Important changes in the US employment law are set in motion for 2024. Businesses need to be aware of these changes which range from minimum wage adjustments to workplace safety standards. It will impact how field services employers operate and how employees are protected. Businesses must understand and adapt to these changes to ensure they comply with the evolving employment regulations.
In the field services industry, employment law compliance serves as the linchpin for ensuring fair, safe, and equitable working conditions. Adhering to employment law not only safeguards the rights and well-being of workers but also helps businesses cultivate a positive and productive work environment. For your business, it translates into higher retention rates.
Additionally, it fosters a culture of accountability, enhancing employee morale and loyalty. Compliance with these laws helps avoid legal repercussions, fines, and reputational damage, ensuring long-term sustainability and success in the field services industry.
Ultimately, by prioritizing employment law compliance, businesses in the field industry can build a foundation for operational excellence, employee satisfaction, and regulatory integrity.
By adopting a field service management software, adherence to employment law and any subsequent changes becomes effortless.
Many states are witnessing changes in employment law in the coming year. In this blog post, we will discuss three such major changes, what impact they may have on your business, and how you can make these changes smoother.
Employment Law Change #1- Paid Leave for All Workers
Illinois has become the third state, following Maine and Nevada, to mandate that employers offer employees accrued paid leave that can be used for any reason. Commencing on January 1, 2024, the Paid Leave for All Workers Act (2023) stipulates the requirement of at least one hour of paid leave for every 40 hours worked, with a maximum cap of 40 hours within 12 months.
The Illinois Department of Labor (ILDOL) is tasked with establishing administrative and enforcement rules and furnishing a model notice for changes in employment law.
Covered employers, in addition to providing paid leave and establishing 12 months, must comply with posting and recordkeeping requirements.
- Covered employers must maintain records for each employee, including hours worked, paid leave accrued and taken, and paid leave balance.
- These records must be kept for a minimum of three years and the duration of any claim involving the employer’s non-compliance with the law.
- Employers are required to make the amount of an employee’s paid leave accrued or used available upon the employee’s request.
Here, it is important to note that you can make parallel changes in the way your business works to make compliance smoother. For recordkeeping, continuing with the traditional pen-and-paper will only prove to be an obstacle.
Engaging in manual processes for tasks like time and attendance can be both- prone to inaccuracies and financially burdensome. Particularly if employees fail to submit them promptly or with precise hours, this challenge compounds.
When running a business without accurate information about employee activities, law compliance can be challenging. For instance, it becomes challenging to determine if an employee arrived late at a job location or completed a task within the designated time frame.
With contemporary time tracking solutions, businesses gain immediate access to all necessary information. These solutions provide real-time insights into employee arrivals and departures from job sites, eliminating the need for employees to submit timesheets manually. The automated recording of such data ensures accuracy and efficiency in workforce management.
An innovative time and attendance app proves instrumental in enabling businesses to efficiently monitor employees, automate time tracking, and eliminate the need for manual punch-ins or timesheets.
Employment Law Change #2- Washington minimum wage
Exciting changes await Washington State employers in 2024, with significant developments set to unfold. Commencing on January 1, 2024, Washington’s minimum wage is slated to increase to $16.28 per hour, reflecting a 3.4% uptick from the previous year.
This change positions it as the highest statewide minimum wage across the nation.
Effective January 1, 2024, the minimum annual salary threshold for exempt employees across Washington State will see an increase.
Both large employers (with more than 50 employees) and small employers will be required to adhere to a minimum annual salary of $67,724.80 for most employees, a figure set at two times the new minimum wage.
- Employers are strongly advised to assess the compensation of any exempt employee currently earning less than $67,724.80 annually.
- Those falling below the 2024 threshold must either receive raises by no later than January 1, 2024, or be transitioned to hourly employees, necessitating the provision of meal and rest breaks along with overtime eligibility.
In such a scenario, calculating time spent on the field and during breaks is important. This way, there will be no discrepancy in payment for overtime or hours not worked.
A workflow automation software can streamline the process. Reports on time and attendance often need adjustments before being sent to Payroll or HR due to errors or missing details.
When employees forget to check out or check in late at a job site, supervisors can manually fix the data for job costing reports. With a time tracking solution, there will only be a few instances that will require manual editing since most of the information will be captured automatically.
Employment Law Change #3- California Employment Law
This California legislative session witnessed the introduction of over 2,600 new bills, marking the highest quantity in more than a decade. Unless specified otherwise, bills that successfully transition into law are expected to take effect on January 1, 2024.
Notably, several pivotal bills focus on employment law, covering areas such as the expansion of paid sick leave, rights for remote workers, and measures addressing wage theft.
- Raise the minimum wage for all healthcare workers at covered healthcare facilities in California. Starting June 1, 2024, the bill would require a healthcare worker minimum wage increase to $21 per hour with a subsequent increase to $25 per hour starting June 1, 2025.
- For healthcare workers paid on a salary basis, they must be paid no less than 150 percent of the healthcare worker minimum wage.
- Covered healthcare employment would include all work performed on the premises of any covered healthcare facility and all paid work providing healthcare services performed for any person that owns, controls, or operates a covered healthcare facility, regardless of work location.
The US is set to witness major changes in employment law. Above mentioned are only a few of the states that have passed laws. As 2023 approaches an end, we may witness other federal law changes too.
In navigating the employment law set to take effect in 2024, leveraging a field service management software becomes a cornerstone for businesses aiming at seamless compliance.
Implementing Illinois’ Paid Leave for All Workers Act requires a shift to modern time tracking solutions for meticulous recordkeeping, posing challenges in administrative adaptation and cultural change.
Similarly, the Washington minimum wage increase to $16.28 per hour presents challenges in adjusting compensation for exempt employees. It necessitates careful calculations and potential transitions to hourly status.
California’s extensive legislative changes also require adapting to new employment law. It includes increased minimum wages for healthcare workers, expanded paid sick leave, and rights for remote workers, requiring employers to navigate complex compliance issues and budgetary adjustments.
Solution software such as a GPS time clock app plays a pivotal role in reducing discrepancies surrounding hours worked, ensuring precise adherence to regulations.
allGeo, with its integration capabilities with third-party apps like ADP can prove to be a holistic solution for further adjusting payroll discrepancies. This integration not only facilitates the seamless incorporation of legacy data but also streamlines the entire payroll process.
As businesses brace for legislative changes, embracing advanced automation tools becomes not just a necessity but a strategic advantage, enhancing accuracy, efficiency, and overall compliance in the evolving landscape of employee laws.