Description
DescriptionRecently, Green Branch Coffee mangers have approached you with questions regarding the Americans with Disabilities Act (ADA), the Age Discrimination in Employment Act (ADEA), the Equal Pay Act (EPA), and the Fair Labor Standards Act (FLSA). To address these questions, you have decided to prepare a presentation for the managers that clarifies how each of the Acts applies in their coffee shops. For this assignment, you will create a PowerPoint presentation of 5–7 slides with at least 200 words of speaker notes per slide. Begin your presentation by briefly describing the role of the Equal Employment Opportunity Commission (EEOC). Then, for each of the Acts listed below, provide a summary of the Act, an example from a real company of how the Act was violated, and what a Green Branch Coffee manager can do to ensure compliance with the Act.Americans with Disabilities Act (ADA)Age Discrimination in Employment Act (ADEA)Equal Pay Act (EPA)Fair Labor Standards Act (FLSA)
Unformatted Attachment Preview
FAQ: Concepts of Human Resources Benefits
Question 1: Explain core versus fringe compensation.
Answer 1: Core compensation consists of monetary compensation for work
performed by an employee. It consists of base pay but may also include costof-living adjustments, seniority pay, merit pay, incentive pay, and knowledgeor skill-based pay.
Fringe compensation consists of nonmonetary rewards. These include the
following:
•
•
They include legally required benefits that promote employee health and
safety and maintain family income in case the employee loses his or her
job. These benefits include Social Security and Medicare, federal and
state unemployment insurance, and worker’s compensation.
They include discretionary benefits, including family protection
programs, paid time off, and services. Family protection programs
typically include life and health insurance, savings programs, and
retirement programs such as the popular 401(k) account. Services
include tuition reimbursement and day care assistance to employees
with small children.
Question 2: What are the provisions of the Fair Labor Standards Act of 1938?
Answer 2: The Fair Labor Standards Act (FLSA) covers three areas: minimum
wage, overtime provisions, and child labor. The FLSA establishes the minimum
wage that companies may pay its employees. The intent is to ensure that
employees receive a wage that affords them a reasonable standard of living.
The wage established by the law is subject to change. For example, the federal
minimum wage was $7.25 per hour in 2013. Some states may have a minimum
wage that is higher than the federal hourly amount.
A second provision of the FLSA identifies the job classifications subject to a pay
rate of time and a half for any hours worked over 40 in a 7-day period. The law
establishes very specific criteria for evaluation of jobs with regard to exempt
and nonexempt status. Generally, administrative, professional, and executive
employees are exempt from the provision of the Act. Most other jobs are
nonexempt.
The final provision of the FLSA establishes the minimum age that children may
be employed and the maximum hours they may be required to work:
•
1
Children under age 14 usually cannot be employed.
FAQ: Concepts of Human Resources Benefits
•
•
Children of ages 14–15 may work in safe occupations for 3 hours a day
outside of school hours.
Children of ages 16–17 do not have hourly restrictions; however, they
are prohibited from holding jobs that involve the use of industrial
equipment or exposure to hazardous materials.
Question 3: What factors influence companies’ compensation practices?
Answer 3: Several factors affect a company’s choice of compensation
practices.
National culture refers to the shared norms and beliefs that characterize a
culture. For example, whereas most American workers understand and accept
the concept of merit-based compensation, Chinese workers are more
accustomed to being compensated based on need. In countries where
individual achievement is valued, compensation programs tend to reward
employees for their individual performance. In countries where group
cohesiveness is valued (e.g., Japan), employees tend to be rewarded based
upon the performance of the group of which they are part.
Organizational culture is the shared values and beliefs that characterize an
organization. The design of a traditional American company emphasizes
decision making by managers and dissemination of information from the top of
the hierarchy to lower levels. Seniority pay and merit pay tend to fit best into
this traditional structure. Conversely, team-based organizations adopt incentive
plans that encourage teams to attain predetermined performance objectives.
No one member of the team is rewarded unless the team meets its objectives,
in which case all members receive the same reward. This approach is used
extensively in Japan and has been adopted by some American companies.
Product life cycle has an effect on how employees are compensated. For
example, growth companies (such as many of the new Internet companies)
tend to set base pay levels and discretionary benefits below market rates to
increase cash flow for research and development activities. Employees tend to
become more skilled and hence more valuable as companies mature. However,
in these cases, compensation professionals are required to recommend pay
rates that strike a balance between efficiency and the need to retain skilled
workers.
Question 4: What is the Equal Employment Opportunity Commission (EEOC)?
Answer 4: The EEOC was established to enforce the Equal Pay Act of 1963.
