Why I Hate Fireworks – and What That Has to Do With Employee Benefits
Posted by Lexi Ruben in General on July 1st, 2009
Before I get accused of being unpatriotic, let me qualify that statement: I don’t like the kind of fireworks that you set off on your street (or in your garage, if you’re one of those unintelligent people who tries to fiddle with Piccolo Petes to make them explode – which they usually do, in your hands). I love fireworks in the sky (the Anaheim Angels have a GREAT show after every Friday home game). The kind that you set off yourself, though? They’re noisy, they smell bad, and for some reason, people have a tendency to continue setting them off for weeks after July 4th at 2:00 am, even in places where they are illegal. Not to mention the fact that:*
- In 2007, there were 9,800 fireworks-related injuries treated in emergency rooms in the U.S.
- 92% of those injuries were caused by legal, “safe and sane” fireworks
- Over 10% of those injuries were caused by sparklers
- Another 10% were caused by firecrackers and rockets
- In 2006, there were an estimated 32,600 fires that were started by fireworks, resulting in death, injury, and $34 million in property damage
So what does my soap box on fireworks have to do with employee benefits? Well, one could surmise that encouraging your employees to take their families to one of the many public fireworks shows in the U.S. will save you money on health care – because you’re not paying for injuries that may have occurred if they had set off their own fireworks. It will also decrease absenteeism caused by injuries to themselves or family members. By now, you should be encouraging your employees to make healthy decisions for themselves and for their families – this is just another healthy decision.
Here are just a few of the public fireworks shows planned in California. You can find the ones in your area with a quick Internet search.
Southern California:
- Fireworks Shows in LA County
- Fireworks Shows in Orange County
- Fireworks Shows in Inland Empire
- Fireworks Shows in San Diego County
Northern California:
- Fireworks Shows in San Francisco Bay Area
- Fireworks Shows in East Contra Costa County
- Fireworks Shows in West Contra Costa County
However, if you must purchase your own fireworks, please buy from a State Fire Marshal-Approved Fireworks (Safe and Sane) stand, which are up in over 270 communities in California. These stands are all run by non-profit groups, like school booster clubs and organizations for children, like Boys and Girls Clubs. Purchasing fireworks from these booths helps these organizations where donations and other private funds are not enough.
*National Fire Protection Association, www.nfpa.org
Flash Alert: Current Form I-9 Remains Valid After June 30, 2009, and Labor Condition Applications Must Be Submitted Through iCERT Beginning July 1, 2009
Posted by Lexi Ruben in General on June 30th, 2009
USCIS Issues Guidance on Employment Eligibility Verification Form
From the USCIS Website:
WASHINGTON—U.S. Citizenship and Immigration Services (USCIS) announced today that the Employment Eligibility Verification form I-9 (Rev. 02/02/09) currently on the USCIS Web site will continue to be valid for use beyond June 30, 2009.
USCIS has requested that the Office of Management and Budget (OMB) approve the continued use of the current version of Form I-9. While this request is pending, the Form I-9 (Rev. 02/02/09) will not expire.
USCIS will update Form I-9 when the extension is approved. Employers will be able to use either the Form I-9 with the new revision date or the Form I-9 with the 02/02/09 revision date at the bottom of the form.
For more information on USCIS and its programs, visit www.uscis.gov.
Reminder: New Labor Condition Application Becomes Mandatory on July 1, 2009
Beginning July 1, 2009, the US Department of Labor will require that every Labor Condition Application (LCA) be filed through the new iCERT Internet portal. Under the new system, DOL expects that it will take up to seven days to certify an LCA. (Under the current system, certification generally takes a few minutes.) Therefore, we recommend that employers factor in at least an additional week to process the LCA, which is a pre-filing requirement for every petition for H-1B, H-1B1 and E-3 classification.
Source: Proskauer Rose LLP
Carnival of HR is Up at Inflexion Point
Posted by Lexi Ruben in General on June 24th, 2009
The Carnival of HR is up at Inflexion Point, and one of our blog postings is the very first one! It was written by our very own Lexi Ruben (that’s me! Not sure where he got the spelling for my name, but I promise not to go 19-email crazy on him for it). Anyway, check it out, there’s a bunch of great posts in there by HR bloggers.
