HR MATTERS - Fall 2010 Issue

The Unexamined Life

- by Brenda Kinnear -

As the last vestiges of fall slip away, we turn our attention to the upcoming holiday season and the close of yet another year. Predictably we ask ourselves "where has the time gone?" The fact of the matter is that we have been busy - real busy. Technology has transformed us - not exactly a revelation but it has changed every aspect of our being. We work faster; we accomplish more, our 24/7 connectivity means that there is virtually no separation between work and play. Our Blackberry keeps buzzing, the emails and text messages keep flying and oh those irritating meeting notification reminders that go off in the middle of the night. Thanks to technology we can reach and be reached anytime, anywhere.

Let's face it; this hyper-connected world that we live in isn't going away anytime soon so we need to find a way to co-exist in harmony with it.

Now back to the question of "where has the time gone?" Step away from the computer, set your blackberry on vibrate and forward your telephone. A moment or two of quiet time to reflect on all that was in 2010.

I'm sure you've read this quote before "The unexamined life is not worth living." Socrates said that at his trial for heresy. The sad thing is that most people don't examine their lives. The notion of reflection and self examination is inconsistent, with the high-tech wired world in which we live and conflicts with our entrenched cycle of work week after week. Reflection enables us to remember the past, plan for the future and consider the consequences of our relationship with ourselves and with others. It is a way of checking in and answering the question of how we are doing.

For many of us, 2010 was a tough year economically however clearly a better year than 2009. While the economic forecast remains somewhat tenuous for 2011, there is a sense of guarded optimism. We have provided strong and courageous leadership to our organizations and teams during an extremely tumultuous period and have earned a well deserved pat on the back for our resiliency, ingenuity and tenacity. We have had successes and challenges, losses and gains but we are here, and are stronger and wiser and ready to meet the year ahead with renewed hope.

Take the time that is yours to celebrate all that you have achieved and make reflection a habit in 2011. In the words of Peter Drucker "follow effective action with quiet reflection. From the quiet reflection will come even more effective action."

We would like to thank you for inviting us into your organizations and boardrooms in 2010. We hope that we have contributed in some small way to the important work that you do. For those of you whom we have not yet met, we look forward to the opportunity of getting to know you in 2011.

We wish you and yours a safe and peaceful holiday season!

Brenda Kinnear,
President, Kinnear & Associates Consulting

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Blurring the Boundaries of Work and Home

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October 5 2010 issue of HRM- Employees with flexible schedules tend to experience greater blurring of boundaries between work and other parts of their lives, especially family-related roles, according to research from the University of Toronto published in the Journal of Family Issues.

Sociology professor Scott Schieman and PhD student Marisa Young drew on data from a national survey of more than 1200
North American workers to measure the extent of schedule control and its impact on work-family
processes.

Scott Schieman explained:
"Most people probably would identify schedule control as a good thing - an indicator of flexibility that helps them balance their work and home lives. We wondered about the potential stress of schedule control for the work-family interface. What happens if schedule control blurs the boundaries between these key social roles?"

Participants were asked:

'Who usually decides when you start and finish work each day at your main job? Is it someone else, or can you decide within certain limits, or are you entirely free to decide when you start and finish work?'

The study found that those with more flexibility are also more likely to work at home, attempting simultaneous work - family multitasking. Those reporting more blurring of work-family boundaries also tend to experience more conflict between roles and a consequent increase in stress. Researchers point to substantial evidence linking work-family conflict to poorer physical and mental health outcomes.

The study assessed work-family conflict by responses to questions such as:

• 'How often have you not had enough time for your family or other important people in your life because of your job?'
• 'How often have you not had the energy to do things with your family or other important people in your life because of your job?'
• 'How often has your job kept you from concentrating on important things in your family and personal life?'

However, the researchers also identified benefits to flexible working.

Scott Schieman said:
"People who had partial or full schedule control were able to engage in work-family multitasking activities with fewer negative consequences in terms of conflict between their work and family roles. Overall, our findings contribute to an ongoing—and complicated—debate about the costs and benefits of different forms of flexibility for workers."

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"Stress" Leave – The Legal Framework

from an article by Michael A Hines in the online FTR Quarterly, Summer 2010, Hicks Morley

The article argues for a return to first principles such as:

• The employee has the onus of justifying absence and proving entitlement to sick benefits.
• An employee absent due to disability must take reasonable steps to recover, if possible.
• The duty of accommodation is not absolute.
• Employers can insist on satisfactory performance of essential duties.

He further makes the point that stress is not a medically recognized disability. Therefore, a diagnosis of stress is not sufficient to engage the Human Rights Code. To begin with, an employer should insist upon clear documentation of a recognized medical condition.

