© 2019 SHRM. All Rights Reserved

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© 2019 SHRM. All Rights Reserved

HR Florida: Washington Outlook

& HR Policy Update

Presented by

Bob Carragher

Vice President, State Strategy & Engagement

SHRM

Robert.Carragher@shrm.org

March 27, 2019

© 2019 SHRM. All Rights Reserved

Today’s Agenda

▪ The State of the Nation

▪ Make-up of the 116th Congress - What It Means

▪ SHRM’s Public Policy Priorities in 2019

▪ State Legislative Trends

▪ SHRM A-Team Update

2SHRM 2019

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State of the Nation

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RCP Poll Average

President Trump’s

Job Approval

Source: Real Clear Politics, February 14, 2019

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116th Congress: Senate

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116th Congress: House

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House Freshman Class

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Trend of Women Serving in Congress

Government Back on Top as Nation’s Leading Problem

8SHRM 2019

More Women in the House and Senate

Source: US House of Representatives, Office of the Historian

Graphic: JoElla Carman, CNN, November 28, 2018

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Key Congressional Leaders

Government Back on Top as Nation’s Leading Problem

SHRM 2019 Graphics provided by National Journal December 2018

U.S. Senate Leaders U.S. House Leaders

Majority Leader

Mitch McConnell (R-

KY)

Majority Whip

John Thune (R-SD)

Conference Chair

John Barrasso (R-WY)

Minority Leader

Chuck Schumer (D-NY)

Speaker

Nancy Pelosi (D-CA)

Majority Leader

Stenny Hoyer (D-MD)

Majority Whip

Jim Clyburn (D-SC)

Minority Leader

Kevin McCarthy (R-CA)

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RCP Poll Average

Political Leaders in Congress

Source: Real Clear Politics, March 25, 2019

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Better Workplaces Better World

▪ Scheduling and employer flexibility requirements

▪ Overtime

▪ Sick leave mandates

▪ Social insurance program

▪ Employer paid leave requirement

▪ Paid leave from Social Security

▪ FMLA improvements

▪ Tax credits

▪ Work Visas (H and J)

▪ E-Verify

▪ Trusted Employer program

▪ DACA

▪ Employer educational assistance

▪ Untapped talent pools: older workers, individuals with disabilities, formerly incarcerated

▪ Apprenticeships and job training

▪ Health Care

▪ Sexual Harassment

▪ Compensation equity

SHRM 2019 Priorities

Workplace EquityWorkplace Flexibility & Leave

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© 2019 SHRM. All Rights Reserved

Expand Employer Provided Educational Assistance

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• Expands Section 127 of the Internal Revenue Code to include student loan repayment as a type of tax-free education assistance.

• Bipartisan bill was introduced in the House by Representatives Scott Peters (D-CA), Rodney Davis (R-IL), Elise Stefanik (R-NY), Earl Blumenauer (D-OR), Tom Cole (R-OK), Stephanie Murphy (D-FL) and Jason Smith (R-MO).

• SHRM is leading the coalition on this legislative effort.

H.R. 1043 / S. 460, The Employer Participation in Repayment Act

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SHRM Partnership with Jobs for America’s Graduates

(JAG)SHRM-JAG partnership to address workforce

development and invest in high school students to

help them become college and career ready. The pilot

goal is to develop engagement opportunities

between SHRM members and students to prepare

them for the workplace.

Pilot program in…

o 7 states: Alabama, Indiana, Iowa, Kentucky, Michigan, Missouri, and New Hampshire

o 7 SHRM State Councils / 17 SHRM Chapters participating

o 32 JAG programs at 29 high schools

o Reaching over 1,200 students

Gov. Chris Sununu with NHSHRM members

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• Chaired by Secretary of Commerce, Wilbur Ross and Presidential Advisor, Ivanka Trump with 25

members who are a mix of industry associations, education representatives, union

representatives, CEOs of US business, state governors, and representatives of HR.

• SHRM CEO Johnny C. Taylor, Jr. appointed to the Board.

• The Board will focus on all aspects of workforce development. SHRM will have a specific focus

on improving hiring practices to focus on competencies and otherwise better align employer’s

skill needs with qualified job seekers.

American Workforce Policy Advisory Board

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• Provide advice and recommendations to the

interagency National Council for the American

Worker on ways to encourage the private sector

and educational institutions to combat the skills

crisis by investing in and increasing education

and training.

