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Author: Amy Whyte

Posted on November 24, 2015June 29, 2023

Young Workers Still Looking to Get Organized, Experts Say

With union membership dwindling nationally and the U.S. workforce increasingly shifting away from traditionally unionized industries like mining and manufacturing to a predominantly service-oriented economy, it’s easy to assume that young workers have little interest in joining a union.

In fact, the U.S. Bureau of Labor Statistics reports that in 2014 just under 11 percent of  workers ages 25 to 34 were represented by unions — down from nearly 15 percent 20 years ago.

“There’s sort of an assumption out there that younger people aren’t as interested in unions as older people because they were brought up in a time where unions aren’t very strong and because they tend to work in different environments than the historic union worker,” said Philip Dine, author of “State of the Unions.”

But the recent vote this summer to unionize by the editorial staff of Gawker Media — the new media company that publishes Deadspin, Gizmodo, Jezebel and Lifehacker — tells a different story. This is an editorial staff that skews young; most employees are in their 20s or 30s.

“It reflects a shift in demographics,” said labor professor Robert Bruno of the University of Illinois News Bureau. “The writers who voted to organize are highly educated young professionals. It really points to a new direction for the labor movement as well as the movement itself adapting to new workplaces and the new way in which we work.”

Gawker Media, for its part, said that it was choosing to organize because it believes “every workplace could use a union.”

And this positive attitude toward unionization is shared by many young workers, according to a recent poll by the Pew Research Center. According to a survey conducted in March, 55 percent of young adults ages 18 to 29 view unions favorably compared with 29 percent who hold unfavorable views.

“Our generation was taught that you go to college, graduate with a degree, and then get a great job,” said Molly Meyer, author of “It’s My Company Too!” “That’s no longer the case — our generation is swimming in student loan debt, now, instead. Somehow, somewhere, in the eyes of businesses and in the eyes of college institutions, the value of a college education doesn’t match up from a dollar perspective. Perhaps our lean toward unionization is a way to remedy that discrepancy on one end.”

Dine agrees that younger workers are more drawn to unions as a result of the economy they came of age in.

“We got through the worst recession in 80 years, and that’s sort of what they grew up in or what they faced at an earlier working age,” Dine said. “Baby boomers sort of always knew things would get better, but it’s not like that anymore. Young workers now realize they should look for help, that they need some solidarity with each other.”

Additionally, Dine said the evolving work habits of millennials — tendencies to jump from one job to another, freelance or work from home — make them more open to unionizing.

“That’s such an insecure environment,” Dine said. “There’s not much security there when they’re traded off as freelancers, they don’t necessarily get benefits when they’re working part time.”

But if younger workers are so interested in organizing, why aren’t more of them in unions? Dine attributes this to the difficulty of organizing, particularly in jobs and industries that aren’t traditionally unionized.

“The kind of jobs they’re in, while those jobs in my view make them more prone to want to join unions, they also make it harder to join a union,” Dine said. “If you’re working at home, how do you join a union? What union do you join?”

While Dine says the AFL-CIO, the umbrella federation for U.S. unions, has begun trying to make organizing more accessible to the next generation of workers, including scheduling college visits to introduce the concept of unionizing to incoming workers, there is still work to be done to make unions easier to form and join.

“There’s been a lag between efforts to familiarize young people with unions and actually setting up structure to make that easier,” Dine said.

Additionally, Dine said, there needs to be labor law reform to make it easier for workers to form or join a union.

“We have a very complicated set of labor laws,” he said. “They have to jump through hoops to have elections, and meanwhile employers have the ability to put a lot of pressure on workers to not form a union.”

But while there may be barriers to unionization, Dine has no doubt that younger workers will find a way to organize, and that unions will continue to play an important role in the U.S. economic landscape.

“A certain idealism is returning to young people,” Dine said. “Unions have been key in the history of this country to building the middle class. But recently the middle class is shrinking, the rich are getting richer, the poor are getting poorer … and we can’t survive as a powerful country like that. Younger people realize this and want to unionize, not just for themselves but for the country as a whole.”

Posted on July 26, 2015June 29, 2023

2015 Game Changer: Sara Piccollo

Sara Piccollo is the definition of a rising star, rapidly climbing the ladder at PIMCO in her nine years at the company. After joining PIMCO as an entry-level learning and development coordinator in 2006, Piccollo worked her way up the global investment management firm to become head of diversity and inclusion.

