Compliance Corner: Oregon Drug and Alcohol Guideliens
Each month, we highlight one of the many resources exclusively available to you as a member of Cascade.
This month, we are featuring our Oregon Drug and Alcohol Guide. This guide dives into the specifics regarding how to develop a drug and alcohol policy, the specific types of drug and alcohol testing, DOT testing, and more!
Federal Non-Compete Ban Blocked
Cascade Compliance Team
compliance@cascadeemployers.com
On August 20th, a federal judge struck down the Federal Trade Commission’s (FTC) Non-Compete Rule that was set to take effect on September 4th. The FTC’s Non-Compete Rule would have virtually banned non-compete agreements and superseded all state laws relating to non-compete agreements. The Non-Compete Rule was set to take place on September 4th, although Cascade did alert that the ban would likely not take effect.
Specifically, on August 20th, the U.S. District Court for the Northern District of Texas ruled that the FTC’s Non-Compete Rule was unlawful, as the FTC lacked statutory authority to enact such a ban. The federal court vacated the Non-Compete Rule and issued a final judgment preventing the ban from being enforced nationwide.
For now, employers do not need to examine all active non-compete agreements to see those agreements meet the FTC’s Non-Compete requirements, including the new notice requirements. It is important to note that Oregon and Washington employers still need to follow the applicable state laws on non-compete agreements.
USCIS Extends I-9 Form Expiration Date
Cascade Compliance Team
compliance@cascadeemployers.com
The US Customs and Immigration Services (USCIS) updated the I-9 Form to extend the expiration date to 5/31/2027. It is important to note that only I-9 Forms with the edition date of 8/01/2023 are valid. The 08/01/2023 edition may have the updated expiration date of 5/31/2027 or the previous expiration date of 7/31/2026, as either are valid.
USCIS encourages employers to update their I-9 Form to the 5/31/2027 version as soon as possible, and no later than 7/31/2026. For Employers who use E-Verify, there is a new form generated called Form I-9NG, which has the same fields as the I-9 Form, except for a new OMB control number, a 5/14/2024 edition date, and a 5/31/2027 expiration date.
Employers can find the new I-9 Form here.
Coming Soon! 2024-25 National Business Trends Survey
McKenna Arnold, Survey and Research Manager
surveys@cascadeemployers.com
Cascade is partnering with the Employer Associations of America (EAA) to conduct the 2024-2025 National Business Trends Survey. This survey compiles data on national, regional, and local business trends, covering issues such as staffing levels, hiring practices, cost-cutting measures, and business outlooks. This year includes topical questions on recent business concerns, such as hybrid work policies and AI technology impacts.
Last year, top executives from 1,049 organizations participated in the survey, representing all 50 states and 13 employer associations. The 2024 survey consists of approximately 30 multiple choice questions and is estimated to take 20-25 minutes to complete.
To complete the survey on behalf of your organization, please contact us for your organization’s survey link.
The survey will be opening for participation on September 9th. The deadline for submitting responses is October 11th, 2024. This survey report is available for FREE to all participants (both members and non-members). Reports will be distributed by the end of November.
If you have any questions, please contact us here. Thank you for your continued support in making our surveys great!
Hot Compliance Question
Cascade Compliance Team
compliance@cascadeemployers.com
Question: What is Washington's Family Care Act?
Answer: The Washington Family Care Act (FCA) allows employees to take any paid leave offered by their employer to:
- Provide treatment or supervision for a child with a health condition.
- Care for a qualifying family member with a serious or emergency health condition.
FCA can only be used for qualifying family members and not for an employee’s own medical condition.
Member Benefit Corner: Quick Pulse Employee Survey
By Sheryl Kelsh, Membership Development Manager
skelsh@cascadeemployers.com
Focusing on retaining the employees you already have is a strategic approach that can save time and resources in the long run. By reducing the need for constant recruitment, you allow your existing employees to develop a deeper understanding of the organization and its business. One effective tool to support this strategy is the Quick Pulse Survey, a free member benefit that offers a simple yet powerful way to gauge employee sentiments.