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9 Years Ago Yesterday, President Obama signs

the Affordable Care Act into Law

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Paid Family Leave at the National Level

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11 states + D.C. currently require paid sick leave

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5 states + D.C. currently require paid family leave

MA law – premiums collected July 2019 / benefits Jan. 2021

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S. 463 / HR 1185, the Family and Medical

Leave Insurance Act (FAMILY Act)

• Provides workers with 12 weeks of paid leave for same purposes as the FMLA

• Workers on leave would receive up to 66% of regular wages, up to $1,000/week

• Eligibility tied to SSDI eligibility, not FMLA firm-specific approach (i.e. 50 or more

employees), but must also have income from employment during prior year, so part-time

workers would be eligible

• Does not include job protection

• Financed through joint payroll contributions of 0.4 percent

evenly split between employers and employees

• Does not preempt or supersede state law

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CRADLE Act

• Plan was unveiled by Senator Mike Lee (R-UT) and

Senator Joni Ernst (R-IA).

• This legislation is the Republican alternative to paid

family leave.

• The bill would allow natural and adoptive parents to

receive one, two, or three months of paid leave

benefits in exchange for postponing activation of

Social Security retirement benefits for two, four, or

six months.

• Benefit would be calculated using existing Social

Security Disability formula.

© 2019 SHRM. All Rights Reserved

Paid Family Leave at the National Level

From a Congressional

Research Service Report on

“Paid Family Leave in the United

States” – Updated September

12, 2018 by Sarah A. Donovan,

Specialist in Labor Policy on

benefit provide by Organization

for Economic Co-Operation and

Development (OECD)

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Section 541 of the FLSA: Overtime Regulation

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• On March 7th new overtime rule released and had several of the

recommendations SHRM advocated during the Obama

Administration.

• Raises the salary threshold to $35,308 using ’04 methodology.

• Raises threshold to $147,414 for “highly compensated

employees”.

• Does not implement automatic updates, or changes to duties

test.

• Would allow nondiscretionary bonuses and incentive payments.

© 2019 SHRM. All Rights Reserved

© 2019 SHRM. All Rights Reserved

• Creates a first-come first-served employment green card system with elimination of the employment green card per country limit.

• Reintroduced by Senators Mike Lee (R-UT) and Kamala Harris (D-CA) and House Judiciary Immigration Subcommittee Chairwoman Zoe Lofgren (D-CA) and Ranking Member Ken Buck (R-CO).

• SHRM will send a letter of support for this bill.

The Fairness for High-Skilled Immigrants Act

(S. 386/H.R. 1044)

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• Repeals the I-9 paper-based system to create a fully electronic employment verification system.

• Mandates all employers to use the E-Verify system.

• Sponsored by Rep. Ken Calvert (R-CA).

• SHRM has supported this bill previously, but has not sent a letter of support at this time, as it is unlikely to move or garner bipartisan support.

The Legal Workforce Act (H.R. 250)

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More Than 10%

of U.S. Employers

Use E-Verify

Workplace Immigration

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© 2019 SHRM. All Rights Reserved

The Paycheck Fairness Act

(S. 270/H.R. 7)

• Introduced by Senator Patty Murray (D-WA) and Rep. Rosa

DeLauro (D-CT).

• The bill’s aim is to make it easier to penalize companies for

disparity and to protect employees who disclose their pay.

• SHRM has opposed this bill previously because it would

outlaw many legitimate practices that employers currently use

to determine compensation and benefits, such as

professional experience, shift differentials, years of

experience, geographic location, etc.

• The full House of Representatives is scheduled to vote on

H.R. 7 later today. Reminder: Equal Pay Day is April 2.

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Sexual Harassment

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Source: SHRM Harassment-Free Workplace Series: A Focus on Sexual Harassment, January, 2018

While Organizations Renew their Focus on Sexual

Harassment Prevention, Employees are Still

Unfamiliar with Workplace Policies

Sexual Harassment

Prevention Policies

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HR Issues in the States

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▪ Ensures the voice of HR is heard by

policy decision-makers via a “local

network”

▪ Helps inform legislators of policy

impacts upon employers and

employees in her/his district

▪ SHRM members are constituents who

develop credible and influential

relationships with elected officials

10,500+ Active A-Team Members

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Member Advocacy

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Through

advocacy.shrm.org:

▪ Immediately take action

on alerts

▪ Easily connect to your

Members of Congress

▪ Sign up for the SHRM

A-Team

▪ Quickly submit

lawmaker engagement

feedback online

▪ Stay up-to-date on

legislative and agency

proposals impacting

the workplace - and

more!

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© 2019 SHRM. All Rights Reserved

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Robert.Carragher@shrm.org

+1-703-535-6268 Direct

Contact Information

Bob Carragher, Vice President, State Strategy & Engagement

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