Business Essentials Santinelli
A Monthly Update on Day-to-Day Management Issues for Optical ECPs and Retailers May 2008
Made possible by an unrestricted grant from Santinelli and Jobson Optical Group
It's Your Business

Planning Now for Summer Vacations

Hedley Lawson

It certainly does not seem possible, but summer is right around the corner. While you have the time and before summer actually begins, you should take some time to ensure that your practice staff plan and take needed time off. Why should you think about doing so in the month of May? Here are a few reasons:

  • If you wait, inevitably the practice will become too busy and it will become difficult to schedule time off on short notice;

  • Finding capable temporary staff to 'fill in' is not as easy as it may seem, especially when it comes to your practice and your patients;

  • While some employees may not want to take time off, it is important from a productivity standpoint—for them and for your practice, to do so.

So how can you ensure that your staff takes necessary and well earned time off?

  • Remind your employees of the amount of paid time off they have accrued, and that their PTO is a benefit that they have earned and should take. Ask when they would like to schedule their summer vacation or short break and help them think ahead.

  • So that you can plan for the employee's absence, ask your team for at least a month of advance notice to ensure there are no dual requests that might leave you short staffed and so you can have a clear idea of when employees will be away from the office.

  • While some employees will be on vacation, do remind them that if an employee checks e-mail and voice mail, there may be an issue as to whether a vacation day has actually been taken or pay is required.

Summer should be a good time for your team to take a break from the busy schedules that are so often the norm in the eyecare practice world. Doing so with advanced planning benefits everyone, so take time during the month of May to develop your time off for the summer.

Our continuing objective at Business Essentials is to be a primary source of information to assist you in the ownership and management of your practice. To do so, we will continue to provide you with timely and relevant information. If we are achieving our objective, please take a moment and let us know. Likewise, if there are topics or there is information of relevance that would be of benefit to you, please include your suggestions.

Hedley Lawson brings over 25 years of optical industry experience to Jobson Medical LLC. For over 10 years, he has been a contributing editor to VM, most recently as writer of the monthly column "Business Essentials." He is the Contributing Editor of VM's
E-Newsletter Business Essentials. Contact Business Essentials with questions or comments.

 
Ask the Experts

Defined Contribution Pension Plans

Q: What are the recent trends in private-sector participation in defined benefit (pension) and defined contribution (401(k)-type) plans?

A: Since 1980, significant changes have occurred in worker participation in employment-based retirement plans. The share of workers participating only in a defined benefit ("traditional" pension) plan declined from 62 percent in 1980 to 10 percent in 2005. The share of workers participating only in a defined contribution (401(k)-type) plan increased from 22 percent in 1980 to 63 percent in 2005. Those participating in both types of plans increased from 22 percent in 1980 to 27 percent in 2005.

These changes reflect pressures on defined benefit plan sponsors to control costs and funding volatility, as well as on increased regulatory burdens.

Source: June 2007
Facts from the Employee Benefit Research Institute




Healthcare Trends

Q: What are the trends in employment-based health coverage in the U.S.?

A: The percentage of individuals with employment-based health benefits decreased from 68.4 percent in 2000 to 62.2 percent in 2006. Compared with 1994, however, the percentage of individuals with employment-based health insurance is largely unchanged.

Source: June 2007
Facts from EBRI

Submit your questions to one of our experts.

—Hedley Lawson, Jr.

From the Top

Spelling Out Terms and Conditions Through Job Offer Letters

Job offer letters are a good way to set forth a clear understanding between you and a prospective new employee, spelling out the terms and conditions of employment. Offer letters usually go out to a new employee once they have been selected for the job, and often follow a series of interviews and negotiations regarding the conditions of employment with your practice.

Job Offer Letter

Often, the candidate for the job has already indicated he/she will be accepting the job, and the offer letter is a formality. Typically, the specifics of this type of letter set forth the following:

  • Scope of duties;

  • Compensation;

  • Reporting relationships;

  • Benefits;

  • Confidentiality; and

  • Protection of trade secrets.


In addition, if your practice is an at-will employer, that should be set forth in the letter. In Dore vs. Arnold Worldwide Inc. (August 3, 2006), the California Supreme Court held that California employers may rely on clearly worded and unambiguous statements of at-will status. This may be true in other cases in which statutes already define such at-will terms.

In the Dore case, an employee sued his former employer several years after receiving, and signing, an offer letter that made clear his employment was at-will. When he sued for breach of contract and breach of the covenant of good faith and fair dealing, the high court concluded that the letter "defined 'at-will,' and contained no ambiguity, obvious or concealed, in its termination provisions," dismissing those causes of action.

It is advisable to have legal counsel review your offer letters in order to preserve protection from claims that may be made years later, as in the Dore case.

