What We're Watching | Week of June 13, 2022
What We're Watching, a weekly summary from the team at Boss Consulting HR, to highlight the ever-moving parts that is Human Resources.
Federal Updates
Healthplan Transparency Disclosures Due July 1st
The Transparency in Coverage (TiC) rules require plan sponsors to make public disclosures regarding in-network and out-of-network rates beginning July 1, 2022. To meet that deadline, plan sponsors should be working with carriers and third-party administrators (TPAs) to ensure they have the necessary information in the proper format to comply with the new rules.
Age Bias
"I'm looking for someone who will stay in the position longer."
Employers want longevity, especially from their employees who are rockstars, but comments like the one above could be problematic in the case of an age discrimination allegation.
A recent suit filed in New Jersey by the EEOC alleges that an employer's failure to offer a lateral promotion to an employee was an act of age discrimination. The employee filing the suit has no discipline and had never experienced a negative employment action, but when the company hired a 33-year-old with less experience over the victim, it was enough basis for age discrimination.
Upon doing an internal investigation, the company found that the hiring manager who chose the selected candidate admitted that he did so because he wanted to fill the post with someone who would stay in it on a long-term basis, the agency alleges.
The case is still in process. We can't wait to see how this one pans out.
Massachusetts Update
Do MA Labor Laws Apply to Your Remote Employees?
With the rise of remote employees, concern over whether or not a state's employment law applies to them is growing. Many employers are establishing what states an employee can and cannot work remotely. A recent U.S. Court of Appeals case has shed some light for Massachusetts employers on how to gauge the applicability of labor and employment laws in a remote working relationship.
When determining whether a law applies to the relationship, an employer needs to determine which state "has the more significant relationship to the transaction" between the parties. This test looks at all the circumstances of the parties' relationship.
Make sure you are assessing all remote workers and where they are actually working. It may require you to be set up for employment taxes, state disability programs and unemployment.