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Compensation & Benefits

New rules make 401(k) plans easier to administer

02/01/2005
Your organization’s 401(k) plan should be a bit less complicated to administer in the coming years, thanks to new Treasury Department regulations.
The new rules, the first major revision of …

Turn to temporary managers to fill gaps and cut costs

02/01/2005
Issue: Temporary managers and executives can fill a short-term void and save money in the long run.
Benefit: Filling the right positions with interim replacements can enhance your reputation as …

Work with managers to motivate part-time employees

02/01/2005
Issue: Improving the productivity of your part-time employees.
Risk: Part-timers often feel, and are sometimes treated, like second-class citizens, which can hurt their performance.
Action: Work with supervisors to …

Cut prescription expenses by comparing prices online

02/01/2005
More independent Web sites now evaluate prices of generic and brand name drugs, as well as prices at online and brick-and-mortar pharmacies. Check the drug costs of your organization’s health plan, …

Offer, don’t force, light duty as option for FMLA leave

02/01/2005
Issue: Court ruling says employees can perform light-duty work during their FMLA leave.
Benefit: In such cases, time spent on light-duty work would count toward the employees’ 12-week FMLA allotment …

You can set weekly vacation rule, but should you?

02/01/2005

Q. I know we’re allowed to tell employees which months they can’t take vacations, but can we also require that vacations be taken only by the week, and not in daily, hourly or half-day increments? —P.A., Nebraska

Travel Time Is ‘Work Time’ if It Cuts Across Workday

02/01/2005

Q. We hired a new branch manager in a one-person office in another town. Because she earns $19,240 a year, she doesn’t meet the new annual threshold of $23,660 for exempt status, correct? Several times a year, she escorts trips involving overnight stays. While she’s out, she forwards her calls to the host office and closes her doors. How do we compensate her? Am I right that she has to be considered "hourly"? And how do we compensate for the overnight and travel time? —K.H., Kansas

Beware time clock ’rounding’ errors; push for an upgrade

02/01/2005
Issue: The legal and financial hazards of an improperly programmed time clock.
Risk: Thousands in back pay and government penalties, in addition to unwanted publicity.
Action: Audit your timekeeping …

Revamp employment contracts to account for new tax rules

02/01/2005
Issue: A new IRS ruling says signing bonuses and early-termination payments are considered taxable wages.
Risk: Overlooking that decision can trigger compensation problems or IRS penalties.
Action: Take this …

Check state law before deducting cost of lost tools

02/01/2005

Q. We want to start a policy that would deduct the cost of tools from employees’ final paychecks if the tools aren’t returned or if they’re returned damaged. Can we legally do this? —M.P., Kansas