SEC/DoL Target Date Hearing has finally come to Pass
Posted by Bernie Wong in Retirement on June 23rd, 2009
In the last Retirement blog, we posted that the SEC and DOL were set to hold a hearing evaluating target date funds on June 18th. While there were many who surmised a potential and seismic shift in the retirement world, what came out of the hearing was much more subdued. The hearing consisted of nine panels, over 40 witnesses and multiple testimonies. As Rebecca Moore of planadviser.com stated, the most common theme of the day was that “target dates are useful, but flawed”.
Target date funds are viable options for plan participants with limited time to research plan fund options or limited investment knowledge to select individual funds. Target date funds offer a simpler solution of using a glide-path asset allocation strategy which matches up to the participant’s target retirement date. However, the hearing showed that is much more difficult in practice. Joseph C. Nagengast, of Target-date Analytics said, “There is some theoretical rationale for employing a glide path throughout the accumulation phase. No credible rationale has ever been proffered for using a glide path in the distribution phase”. However one point was made clear, there should be no regulations on how one invests in target date funds. “In the 70-year history of mutual fund regulation, the government has never regulated the investment choices of mutual funds. Nor should it start now,” said ICI General Counsel Karrie McMillan. The largest fear of placing restrictions on investment choices for target date funds is that it would cripple the fund manager’s ability to rebound from losses, as well as hinder the fund’s long term objectives.
While the hearing did touch on what’s wrong, many testimonials did mention ways to help improve target date funds. Nagengast suggested a need to focus on “the name of each fund (that) must bear some relationship to the way the fund is managed, that is, its glide path” and how “the glide path must be designed to provide for a predominance of asset preservation as the target nears and arrives”. Other suggestions include disqualifying target date funds as a Qualified Default Investment Alternative, offering full disclosure, education programs, and education targeting soon-to-be retiree programs. In the end, the DOL and SEC will gather all the data to try and address any future regulations. However, by the sound of it, what was once thought as a doomsday event for target date funds, now seems to be much-ado-about-nothing.
For more information:
Missing the Targets by Steven Syre (Source)
Financial Planners urge Fedl Standard for Target Date Funds by Darrell A Hughes (Source)
U.S. Urged not to Tamper with Target Date Funds by James Pethokoukis (Source)
Target-Dates Useful but Flawed, Witness Tell SEC and DoL by Rebecca Moore (Source)
Homeopathic Alternatives – Do Your Homework!
Posted by Lexi Ruben in Health Care on June 22nd, 2009
As a follow-up to my recent post on doing your homework on prescription drugs, it’s time to talk about the non-prescription, homeopathic, or alternative “remedies” that are so popular nowadays.
The AP analyzed FDA side effect reports, and has found that many homeopathic remedies are, at best, mostly worthless, and, at worst, potentially harmful. Take, for instance, the example presented on Zicam Cold Remedy Nasal Gel and Nasal Swabs, which may have caused anosmia (loss of one’s sense of smell) in hundreds of people.
Why did it take so long for information like this to come to light? Federal checks for safety, effectiveness, or ingredients are not required for homeopathic remedies. How can this be, you ask? Well, in 1938, a trained homeopath and senator, Royal Copeland, managed to pass a law that gives homeopathic remedies the same legal status as pharmaceuticals, and the law has been in place ever since.
The AP found out many things about homeopathic remedies, including the fact that many can have as much as 10% alcohol or more. Homeopathic remedies, of course, don’t have to meet the FDA’s strict limits on alcohol in medicines. Other homeopathic remedies are derived from prescription drugs or poisons like strychnine, snake venom, and arsenic. Talk about selling snake oil!