Back to Top

 
People Management

Summer Hires and Child Labor Laws

With the summer vacation period rapidly approaching, employers will be receiving an increase in applications from students seeking temporary employment. Some of these students are considered "minors," whose working conditions and hours are regulated by state and federal laws. In some instances, the state or federal law will ban the employment of minors entirely.

Teen Summer Hire

Permits
A Work Permit will be required prior to employing a minor, even during the summer vacation, unless the minor is a high school graduate or has a certificate of proficiency. Federal and state occupational restrictions are such that in most cases, minors must be at least 14-years old to begin working. The permit contains the maximum number of hours a minor may work in a day, range of hours during the day, occupational limitations and any additional restrictions imposed at the school's discretion.

A Permit to Employ is the employer's copy of the work permit and expires five days after the opening of the next succeeding school year. It must be renewed to continue employment.

Occupational Restrictions
Minors under the age of 18-years old are restricted in any occupations declared by the Secretary of Labor to be hazardous. The complex and lengthy regulations are set forth in Title 29 Code of Federal Regulation Part 570, Subpart E. You should consult your specific state regulations for additional information and statutory restrictions.

Back to Top

 

EEOC Rules and Regulations
Interview Questions You Can't Ask
 

Job Interview Questions

Before you make a hiring decision, it is natural to want to know as much as you can about the candidates you're considering. And you have a legal right to know about them, as long as what you ask is job-related and not personal. Even if a candidate's availability and fitness for the job hinges on personal issues, you still cannot ask about them. Is there a set of questions that gets the information you need but doesn't trespass on applicants' personal lives?

We recently found an informative list located at the Web site HRWorld.com. Here are a few inappropriate—and, in some cases, unlawful—questions they highlight that you cannot and should not ask of prospective employees:

  1. Are you a U.S. citizen?
    What you really want to know is, can the applicant legally work in the U.S., so the question to ask is, "Are you authorized to work in the U.S.?"

  2. What is your native language?
    This sounds like a quick way to judge fluency in a language, but it can appear discriminatory, so ask (assuming fluency is important to the job), "What languages do you read, speak, or write fluently?"

  3. Which religion do you practice?
    You might ask this to discern if the candidate will be available to work nights and weekends, but asking about religion is clearly discriminatory, says HRWorld.com. The same problem exists in asking, "What holidays do you observe?" Instead, ask the more relevant question, "Can you work according to our established work schedule, which is ...?"

  4. What is your age?
    That's another question that just slips off the lips but one that can set up an age discrimination issue down the road. However, you may ask, "Are you legally old enough to work in this job?"

  5. Do you have any disabilities that would interfere with doing this job?
    The Americans with Disabilities Act prohibits employers from asking about disabilities (and also asking questions that would tend to elicit information about a disability, including inquiries about history of sick leave, hospitalization, and so on). Questions should be limited to asking whether the applicant can perform the essential functions of the job, with or without reasonable accommodation.

  6. Have you ever been arrested or convicted of a crime?
    Questions about arrests should be avoided, because an arrest does not prove any wrongdoing. You may ask about convictions. However, it is generally wise to note that a conviction is not necessarily a bar to employment, unless you have a business necessity justification for turning down applicants. For example, a retail employer could reject applicants who had theft convictions on their records.

  7. Do you have or plan to have children?
    This seems like innocent conversation, but it's setting you up for a discrimination lawsuit. You might be especially tempted to ask this question for a position that involves working with children, but even then it's a no-no. Instead, ask, "What experience do you have working with children?"

  8. Can you get child care easily so that you can travel on short notice?
    Again, don't ask about children and child care. You can get the answer to this question by simply describing your requirements: "The person in this position often has to travel to outlying facilities with only a day's notice. Can you meet that requirement?"

  9. Tell me about the organizations you belong to.
    Again, this appears to be an innocent question, but it's not. The question tends to elicit information about the applicant's religious, racial, or ethnic affiliation, and that's information you don't want, and legally can't have. A better question: "Tell me about any memberships or organizations that contribute to or affect your ability to do the job."

Back to Top

 
Vision Monday
 
 
In This Edition...

Article It's Your Business
Planning Now for Summer Vacations

Article From the Top
Spelling Out Terms and Conditions Through Job Offer Letters

Article Ask the Experts
Defined Contribution
Pension Plans

Article Healthcare Trends

 People ManageArticlement
Summer Hires and Child Labor Laws

ArticleRules and Regulations
Interview Questions
You Can't Ask

ArticleResource Corner
Links to Important Resources

 

The monthly update about day-to-day management issues for optical ECPs and retailers.

b Print this issue of Business Essentials.

Subscribe to our other
e-newsletters:
b VMail Extra
b Lab Advisor

 
Vm WebTV
Resource Corner

Easy-reference to Web resources about human resource policies and rules
Business Essentials

Facts from EBRI

Dore vs. Arnold
Worldwide Inc
.

Employment of Minors

Title 29 Code of
Federal Regulation
Part 570, Subpart E

HRWorld.com

The Americans with Disabilities Act