Piccollo, 33, has been a key player in developing PIMCO’s diversity and inclusion strategy, implementing unconscious bias training, offering incentives for inclusive leadership and ensuring that all employees are involved in the company dialogue about diversity. Recently, Piccollo led the design and launch of PIMCO Parents, an initiative focused on mothers and fathers.

A champion of diversity of thought, Piccollo works constantly to prove the truth of PIMCO’s diversity and inclusion philosophy: Diverse teams create better business results.

Amy Whyte is a Workforce editorial intern. Comment below or email editors@workforce.com. Follow Workforce on Twitter at @workforcenews.

Posted on July 26, 2015June 29, 2023

2015 Game Changer: Kelly Ploehn

In 2014, the Quality of Life Leadership Academy — the organization formed by the Michigan departments of Environmental Quality, Natural Resources and Agricultural and Rural Development — accepted into its ranks for the first time “nonprofessional” candidates such as secretaries and analysts. Kelly Ploehn, an analyst in the Environment Quality Department, was among those who participated in the 10-month program.

Ploehn, 37, helped develop a presentation to address employee engagement concerns. The findings, based on employee input, made some senior leaders uncomfortable, but Ploehn powered ahead, presenting her results along with recommendations to improve engagement.

Thanks to Ploehn’s perseverance, the Environmental Quality Department established an employee engagement team, naming Ploehn a team leader and representative for her division.

 Amy Whyte is a Workforce editorial intern. Comment below or email editors@workforce.com. Follow Workforce on Twitter at @workforcenews.

Posted on July 20, 2015July 30, 2018

ADP’s New Partnership Takes Garnishment Off Clients’ Plates

When processing wage garnishments, ADP wants to cut out the middle man.

On July 7, Automatic Data Processing Inc., the company that handles payroll for about 1 in 6 U.S. workers, announced a new collaboration with Wolters Kluwer’s CT Corp. to help clients expedite wage garnishment orders.

According to a recent study by the ADP Research Institute, roughly 7 percent of employees have their wages garnished. These orders can take up significant resources on the part of the company, as they have to be processed within a legally required timeframe — or else the employer can be held liable, said Amorette Bryant, author of “The Complete Guide to Federal and State Garnishment.”

“Time is very important when it comes to a garnishment because the clock starts ticking when it is served at a CT office,” Bryant said. “Depending on the particular state law that they have to apply, the employer normally would have to get that set up within the same pay period that it is received.  So time is very critical.”

CT Corp., as a registered agent, receives garnishment orders such as child support and tax liens on behalf of companies. Previously, CT Corp. delivered these orders to employers who would be responsible for either processing them internally or outsourcing them to a payroll services provider such as ADP.

With this partnership, rather than going through the employer, CT Corp. will send wage garnishment orders directly to ADP through secure application programming interfaces, which is designed to make the overall process more efficient for all parties.

“Because there wasn’t a relationship between ADP and the registered agent, the registered agent would send those notices to the employer and the employer would have to send them to ADP,” said Julie Farraj, vice president of garnishment services at ADP.

Through this more direct method, Farraj said, employers can reduce the administrative functions and related costs currently tied up in wage garnishments, saving the company time and money.

Although Bryant said the concept isn’t entirely novel — child support, for example, has been handled this way for years ­— she said she believes the partnership will be very effective for ADP’s more than 625,000 clients. In addition to saving time and money, Bryant said that sending garnishment orders directly to a third-party such as ADP will make the overall process more secure and better protect the privacy of the employees whose wages are being garnished.

“I see it as more secure, to the extent that you don’t have other people within the company viewing those documents,” Bryant said.

To further ensure the security and confidentially of these documents, which can often contain personal information about employees, Farraj said ADP and CT Corp. have established a secure channel requiring complete authentication in addition to each partner’s previously existing security protocols.

“This actually increases security because you’re eliminating a step,” Farraj said.

While Bryant recommends that companies outline their expectations for wage garnishments within their contract agreements with ADP, overall she said this sort of collaboration between agents and third-party service providers can only benefit employers.

“Anything that can be done to streamline the process and make sure the documents are going where they need to go in order to be processed within the legally required time that they have to be processed, the better off everyone is,” Bryant said.

 Amy Whyte is a Workforce editorial intern. Comment below or email editors@workforce.com. Follow Workforce on Twitter at @workforcenews.