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Rising Benefit Costs Challenge Employers

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August 5, 2010 issue of HRM (Karla Thorpe, Associate Director, Compensation and Industrial Relations Research)

Last year was a challenge for many organizations, as they struggled to gain a tighter control on expenses, including benefits. Yet benefit costs for both active employees and retirees escalated by 10% between 2008 and 2009. If costs cannot be contained, the long-term sustainability of employer-sponsored benefit programs will be in jeopardy.

In response to the rising costs, organizations have not been making drastic cuts to benefits. Instead, they are focusing on better communicating the value of benefits to employees and enhancing employees' understanding of the cost implications of their actions — perhaps causing them to think twice before changing the frames on their glasses or heading for a massage.

Employers are also taking a hard look at their relationships with insurance and EAP providers to see if they can make any cost savings. The recession has made vendors more amenable to renegotiating with customers and employers have been bolder about asking for a better deal or shopping around to find one. While employers might not be making deep cuts to benefit programs, they are also looking to shift costs to employees through smaller adjustments such as introducing or increasing deductibles and copayments or instituting coverage changes.

However, as the economy emerges from the recession, employers will need to strike the right balance between containing costs and ensuring that benefit programs are competitive in attracting and retaining key talent. Organizations that pare back their benefit programs too much may find themselves on the short end of the stick in competing for scarce talent as labour markets tighten up toward 2012 or 2013. It might be tempting for organizations to trim vacation time and other paid leave programs, given that these programs make up just over 40% of all benefit spending. For employees seeking careers that provide a good work-life balance, however, time away from the job is an important consideration. In addition to making short-term adjustments, there are a number of long-term realities that will increase benefit costs for employers. The aging population is leading to greater overall benefit utilization rates.

Expensive new drugs and treatments—including biologics—are entering the market. The 2009 recession and subsequent stimulus spending have led to soaring public sector deficits. These will place a greater burden on employers as governments shift costs in an attempt to manage mounting public health care costs.

What can be expected over the next five years? Changes to retiree benefits plans are likely on the way. Short-term cost containment is not the only reason; employers are also struggling to find a sustainable way forward. While organizations might not eliminate retiree benefits altogether, they might look to reduce coverage and move toward models with greater employee cost-sharing.

Movement toward flexible benefit plans can be expected to continue as employers accommodate an increasingly diverse labour force. Flexible benefits programs—including health-care spending accounts— are an effective way to eliminate the uncertainty of health spending, and can also help employers meet the needs of a changing workforce.

Conducting rigorous return on investment (ROI) analysis will become increasingly important as senior leaders demand sound evidence that spending on benefits can be justified. Employers will likely begin using more sophisticated ROI metrics to take a hard look at plan design and program offerings.

Another wild card for employers as they budget for benefits down the road is what might happen to CPP premiums if the supplemental CPP program becomes a reality. Legally required benefit payments make up a third of all organizational spending on benefit programs. This includes CPP/QPP, employment insurance premiums, workers' compensation, and other mandatory payments such as the Employer Health Tax in Ontario

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Performance Reviews Still Valuable

July 15, 2010 HRM- A recent survey of human resource managers found that performance reviews are still considered a valuable element in staff assessment. Conducted on behalf of OfficeTeam, a leading Canadian staffing service specialising in temporary placement of office and administrative support personnel, the survey was based on telephone interviews with more than 150 managers in organizations with at least 20 employees.

Over three-quarters of respondents (78 per cent) felt that formal evaluations are effective in improving job performance. Half said they conduct appraisals once a year; one in five (20 per cent) hold them at least quarterly.

Asked to rate their organization's performance appraisal process in improving employee performance over one-quarter of respondents (27 per cent) felt it was very effective and 51 per cent that it was somewhat effective. The responses of a further 15 per cent were less positive.

Respondents were asked about the frequency of formal performance appraisals. The majority conducted them annually (50 per cent) with 22 per cent conducted 'as necessary', 15 per cent twice a year, 5 per cent quarterly and 9 per cent 'never'.

The report suggests five ways in which employees can achieve the best outcome from performance
appraisals:

Sort out the details.

• Preparation is important. Ask your supervisor for a copy of the assessment form and
  clarify any additional expectations (such as bringing information about specific projects to the meeting or
  completing a self-evaluation).

Showcase your accomplishments.

• Highlight any praise or awards received since your last formal review. Keep an ongoing list of achievements to remind you and your supervisor of how the company has benefited from your work.

Make it a two-way conversation.

• Your manager will identify areas where you are excelling and where improvement is needed. In turn, ask questions about the assessment and request support or guidance.

Share your ideas.

• Discuss what you hope to achieve in the future and ensure these goals are compatible with your long-term professional objectives.

Follow through.

• Regularly review agreed goals and keep your supervisor informed about your progress.

Robert Hosking, executive director, commented:
"Despite their bad rap, performance reviews benefit both managers and employees, provided adequate preparation goes into them. It's understood that supervisors must take the time to provide constructive feedback to team members, but workers also should play an active role in the process. This is their chance to highlight key accomplishments and discuss career aspirations."