Human Resources 2016 Strategy, Vision and Information Sharing

Human Resources Leadership Rod Kelly - Compensation & Class Leanne Fuller - Employment Services Ben Smith - Human Resources Development Ann Shore - Benefits Linda Maxwell-Evans - Employee Relations Beverly Hughes - Payroll Patrick Johnston - Communications

Principles Collaborative Transparent Communicative Proactive Service Oriented

Back To Basics Policy Revision, Clarification, Creation Compensation Practices Employment Practices Performance Management Employee Recognition Programs Breaking Down the Silos

Affordable Care Act Compliance Health Plan is Compliant Cadillac Tax is Coming Implementing Health eFx “Reasonably Expected” Full-Time TES Multi-Tier Structure

Affordable Care Act Compliance “Reasonably Expected” Full-Time Expected to work full-time 90+ days Regardless of a known end date or measurement period Must offer health insurance 1 year to plan for workforce changes Still no.75 FTE Seasonal ok

Affordable Care Act Compliance TES Multi-Tier Structure Casual Part-time Full-time Seasonal Retiree

New DOL FLSA Regulation Fair Labor Standards Act Requires an employer to pay minimum wage Requires an employer to pay overtime for hours worked over 40 in a week, unless the employee qualifies to be exempt

New DOL FLSA Regulation Non-exempt Employees Employees who are entitled to overtime pay of one-and-a-half times their regular rate of pay when they work over 40 hours in a week Exempt Employees Employees who meet certain legally defined “exceptions” under the law are exempt from the overtime requirements

FLSA Exempt Status Salary Basis Requirement – Currently $23,660 or $455/week – Proposed to be $50,440 or $970/week – Does not apply to Outside Sales Employees, Teachers, or Employees Practicing Law or Medicine Duties Tests – Executive, Administrative, Learned Professional, Computer, Outside Sales

FLSA Exempt Status Exemption is not simply a choice of whether to be exempt or non-exempt Exemption depends upon the work they perform – not the job title Exemption is based on the “primary duty” performed by the employee

Duties Tests Executive Exemption Rules – Paid on a salaried basis ($455/week); and – Primary duty (50%+ of time) must be management of enterprise or a recognized department or subdivision; and – Must customarily and regularly direct the work of 2+ FTE’s; and – Must have authority to hire/fire, or recommendations as to hiring/firing/advancement/promotion must be given particular weight.

Duties Tests Administrative Exemption Rules – Paid on a salaried basis ($455+/week); and – Primary duty (50%+ of time) must be the performance of office or non-manual work directly related to the management or general business operations of the employer; and – Primary duty includes the exercise of discretion and independent judgment with respect to matters of significance.

Duties Tests Learned Professional Exemption Rules – Paid on a salaried basis ($455/week); and – Primary duty (50%+ of time) must be the performance of work requiring advanced knowledge in a field of science or learning customarily acquired by a prolonged course of specialized intellectual instruction; or – Primary duty must be the performance of work requiring invention, imagination, originality or talent in a recognized field of artistic or creative endeavor

Duties Tests Computer Exemption Rules Paid on a salaried basis ($455/week or $27.63/hour); and Primary duty is the application of systems analysis techniques; or the design, development, documentation, analysis, creation, testing or modification of computer or operating systems

Duties Tests Outside Sales Exemption Rules The employee’s primary duty must be making sales (as defined in the FLSA), or obtaining orders or contracts for services; and The employee must be customarily and regularly engaged away from the employer’s place or places of business.

Family Medical Leave Act (FMLA) Requires up to 12 weeks of unpaid, job-protected leave Eligible if worked here 1 year and at least 1250 hours over previous 12 months Allowed for: Incapacity due to pregnancy, prenatal medical care, child birth To care for employee’s child after birth, or placement for adoption or foster care; To care for employee’s spouse, child or parent who has a serious health condition For an employee’s own serious health condition that renders him/her unable to work Qualifying Exigencies – employee with a spouse, child or parent on or called to active duty may taken up to 12 weeks to address deployment related needs Employee may take up to 26 weeks to care for a covered service member or veteran with an illness/injury incurred in theline of active duty Can be taken intermittently

FMLA and Paid Leave/SCP Must use accrued sick leave if out for reasons covered by AU’s sick leave policy May use vacation leave for leave that would otherwise be unpaid On the Job Injury leave runs concurrently with FMLA

FMLA and Paid Leave/SCP Salary Continuation (SCP) offers income protection for up to 6 months for leave related to employee’s own disability First use accrued sick leave Then receive 60% of salary for the remainder of the 6 month period of disability Long Term Disability Kicks in after 180 days Pays 60% of salary for period of disability

Questions? Karla McCormick Telephone: Address: East Glenn Administrative Support Facility 1550 East Glenn Avenue