Posted on June 10, 2015June 19, 2018

Dealing With Demotions From HR’s Perspective

Every now and then, a situation arises where it becomes necessary to demote an employee.

Maybe a newly promoted manager isn’t quite ready to take on a larger role after all. Or maybe a position is being eliminated, but it’s important to retain a longtime employee.  Whatever the cause, there is only one way to handle a demotion: very cautiously.

Corey Witzel, vice president of human resources and general counsel at EmPowerHR, a human resources consulting firm, said companies need to ensure any possible demotion is well thought out and carefully executed.

“You could be demoting an employee for many different reasons, but they’re all risky,” Witzel said. “If you’re going to demote anyone, you have to do it very cautiously.”

Witzel said companies often choose demotions in order to avoid the severity of firing an employee outright, and the potential legal liabilities that come along with it. However, he warns that demotions can just as easily result in legal fallout if handled lightly.

“A demotion could be like a termination,” Witzel said. “You’re adversely changing somebody’s terms and conditions of employment, so you are still subject to employment discrimination laws. Because of what’s at stake, you can get sued and an employee can bring a discrimination charge against you.”

For this reason, Witzel said it is important that companies first determine the purpose behind a potential demotion. Appropriate reasons include a business reorganization, where employees have to be moved to different positions, or performance deficiencies, such as when an employee is given a promotion but turns out to be unsuited for the position. However, Witzel cautions against implementing demotions as punishment or as a temporary measure before eventually firing someone.

“A lot of companies do the demotion because they’re afraid of the second step, and they want to phase into it,” Witzel said. “It’s like: ‘We’ll demote her, we’ll see what happens, and then maybe we’ll fire her.’ Or: ‘We’ll offer a demotion and hope she doesn’t take it and quits.’ ”

That last option, Witzel said, is particularly dangerous, as employees can file a claim asserting that they were coerced into quitting.

“Demotions should be for when you’re trying to retain a great employee who for whatever reason can’t stay in their current position,” Witzel said.

Linda Willey, HR director at truck dealership and repair company Nextran Corp., said in order to avoid any negative consequences, demotions should be done sparingly, and only when the situation truly calls for it.

“In my experience, it’s been rare, and I believe it should be rare, because you should really do your due diligence when you are promoting to make sure they are a good fit and they have the skill sets,” Willey said. “If a company just has a vacancy and they quickly promote somebody who’s not ready for it just to put a body there, then that’s shame on the management for doing it.”

Willey, an HR Disciplines panelist for the Society for Human Resource Management, said any demotion is going to be inherently unpleasant, with the only exception occurring when the employee asks to step down, whether it’s because of personal reasons or because retirement is imminent.  To avoid demotions altogether, Willey recommends that companies take steps before promoting employees to ensure the position is a good fit. Job shadowing and prior training, as well as an orientation period when a worker takes on a new role, can make for an easier transition, Willey said.

If, despite these precautions, a promotion still does not work out, Willey said it is important to handle the situation with “grace and respect.” In addition, Witzel recommends absolute transparency.

“You have to have a very honest discussion with the employee,” Witzel said. “Tell them, this is why you’re being demoted. Your pay is going to go down, here is what it is going to look like. … If the person is mature enough and understands what you’re doing, then I think it can work.”

Amy Whyte is a Workforce editorial intern. Comment below or email editors@workforce.com.

Posted on March 16, 2015June 29, 2023

Felony Franks Hires Ex-convicts to Help Them Play Catch-up With Their Lives

Felony Franks relishes its position as just a “regular hot dog stand,” said owner Deno Andrews. It’s a regular Chicago-style hot dog stand all right — home of the “Misdemeanor Weiner” hot dog and the “Parolish” polish sausage — but one that uses different ingredients in its hiring practices: ex-convicts.

The restaurant, which opened in Oak Park, Illinois, on Feb. 19, employs, trains and educates former offenders.

“There’s a huge stigma to having a felony on your record in the United States,” Andrews said. “We’ve decided to accept that we’re probably not going to change the political system, we’re probably not going to change the justice system, so our solution is based on meaningful employment — ensuring people that you can be professional, you can run a business and so forth.”

Felony Franks is not alone in its desire to hire ex-convicts. John Shegerian, CEO of Electronic Recyclers International, has spoken publicly about how he uses his position as head of company as an opportunity to provide jobs for people from marginalized segments of society, including former convicts.