This blog post is not meant to strike fear into the hearts of readers. Rather, it’s to further highlight the need of people to DO THEIR HOMEWORK. For example, we all want our colds to go away faster; however, many scientists and doctors have shown that taking homeopathic remedies that claim to make colds go away faster don’t actually work. It’s actually better to stick to your mom’s and grandmother’s remedies – lots of (preferably hot) liquids and lots of rest. Chicken soup actually does have many healing qualities (and as far as I know, no one has ever lost their sense of smell by eating chicken soup!).
Remember, when it comes to your health, you are the only one who knows your body – and you’re also the only one who has to live in that body. It’s good to explore all options, just make sure that no matter what option you’re exploring – be it on the advice of a medical doctor, a homeopath, or your mom – do your research. Make sure that you’re not the victim of a snake oil salesman.
Related article: AP IMPACT: Zicam not alone in side effect reports
The Importance of Polite Communication – No Matter What Kind of Day You’re Having
Posted by Lexi Ruben in Benefits Communication on June 18th, 2009
As an HR or employee benefits professional, you no doubt have to deal with people all day long. You have to answer the same questions over and over, and you are probably expected to do it with a smile on your face. Even when it comes to firing someone or laying someone off, you are expected to try to make the situation as painless as possible for all involved (I’m assuming; I’m not actually in HR, but being in the industry, this is what I have picked up).
So when I read the story of the scheduler for a congressman in Washington, D.C., who flipped out when someone called her Liz instead of Elizabeth (and I mean FLIPPED – 19 emails on the subject), it reminded me that many people take communication these days for granted. It seems rare for people to just pick up the phone anymore, since email is seen as so much easier. Email, though, is also far less personal. And therefore, it is easy for people to misinterpret the meaning behind the words.
We all know that it’s important to be careful with email. Not only does it last forever, it can also get into the wrong hands (remember the last time someone accidentally hit “reply to all”?) – like, say, a reporter who goes and posts not only your 19-email diatribe, but also your full name. While I disagree with the scheduler’s reaction to what appeared to be an honest mistake, I feel bad for the fact that being a federal employee makes her information that much easier to get. You only have to read a few of the comments to realize that this woman is probably getting hundreds of mean-spirited emails and phone messages. All because she didn’t stop to think about the consequences of her knee-jerk reaction to being called by a nickname.
So the next time you receive the 50th email asking about vacation time, paychecks, or the HMO plan, don’t send back the first thing that jumps into your head (“As I’ve said 50 times already, it’s all in the employee handbook!”). Take a deep breath, smile (remember that old saying that people can hear your smile through the phone? I think it works with email as well), and remember that you don’t want to be like the person whose bad day turned into an Internet phenomenon.
Related article: http://www.politico.com/blogs/anneschroeder/0609/No_namecalling.html?showall
And please, if you read the article above, refrain from doing what many of the comment-writers appear to be doing, which is harassing this woman with unnecessary and mean emails and voicemails.
Prescriptions – Do Your Homework
Posted by Lexi Ruben in Health Care on June 10th, 2009
I just finished reading an article from the June issue of SELF Magazine, Bad Bargain: The Dangers of Generic Drugs. The article discusses some hidden dangers of generic drugs, from bad reactions to poor manufacturing processes to a failure on the part of the FDA to properly regulate. I have two thoughts around this article.
First, I myself once had an incredibly bad reaction to a generic drug. The mail order pharmacy I used switched one generic for another (my prescription was for generic A and for some reason, they instead sent me generic B). I had never had any problems with generic A, but generic B caused severe side effects that I had not experienced with generic A. I called the pharmacy and they very nice lady immediately sent out a replacement of generic A. Could this have happened with a brand name drug? Absolutely. It just goes to show that there are differences between all drugs, and it’s important for you to know your own body and do your homework. You can’t expect doctors or pharmacists to know how you are going to react to a specific drug. A year later, when it was time for a new prescription, the pharmacy once again substituted generic B (I don’t know why there was no note in the file not to do so, but there wasn’t). I immediately called and they sent out generic A.
Several of the stories in the article talk about people who went through side effects for months, saw multiple doctors, and never once mentioned that their prescription had been substituted. You can’t expect your doctor to magically know the answer to the problem – if you have side effects that you didn’t have before, TELL YOUR DOCTOR.
