December 2024

HR & Safety News, Insights and Updates

Consultstu LLC delivers fractional human resources services to small/mid businesses.

Our monthly newsletter keeps clients and friends up to date on important

law updates, business news and employment trends.

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Court Halts Beneficial Ownership Information (BOI) Filing Requirement

Compliance. Beginning January 1, 2025, many companies in the United States were required to report information about their beneficial owners—the individuals who ultimately own or control the company—to the Financial Crimes Enforcement Network (FinCEN), a bureau of the U.S. Department of the Treasury. To read more about what companies were required to report, and how to report, click here. A few days ago, a federal court in Texas issued an injunction halting the enforcement of the BOI reporting requirement. This means that if an entity has not yet filed its BOI, it is no longer required to meet the January 1, 2025 deadline for such filing. Read more.

Paying a Salary Does not Automatically Excuse Obligation to Pay Overtime

Wage and Hour. A New Port Richey restaurant agreed to pay $87,000 in back wages and penalties to employees who were not paid proper overtime and minimum wage. Investigators found the restaurant required employees to purchase a uniform shirt, which caused their average weekly wages to fall below the federal minimum wage. The restaurant also used the cash wage rather than the higher Florida state minimum wage to compute servers overtime rate and the employer incorrectly classified some kitchen staff as exempt from overtime. Read Employer Resources from Wage and Hour.

Is a PIP Still Valuable to Handle Poor Performers? Yes!

Performance Management. The Wall Street Journal recently ran a column entitled “The Most Hated Way of Firing Someone Is More Popular Than Ever. It’s the Age of the PIP,” arguing that using a performance improvement plan (PIP) is the worst way to fire an underperforming employee. There is still a powerful argument that PIPs are a useful tool for employers. A PIP puts the employee on notice that work performance is not meeting expectations and gives them time to improve - and creates a valuable record for the employer. Read 6 ways to improve your PIPs.

Florida Office of Insurance Approves 1% Decrease in Workers' Compensation Rates in 2025

Workers Compensation. Florida employers see a small decrease in workers’ compensation rates in 2025 – just a 1% reduction from current overall rates in the voluntary market. The Florida Office of Insurance Regulation announced in November that the insurance commissioner had given final approval to the decrease, which was recommended in August by the National Council on Compensation Insurance. The new rates take effect Jan. 1 for new and renewal workers’ compensation policies. Individual employers’ premiums will vary depending on injury experience, type of work, and other factors.

What are Employers Doing for Christmas Bonuses in 2024?

Compensation and Incentives. Ready or not, the holiday bonus season is almost here! And with rising costs and end-of-year stress piling on, employees are counting on that extra cash more than ever. But, how many companies are actually handing out seasonal bonuses and cash? Agital, an e-commerce digital marketing firm, surveyed U.S. employers and employees to learn more about what employers will do and what employees expect this year. Did you know? 60% of employers are planning to give a holiday bonus this year. Read more.

Question: Are Gifts Cards for employees taxable?

Answer: Yes. Gift cards given to employees in any amount count as taxable income and must be reported. Employers must report the cash value of gift cards on an employee's W2.

A de minimis fringe benefit is something so minor that the IRS is not concerned about reporting a monetary value for it. As a result, employees can enjoy these perks without incurring state or federal income tax. Things like small birthday gifts (not cash), a meal, event tickets etc... So, employee gifts and awards of minimal value (a holiday turkey, for example) typically fall under the de minimis rule and are not taxable. Read more.