The Quick Pulse Survey is an anonymous online check-in that consists of just three questions. Despite its brevity, this survey provides valuable insights into what matters most to your employees and identifies areas in need of improvement. The simplicity and speed of the survey makes it easy for employees to complete, ensuring a higher response rate and more accurate feedback.
By annually conducting the Quick Pulse Survey, you give your employees a voice in the workplace, making actionable feedback a part of your communication strategy. This approach not only helps in identifying potential issues before they escalate but also plays a crucial role in driving a better employee experience. Understanding how your employees feel on a day-to-day basis is essential for maintaining a positive work environment, reducing turnover, and ultimately achieving your business goals. Investing in employee engagement through tools like the Quick Pulse Survey is a proactive way to build a more committed and informed workforce. For more information on this free member benefit, contact skelsh@cascadeemployers.com.
Association Health Plans: Often a Hidden Gem for Small Employers
By Patrick Sullivan, Benefits Consultant at CSNW Benefits
patrick@csnwinc.com
How Small Groups Typically Get Employee Benefit Rate Quotes
In insurance terms, a “small group” is defined as any business or organization with fewer than 50 eligible employees. When one of these groups seeks a benefits package, insurance carriers typically evaluate them based on four main criteria:
- Employee Age: What is the average age of your employees?
- Number of Employees: How many people work for your business?
- Location: Where is your business located?
- Industry: What type of work do your employees perform?
Insurance carriers use this strict scale to determine the cost of the group’s insurance, known as the “rate.” For small businesses, this is typically the extent of the input they have in the quoting process. The carrier uses a set formula, producing a rate with little room for customization or flexibility. The limited input is due to the higher perceived risk small groups pose. With fewer employees, even a single large medical claim can significantly impact the overall cost for the insurance carrier, making it less predictable and thus more expensive to insure.
Additionally, the age factor plays a substantial role in small group quotes. As businesses age and experience low employee turnover, the average age of employees naturally increases. This age increase can lead to rate hikes year after year, regardless of whether the group has had any major claims. These rigid parameters often leave small businesses feeling trapped, as they have little control over the variables that drive their insurance costs upward. The question then becomes: Is there a better way to secure coverage?
A Different Way for Small Businesses to Get Employee Benefit Rate Quotes: Association Health Plans
For small businesses seeking an alternative to standard small group quotes, Association Health Plans (AHPs) offer a viable solution. AHPs allow groups of small businesses to join forces and purchase health insurance as a collective, while still having the ability to tailor plans to fit their specific needs. Here’s how they work:
- Collective Bargaining Power: By participating in an AHP, small businesses effectively form one, larger group which has more leverage when negotiating with insurance carriers. Once a group surpasses 50 eligible employees, the quoting process becomes more flexible, allowing for additional factors like claims experience and plan design to influence the rate, rather than relying solely on age and location.
- Flexible Rating: In an AHP rates are determined based on the health and risk profile of the entire collective rather than each individual business. This broader pool can mitigate the impact of factors that would normally drive up rates, such as a higher average age or industry risks. As a result, small groups that might have faced steep rates under traditional small group criteria can benefit from the more lenient large group quoting process.
- Potential for Better Coverage and Savings: The flexibility in rating often leads to lower premiums and enhanced coverage options for small businesses within an AHP. The collective power of multiple businesses banding together provides one of the few avenues for small groups to break free from the restrictive and often expensive small group rating structure.
Why an AHP Can Be a Smart Move
Navigating benefit rate quotes as a small group can be challenging and often results in higher costs due to the rigid grading scale used by insurance carriers. However, joining an Association Health Plan offers a strategic alternative. By pooling together with other small businesses, you gain access to better rates, more flexible plan options, and the ability to customize your benefits package in ways that simply aren’t possible through standard small group quotes. For small businesses looking for ways to stabilize or even reduce their insurance costs while maintaining or improving coverage, an AHP can be an excellent option.
If your small business is interested in comparing your current employee health plan quotes with those available through an AHP, reach out to Patrick Sullivan of CSNW Benefits, the benefits partner for Cascade Employers Association, to explore their AHP or other options available in Oregon.