Second, in a perfect world, the FDA would be able to test each and every pill before it reaches the patient’s mouth. Unfortunately, as we all know, we don’t live in a perfect world. Do your research. Generics are a great way to save money. There are many websites that allow you to compare brand name drugs with their generic alternatives. When your doctor prescribes a drug, ask about generics. He or she may be able to suggest generics, or may want you on a brand name for a specific reason. Also, when researching generics (and brand names, for that matter), go online and do some research. Not just the company’s website; look for other places where the company is mentioned. For example, in this article, Ranbaxy Laboratories ended up being the subject of a huge FDA investigation. That’s the kind of information you won’t find on the company’s website.
The comments to the online article are interesting. Several people are telling their own personal horror stories, while others pose their opinions on why much of the research in the article is wrong. Either way, one thing is clear: WHEN IT COMES TO YOUR HEALTH, DO YOUR HOMEWORK. The only one who is going to know for certain how a drug affects your body is YOU. Don’t expect your doctor, your pharmacist, or the FDA to have all the answers. The best way to save money on health care is to be a good consumer. It may take a little extra time, but it can have a big pay-off, both physically and fiscally.
EBSA and SEC to Hold Hearing Regarding Target Date Funds
Posted by Bernie Wong in Retirement on June 8th, 2009
On June 18th, the Employee Benefits Security Administration and the SEC will hold a one day hearing that focuses on target date funds. According to the agency, “the hearing will focus generally on issues facing investors in these types of products, and will explore topics such as portfolio composition, risk, and disclosure.”
The hearing is partly a response to the performance of the 2000 – 2010 target date funds. As of 3/31/09, the average 1 year performance for 2000 – 2010 target date funds was down 24.67%. In theory, the composition of the funds should be more conservative the closer to the target retirement date. This hearing will address how and why target date funds have such high average negative returns.
In addition, the hearing is also a follow up from last February where the Department of Labor issued a regulation from last year that allowed target date funds to be used as the qualified default investment option (QDIA) for plans. However, the hearing did not address any “requirements regarding the composition of target-date funds and the appropriate ratio of stocks and bonds as the fund nears its target”. What is to stop a manager from investing 80% in equities and only 20% in bonds for a 2010 target date fund? Hopefully what comes out from the hearings are guidelines for plan sponsors to review their target date funds and see if they fit the plan’s goals.
For more information, please go to http://www.planadviser.com/compliance/article.php/4333
Social Media in Employee Communication: What the Tweet?
Posted by Lexi Ruben in Benefits Communication on June 3rd, 2009
I recently attended an educational workshop on how to network (presented by the owners of the non-profit BreakThrough Networking, Inc., who were great), which, funny enough, is the first how-to session I’ve ever attended on networking. Everyone always tells you how important networking is, but no one actually tells you how to do it. Being an introvert, I’m not very talented at walking up and starting a conversation with someone I don’t know.
Now, of course, it’s much easier to connect with people through all these social media sites. Facebook, LinkedIn, even Twitter, are becoming so common that not being on these sites is considered a social and/or professional faux pas.
I never did join MySpace or Friendster or any of those, but I was finally convinced to enter the new millennium (yes, I’m a little behind my contemporaries – being on the tail end of Generation X, I should have been on all of these sites years ago; but alas, I’m apparently a late bloomer) and join Facebook. Shortly after, Facebook launched their Pages, which I think is great way for companies like ours – B2B service companies that are not marketing to teenagers – to get our name out there in a new, modern, techno-savvy way. Plenty of our employees are on Facebook, as are many of our clients, and isn’t bringing all of these people together the point of social media?
Now, I can understand the corporate communication benefits of blogs, Facebook, LinkedIn, and the like, but Twitter? One of the presenters at the workshop mentioned that he heard a social network expert say that companies should go in and squat on Twitter (grab their company names) so that when Twitter becomes the major source of corporate communications in the next few years, they’ll already have the names. I don’t know about you, but when I think of Twitter, I think of celebrities who share way too much personal information about their lives with the world. I don’t think of CEOs or HR departments communicating with their stakeholders (although I have heard that there are some who do). Is this really where corporate communications are headed?
