Resolving Employee Complaints Arbitration A neutral third party hears both sides and gives binding decision Peer Review Panels Internal committee of employees review employee complaints and make recommendations and/or decisions Employee Ombudsman A staff employee who administers a program designed to resolve disputes Alternative Dispute Resolutions Methods of resolving disputes between employees and their employers

Employee Records - Personnel File Contents Employer Security & Employee Rights Employee Records - Personnel File Contents Include: Application for employment New employee orientation information – checklist Letter offering the job Employee group insurance benefit forms Compensation records Performance appraisals Performance management documentation Does Not Include: X Employee health files X Performance comments by co-workers

Employees’ Right to Free Speech Whistleblowing Employee’s free speech protected when reporting employer public-policy violations Employers may not retaliate against employees Example: Medicare fraud and abuse Monitoring E-mail/Voicemail & Tracking Internet Use E-mail & voice-mail: an employee privacy issue Internet use: concerns about reduced productivity HR policies: limit technology for business use only train employees on policies require employees to sign acknowledgement forms

Honesty in the Workplace Problem prevention: Background checks on applicants Employer investigations methods: Honesty/Integrity testing Assessing off-duty behaviors Drug testing Reviewing employee records Background checks Significant problem in healthcare: Drug theft

HR Policies, Procedures, & Rules General statements about the organization’s position on an issue Procedures Define the customary way an organization deals with the policy issue Rules Define expected behaviors of employees at work

Methods for Communicating HR Policies Employee Handbooks Memos Newsletters Meetings with management Computer message boards E-mail Upward communication: Suggestion Systems

Employee Discipline Figure 10-8

Steps of Progressive Discipline Counseling Bring the problem to the employee’s attention & discuss how to make improvements Manager should be positive & encouraging Verbal Warning Point out performance deficiencies & explain importance of improving performance Manager may offer additional training or other resources

Steps of Progressive Discipline (cont’d) Written Warning Job expectations are outlined in writing Manager may offer additional training or other resources Includes statement of consequence if job expectations not met Suspension Length of suspension depends on severity of performance deficiency Discharge When an employee cannot or will not perform satisfactorily

Solution Discipline Decisions Some managers may be reluctant to discipline: *Fear of lawsuits *Lack of support from organization *Fear of retaliation *Dislike by employees *Loss of friendship *Guilt *Not being liked *Time & energy to manage process Solution Train managers on effective use of discipline

Innovative Employee Relations Strategies Employee Attitude Surveys Encourages feedback from employees Measures employee morale Analyzes problem areas which can prompt action plans Employee Assistance Programs May be offered through internal programs or outside vendor Offers employee assistance in their personal and professional lives Substance abuse Legal assistance Financial issues Marital issues Interpersonal issues

Innovative Employee Relations Strategies (cont’d) Employer of Choice (EOC) Programs Long-term top management commitment Defined organizational purpose Innovative and competitive compensation & benefits Staff-development opportunities Rewards for innovation and creativity Rewards aligned with performance Culture that respects diversity, encourages self participation, and rewards employee and organizational success

Reward & Recognition Programs Innovative Employee Relations Strategies (cont’d) Reward & Recognition Programs Standards of Behavior Respect Communication Excellence Fairness & Equity Cooperation Self Care Compassion Personal Accountability