“I’ve generally found that when you hire someone who’s looking for one last chance to turn his life around, he’ll roll up his sleeves and give you everything he’s got,” Shegerian wrote in a 2010 commentary for

Additionally, websites such as Exoffenders list dozens of employers known to hire people with criminal records, including notable companies such as Apple Inc., General Mills Inc. and Tesla Motors Inc. But Felony Franks is unique in that it employs only people who have been formerly incarcerated.

The newly opened hot dog stand currently employs eight full-time and five part-time workers, all of whom are ex-convicts. Andrews said he hopes to expand the restaurant into a franchise, so as to provide more job and management opportunities for people with criminal records.

The concept was first envisioned by Deno Andrews’ father, Jim Andrews, who opened the original Felony Franks on the West Side of Chicago in 2009. But a city alderman took issue with the restaurant’s name, leading to a lengthy legal battle over First Amendment rights that resulted in the hot dog stand’s closure in 2012. Deno Andrews, who left his nine-year position as general manager of a consulting firm to reopen Felony Franks, describes the Oak Park relaunch as a second chance — both for the business and its employees.

“I had a pretty wild nine years of traveling around the world in first class, making a good amount of money. It was fun, but it wasn’t fulfilling,” Deno Andrews said. “I saw how fulfilled my father was helping people, and I just got to a point in my life where I thought I could do this consulting thing for another 10 years and retire, or I could open a Felony Franks and help people that need help.”

Felony Franks helps its employees not just by providing them with a job and restaurant training, but also through various other services offered by its nonprofit counterpart, the Rescue Foundation, which Jim Andrews founded in 2003 to help ex-offenders. Though jobs at Felony Franks are intended to be long-term employment opportunities, Deno Andrews said he realizes not everyone wants to work in food service forever. Workers are given a business education, including instruction about concepts such as net profit and profit margins, as well as mentoring and assistance with any sort of general life problems that they might have.

“A lot of them don’t have bank accounts,” Andrews said. “When they get a paycheck, they end up having to pay huge percentages to check cashers to cash their checks. So we have banks that come in and help them to get bank accounts, re-establish credit … so they can walk across the street and cash a check without paying a fee.”

Andrews said Felony Franks sources its employees from two Chicago-area foundations focused on rehabilitating former offenders: the GEO Group Inc. and the Safer Foundation. Both provide services to help people with criminal records transition back to full-time employment. These groups refer people who they believe to be good candidates for restaurant employment to Felony Franks as potential hires.

David Gianfrancesco, who now serves as the Safer Foundation’s associate vice president of model development but until recently worked as the director of workforce development, said the foundation assigns each client a case manager who ensures all individual needs are met.

“The amount of support and preparation that Safer Foundation does for our candidates prepares them for the opportunity that they’re trying to get,” Gianfrancesco said. “From that respect, I would say our candidates are often more ready for work than if they were to just hire off the street or off any kind of model they might use, whether it be Craigslist or whatever it may be. Our clients come prepared.”

Gianfrancesco said Safer Foundation successfully places ex-convicts with hundreds of different companies each year, though the most common industries tend to be food service, manufacturing, and transportation and distribution.

“We work with any company out there that’s willing to hire someone that’s the right fit for a position, taking all the other factors out of the equation and just focusing on: ‘Can you do this job?’ ” Gianfrancesco said. “They’re the companies we’re trying to work with.”

Felony Franks certainly fits that bill. Andrews said the only qualification Felony Franks looks for in its potential hires is the desire to do good work.

“We’re just looking for men and women who have the right attitude and commitment to making excellent food,” Andrews said.

Amy Whyte is a Workforce editorial intern. Comment below or email editors@workforce.com. Follow Workforce on Twitter at @workforcenews.

Posted on February 3, 2015June 29, 2023

Office ‘Hoteling’: Some Companies Offer Reservations, but Some Workers Have Reservations

DILBERT © 1995 Scott Adams. Used by permission of UNIVERSAL UCLICK. All rights reserved.

“We’re taking away your individual cubicles,” Dilbert’s boss explains in a 1995 edition of the workplace comic. “In the new system, you’ll sign up for whatever cube is open that day.”

The cartoon was mocking office “hoteling,” a practice that allows employees to reserve workspace on a need-to-use basis. But though Scott Adams made fun of the concept in 1995, in 2015 hoteling is increasingly being adopted as a method of cutting costs and improving collaboration among workers.