My fear is that employee communications are difficult enough – getting your employees to truly understand what it is you’re trying to communicate, whether it be a benefits package, company finances, or big news (good or bad). For those of us who spend the majority of our time trying to design communications that are effective and can be understood clearly – now we’re supposed to openly accept a tool that only allows you to use 140 characters at a time? Are we becoming so ADD as a society that we can’t take the time to read a full blog posting or an employee memo? No wonder nearly 50% of employees read only what is needed to enroll (or don’t read any enrollment communications at all). Someone else at the workshop said that she doesn’t even read blogs anymore because she relies on Twitter so much. I know that you can post links in your ‘tweets’ to direct your readers to further information, but if the way of the future is shorter and shorter communications, how are we ever going to be able to guarantee that people are going to take the time to read the “further information?”
I’m not saying Twitter is bad. But as a communications professional, I shrink from this form of technology as a form of mass corporate communication in a world where people far too frequently base opinions and decisions on too little information. If we’re encouraging people not to read the fine print, we’re never going to be able to get our real point across.
What do you think? Are you ready to accept social media as your main form of corporate and employee communication, or do you think that certain forms – such as Twitter – are trends that are going to fly south permanently?
Employee Benefits RFP: The Necessary Evil
Posted by Lexi Ruben in Benefits Communication on June 1st, 2009
In the June 1 issue of Employee Benefit News, Patrick J. Haraden discusses how employers should streamline their RFP (Request for Proposal) processes in order to get better results (note: click on the Current Issue to get to the article). His tips are in reference specifically toward health care insurance vendors, but the ideas presented work well for any RFP process. Having just finished three RFPs that were due in the last two weeks, I agree whole-heartedly with Mr. Haraden’s thoughts.
The RFP is a necessary evil. You need RFPs in order to determine who the best partner is for you (in our case, of course, that would be the best employee benefits consultant/broker). Unfortunately, most RFP responses tend to look the same and I can only imagine what a daunting task it is for those folks whose job it is to read through the numerous 60-page responses (not including the sometimes 100-200 pages of exhibits and appendices!). It isn’t until the finalist presentations and the face-to-face meetings that you’re really going to get a sense of whether or not we’re going to be a good partner for you.
I work with the members of the sales team to put together responses to RFPs, and I have completed a large number of these over the last several years (at least a few dozen). Using my experience, I would like to make some suggestions of my own, on top of Mr. Haraden’s, to make this process easier for all involved:
- You would not believe the number of RFPs that are sent out without specific instructions as to how the firm would like to receive the responses. Please tell me if you want a copy emailed, or if you need 5 hard copies. I’m happy to provide either, but I need to know what you want.
- If your deadline is the Friday before a holiday, please tell me if your office will be closing early (or won’t be open at all). If you’re deadline is 5pm, but no one will be at the office past noon, I need to know that.
- Review your questions. Many RFPs ask the same questions multiple times and in multiple ways. This may not be the most efficient way of getting to the information you really want.
- Give us enough time to really respond to your questions, especially if you are issuing a long, complex RFP. One week is not enough time. Ever. Two weeks is the minimum, but 3-4 weeks is best. We want to be able to take the time and really delve into the questions and show you how great we are. Ideally, you should have a thorough timeline in place that includes preparing the RFP, issuing the RFP, allowing time for questions, due date, finalist selection and meetings, and final selection of winner. Also, in this timeline, make sure you leave enough time for your new vendor/partner to actually implement the plan. If you want your new plan to be effective, it needs enough time to be implemented correctly.
- Know what your key focus areas are. Provide information on your current plans, employee demographics, locations, etc. The more info we have about you, the better information we can provide.
In short, plan ahead. Those of us who really want your business are going to take the time to give you a great proposal. Make sure that you’re getting what you want and need out of the process.
Having never personally been on the other side of the RFP table, what are some tips that you have for potential vendors who are responding to RFPs?
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