Ottone Leach Olsen & Ray LLP

This is a good time of year for employers to review all aspects of their business to ensure that all laws are being complied with and all policies are being applied appropriately. Below, we suggest 12 resolutions for the new year:

• Make sure that your employees are clocking in and out correctly including, but not limited to, time spent away from work during legally required meal periods.
• Consider revising time cards to include an acknowledgment that employees have actually taken their rest and meal periods and that they understand that failure to do so will result in discipline, up to and including discharge.
• Evaluate your employees’ fringe benefits. In this economic climate, you may want to modify coverage, adjust employee contributions or even change insurance carriers.
• Perform annual employee evaluations. Review your employees’ work performance throughout the year and meet with each employee to discuss the results of your review.
• Consider whether you will increase wages or award bonuses.
• Review job descriptions for each position to determine whether the duties described are actually performed by the employee in the position. Modify the job description to correct any discrepancies. Make sure that your exempt employees are still truly exempt and have not become non-exempt due to a change in job functions.
• Review your Injury and Illness Prevention Program (IIPP) to make sure it is up-to-date. Have a safety meeting and re-distribute the IIPP to all employees.
• Review your Workers’ Compensation statistics to determine if there are ways to reduce workplace accidents and injuries.
• Make sure that all of your legally required posters are current and posted in a conspicuous place.
• Revise your handbooks and policies to make sure that they comply with updated laws and regulations. For example, the regulations interpreting the Family Medical Leave Act (FMLA) has been drastically modified, so those employers with 50 or more employees must revise their FMLA policies accordingly before the effective date of January 16, 2009.
• Make an annual check of your employees’ I-9 documentation to determine whether the documents they presented to prove identity and employment eligibility are still valid. If you see that documents have expired or are nearing their expiration date, remind the employees to take steps necessary to renew those documents and present them to you within the appropriate time period.
• Perform an overall audit of your wage and hour obligations and responsibilities to ensure that you are, in fact, in compliance with your industry or occupational wage order and the California Labor Code.

While these end-of-year projects may seem like quite an undertaking, when you consider that the results may help you to avoid Labor Commissioner claims or litigation, they will seem well worth the time and effort. Happy holidays!