Typically employed by consultancies and other firms whose employees often travel or work from remote locations, hoteling enables companies to drop the square footage of their office space without shrinking their workforce: Instead of each employee being allotted a desk, workspace is shared among staff, cutting down on real estate requirements.

“You’ve got reduced costs of real estate per employee, so you’re able to make more efficient use of your space,” said Ben Johnston, the marketing director for RMG Networks.

RMG Networks, a communications technology provider based in Dallas, offers software that can be used to streamline the hoteling process by making it easy for employees to check in and reserve rooms. Johnston said having some form of digital reservation system is key to making hoteling work.

“At the minimum, most companies that are employing hoteling will have some sort of reservation system, whether that’s Microsoft Outlook or other systems like that,” Johnston said. “In a lot of cases it’s from an interactive touch screen in the foyer or the reception area where employees can come in and swipe a badge or scan an ID to check into the system, see what’s available, reserve the room and get to work.”

Though hoteling has been around for some time — Crain’s Chicago Business reported on IBM’s switch to a desk reservation system in 1994 — the trend has recently picked up steam. “Big Four” accounting firms Deloitte and EY, formerly Ernst & Young, are among companies that have adopted office hoteling in the past year. Instead of assigned desks, companies like American Express Co. are offering employees storage lockers to hold their files and supplies. Rather than being tethered to landlines, employees at GlaxoSmithKline carry laptops equipped with Internet phones.

Even the federal government has gotten in on the trend with the U.S. General Services Administration using hoteling as part of its efforts to reduce federal office space and increase efficiency and collaboration. Charles Hardy, the GSA’s chief workplace officer, said the hoteling model has enabled it to assign 3,400 people to its headquarters, a building that previously only housed 2,200.

“There’s this balance between people who are coming into the office and people who are either at home or at a client site,” Hardy said. “Seats are being used probably around 45 to 50 percent of the time, and if you create a hoteling environment that increases your ability to actually manage the capacity level you have in a building at any given day.”

The extent to which cutting back on real estate actually succeeds in cutting costs is up for debate: A 2013 study by the U.S. Government Accountability Office was unable to determine the “accuracy and validity” of the U.S. Patent and Trademark Office’s estimated cost savings from hoteling and other efforts to reduce its space needs over the past decade.

The same study found that hoteling “may not be appropriate” for everyone, such as employees who work with classified documents.

Additionally, some workers find the hoteling environment counterproductive. Allison Arieff, a New York Times architecture columnist, wrote a commentary for CityLab, part of The Atlantic Monthly Group, that said: “I worked in an open plan environment where everyone sat at ‘kitchen tables’ (with someone at either side of you, across from you, behind you) and many of us were ‘hoteling’ (where you check in to a different desk each day, when and if one is actually available). To be honest, it seemed as if no one ever got anything done.”

Kris Dunn, the chief human resources officer at Kinetix who also writes a column for Workforce, also questions the benefits of hoteling.

“There are a lot of employees who value a sense of place, of belonging and of ownership of space,” Dunn wrote in an email. “Hoteling is a great way to save on real estate costs and accommodate remote workers visiting, but when it impacts employees who spend 50 percent or more of their time in the office, it usually becomes a burden.”

However, proponents of the hoteling system laud its ability to provide flexibility and enhance collaboration among staff.

“You get happier workers in some cases,” Johnston said. “It breaks up the monotony.”

At the GSA, where 80 percent of desks are unassigned, hoteling gives workers the option of different types of workspaces, ensuring that people can find a work environment that accommodates whatever type of job they’re doing that day.

“If I’m coming into the office one day and I need to do heads-down work, there’s a location for that where I can get away from folks and do heads-down work,” Hardy said. “If I’m coming in and we’re brainstorming or doing teamwork, there’s a place where collaboration can occur.”

While hoteling may be better-suited to some companies than others — for example, Johnston said the model works best for larger firms with employees who travel often — Hardy said any company can adopt hoteling as long as it chooses the appropriate degree of implementation. Where one office might function perfectly well with 80 percent of its desks unassigned, another firm might work better with only 20 percent unassigned.

“It’s certainly a great strategy,” Hardy said. “We’re paying for our chairs and our workstations and our offices, and you want to maximize their actual use. I think hoteling allows us to get a better utilization of the assets we’re putting in place.”

Of course, room service is not included.

Amy Whyte is a Workforce editorial intern. Comment below or email editors@workforce.com. Follow Workforce on Twitter at @workforcenews.


 

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