2
FAQ: Concepts of Human Resources Benefits
This legislation ensures that men and women receive equal pay for performing
the same jobs. The EEOC has the authority to investigate and remedy charges
of unequal pay.
Question 5: What is Title VII of the Civil Rights Act?
Answer 5: Title VII of the Civil Rights Act is designed to promote equal
employment opportunities for underrepresented minorities. Title VII applies to
companies who employ more than 15 workers, employment agencies, and
labor unions, but it excludes U.S. government employees.
The courts identify two types of discrimination: disparate treatment and
disparate impact. Disparate treatment refers to cases in which employers
intentionally treat some workers less favorably than others because of their
race, ethnicity, sex, religion, or national origin.
Disparate impact refers to cases in which discrimination is the unintentional
result of a company practice. For example, awarding pay increases based on
seniority might cause a disparate impact if African-American employees, as a
group, have less seniority than Caucasian employees.
Question 6: What practices will promote nondiscriminatory performance
appraisals?
Answer 6: Court opinions and compensation experts recommend adoption of
the following practices to ensure nondiscriminatory performance appraisals:
•
•
•
•
3
Analyze jobs to determine the characteristics of successful performance.
Develop the characteristics into a performance-rating instrument.
Train appraisers to use the rating instrument correctly.
Allow employees the opportunity to appeal ratings that they believe are
inaccurate.
EMPLOYMENT LAWS
40+
A. 1990
A. 1963
A. 1967
B. Targets pay
discrimination based on
sex for the same position
B. Protects employees
40 years and older
C. Law covers everyone
C. Private sector with
20 or more employees
D. Millions of dollars in
settlements
D. Covers applicants
and employees
(EEOC, n.d.b; EEOC, n.d.c)
Equal Pay Act (EPA)
B. Protects qualified
individuals with a
disability or a perceived
disability from
discrimination of
employment because of
their disability
C. Eligible
Private sector: 15 or
more employees
Public sector: All state
and local government
agencies
A. 1993
B. Worked for at least
12 months or 1,250
hours prior to
requesting leave
C. Can request up to
12 weeks of unpaid
leave
A. 2008
B. Prohibits
discrimination based on
genetic test results
D. Reasonable
accommodations must
be made
D. Birth, adoption,
care of immediate
family member,
military deployment,
etc.
C. Used in making
decisions based on
hiring, promotions,
placement of an
employee, and firing of
an employee
(EEOC, n.d.a)
(EEOC, n.d.g)
(EEOC, n.d.d)
(EEOC, n.d.f)
Age Discrimination
in Employment Act
(ADEA)
Americans with
Disabilities Act (ADA)
Family Medical Leave
Act (FMLA)
Genetic Information
Nondiscrimination Act
(GINA)
References
U.S. Equal Employment Opportunity Commission. (n.d.a). Age discrimination. Retrieved from http://www.eeoc.gov/laws/types/age.cfm
U.S. Equal Employment Opportunity Commission. (n.d.b). The Equal Pay Act of 1963. Retrieved from http://www.eeoc.gov/laws/statutes/epa.cfm
U.S. Equal Employment Opportunity Commission. (n.d.c). Equal Pay Act charges. Retrieved from http://www.eeoc.gov/eeoc/statistics/enforcement/epa.cfm
U.S. Equal Employment Opportunity Commission. (n.d.d). The Family and Medical Leave Act, the Americans with Disabilities Act, and Title VII of the Civil Rights Act of 1964. Retrieved from
http://www.eeoc.gov/policy/docs/fmlaada.html
U.S. Equal Employment Opportunity Commission. (n.d.e). Genetic information discrimination. Retrieved from http://www.eeoc.gov/laws/types/genetic.cfm
U.S. Equal Employment Opportunity Commission. (n.d.f). Genetic Information Nondiscrimination Act of 2008. Retrieved from http://www.eeoc.gov/laws/statutes/gina.cfm
U.S. Equal Employment Opportunity Commission. (n.d.g). Titles I and V of the Americans with Disabilities Act of 1990 (ADA). Retrieved from http://www.eeoc.gov/laws/statutes/ada.cfm
FAQ: Concepts of Human Resources Benefits
Question 1: Explain core versus fringe compensation.
Answer 1: Core compensation consists of monetary compensation for work
performed by an employee. It consists of base pay but may also include costof-living adjustments, seniority pay, merit pay, incentive pay, and knowledgeor skill-based pay.
Fringe compensation consists of nonmonetary rewards. These include the
following:
•
•
They include legally required benefits that promote employee health and
safety and maintain family income in case the employee loses his or her
job. These benefits include Social Security and Medicare, federal and
state unemployment insurance, and worker’s compensation.
They include discretionary benefits, including family protection
programs, paid time off, and services. Family protection programs
typically include life and health insurance, savings programs, and
retirement programs such as the popular 401(k) account. Services
include tuition reimbursement and day care assistance to employees
with small children.
Question 2: What are the provisions of the Fair Labor Standards Act of 1938?
Answer 2: The Fair Labor Standards Act (FLSA) covers three areas: minimum
wage, overtime provisions, and child labor. The FLSA establishes the minimum
wage that companies may pay its employees. The intent is to ensure that
employees receive a wage that affords them a reasonable standard of living.
The wage established by the law is subject to change. For example, the federal
minimum wage was $7.25 per hour in 2013. Some states may have a minimum
wage that is higher than the federal hourly amount.
A second provision of the FLSA identifies the job classifications subject to a pay
rate of time and a half for any hours worked over 40 in a 7-day period. The law
establishes very specific criteria for evaluation of jobs with regard to exempt
and nonexempt status. Generally, administrative, professional, and executive
employees are exempt from the provision of the Act. Most other jobs are
nonexempt.
The final provision of the FLSA establishes the minimum age that children may
be employed and the maximum hours they may be required to work:
•
1
Children under age 14 usually cannot be employed.
FAQ: Concepts of Human Resources Benefits
•
•
Children of ages 14–15 may work in safe occupations for 3 hours a day
outside of school hours.
Children of ages 16–17 do not have hourly restrictions; however, they
are prohibited from holding jobs that involve the use of industrial
equipment or exposure to hazardous materials.
Question 3: What factors influence companies’ compensation practices?
Answer 3: Several factors affect a company’s choice of compensation
practices.
National culture refers to the shared norms and beliefs that characterize a
culture. For example, whereas most American workers understand and accept
the concept of merit-based compensation, Chinese workers are more
accustomed to being compensated based on need. In countries where
individual achievement is valued, compensation programs tend to reward
employees for their individual performance. In countries where group
cohesiveness is valued (e.g., Japan), employees tend to be rewarded based
upon the performance of the group of which they are part.
Organizational culture is the shared values and beliefs that characterize an
organization. The design of a traditional American company emphasizes
decision making by managers and dissemination of information from the top of
the hierarchy to lower levels. Seniority pay and merit pay tend to fit best into
this traditional structure. Conversely, team-based organizations adopt incentive
plans that encourage teams to attain predetermined performance objectives.
No one member of the team is rewarded unless the team meets its objectives,
in which case all members receive the same reward. This approach is used
extensively in Japan and has been adopted by some American companies.
Product life cycle has an effect on how employees are compensated. For
example, growth companies (such as many of the new Internet companies)
tend to set base pay levels and discretionary benefits below market rates to
increase cash flow for research and development activities. Employees tend to
become more skilled and hence more valuable as companies mature. However,
in these cases, compensation professionals are required to recommend pay
rates that strike a balance between efficiency and the need to retain skilled
workers.
Question 4: What is the Equal Employment Opportunity Commission (EEOC)?
Answer 4: The EEOC was established to enforce the Equal Pay Act of 1963.
2
FAQ: Concepts of Human Resources Benefits
This legislation ensures that men and women receive equal pay for performing
the same jobs. The EEOC has the authority to investigate and remedy charges
of unequal pay.
Question 5: What is Title VII of the Civil Rights Act?
Answer 5: Title VII of the Civil Rights Act is designed to promote equal
employment opportunities for underrepresented minorities. Title VII applies to
companies who employ more than 15 workers, employment agencies, and
labor unions, but it excludes U.S. government employees.
The courts identify two types of discrimination: disparate treatment and
disparate impact. Disparate treatment refers to cases in which employers
intentionally treat some workers less favorably than others because of their
race, ethnicity, sex, religion, or national origin.
Disparate impact refers to cases in which discrimination is the unintentional
result of a company practice. For example, awarding pay increases based on
seniority might cause a disparate impact if African-American employees, as a
group, have less seniority than Caucasian employees.
Question 6: What practices will promote nondiscriminatory performance
appraisals?
Answer 6: Court opinions and compensation experts recommend adoption of
the following practices to ensure nondiscriminatory performance appraisals:
•
•
•
•
3
Analyze jobs to determine the characteristics of successful performance.
Develop the characteristics into a performance-rating instrument.
Train appraisers to use the rating instrument correctly.
Allow employees the opportunity to appeal ratings that they believe are
inaccurate.
Purchase answer to see full
attachment
