The announcement marks a reversal for the Trump administration, which previously proposed a 1% across-the-board pay increase for all federal employees. READ MORE
Ex-Goldman Sachs President Cohn has not returned pay after 1MDB clawbacks
Goldman Sachs has failed to persuade former president Gary Cohn to return over $10 million he received in pay, as part of the bank's effort to reclaim executive compensation over the 1MDB scandal, Bloomberg News reported on Wednesday.
There is little that the bank can do if Cohn, the former economic adviser to U.S. President Donald Trump, simply refuses or offers up a discounted sum, the report said, citing people with knowledge of the matter. READ MORE
What Happened When These Places Raised the Minimum Wage to $15
The federal minimum wage — $7.25 per hour — hasn’t changed since 2009, even though the cost of living has risen rapidly. Labor activists long have been asking for a raise in the minimum wage but due to the partisan split between the House and Senate, it seems unlikely there will be a change in the foreseeable future — though President-elect Joe Biden has promised to raise the federal minimum wage to $15. READ MORE
2020 Year-End Key Executive Compensation and Employee Benefits Considerations
COVID-19 has, among other things, had an impact on executive compensation and employee benefits, and given rise to a number of new issues and considerations. These compensation issues present challenges for companies seeking to incentivize and retain key employees in the midst of the current economic conditions while balancing competing responsibilities to various stakeholders. READ MORE
Biden Plans to Ban Noncompete, No-Poaching Clauses
Proponents of eliminating the clauses argue that noncompete agreements—which bar workers from accepting new employment in their field or industry for a certain period, often a year or more after they leave an employer—reduce competition among businesses and stifle workers' job mobility and wage growth. The clauses were first introduced to prevent upper-level employees from taking trade secrets to rival businesses but have since proliferated to low-wage and low-skill workers. READ MORE
How Can We Get Companies to Invest More in Low-Wage Workers?
Inequality in society has been studied from almost every angle.
Among others, French economist Thomas Piketty has provided ample evidence of trends in inequality, their causes, and their consequences. We’re reminded constantly of the growing compensation gap between senior executives and those in the lower ranks. READ MORE
COVID-19's Essential Workers Shake Up Minimum Wage Debate
After the arrival of COVID-19, we started calling them "essential workers," as the pandemic gave long overdue recognition to those driving our buses, sweeping our floors, stocking our supermarket shelves. These are the people formerly known simply as "low-paid workers."
The bitter irony of the effect of the health crisis on the world of work, compounded by the overall disproportionate effect of the virus on poorer communities, has begun to fuel the simmering worldwide debate about minimum wage. READ MORE
A Quick Wage-Hour Tip on … Predictive Scheduling Laws
In a continuing trend, employers are abandoning on-call scheduling as states and cities continue to pass predictive scheduling laws. READ MORE
The 15 worst college majors for making money
If you want skills to pay the bills, don't pick up one of these degrees.
It’s true that many employers expect job seekers to have some sort of post-secondary education to prove they have a good head on their shoulders. But if you want a good job, one that will help you pay off all that student debt you just accumulated, you’ll need to choose carefully. READ MORE
Does Your Nonqualified Plan Need to be Amended by December 31, 2020?
Section 162(m) of the Internal Revenue Code (“Code”), which disallows the deduction by any publicly held corporation with respect to certain compensation paid to a covered employee over $1,000,000, was amended by the 2017 Tax Cuts and Jobs Act (“TCJA”). One change made to Section 162(m) of the Code as part of the TCJA was that if an individual is a “covered employee” for a taxable year, the individual continues to be a covered employee for all future taxable years, including after termination of employment. READ MORE
Last-ditch SEC effort on gig worker equity pay expected to fail
A move by the Securities and Exchange Commission (SEC) to let private platform-based tech companies pay their gig workers partially in equity is unlikely to take effect before it is expected to be withdrawn by the Biden administration, marking a victory for employee advocates. READ MORE
The FICA Special Timing Rule for Non-Qualified Deferred Compensation: What You Don’t Know Can Hurt You
Employers know that wages are generally subject to the Federal Insurance Contributions Act (“FICA”), and that both employers and employees are liable for a portion of FICA on those wages. In most circumstances, the employee and employer portion of FICA are paid when the compensation is paid to employees—but there is a “special timing rule” that applies when compensation is subject to a non-qualified deferred compensation (“NQDC”) arrangement. Not knowing this special timing rule can cause real headaches for both employers and employees. READ MORE
Biden’s Economic Team Draws on Deep Experience With Focus on Jobs, Wages, Inequality
President-elect Joe Biden’s choices for his White House economic team include an array of advisers with crisis experience, policy chops and a deep focus on labor markets, including how to boost wages, maximize employment and combat discrimination. READ MORE
Whole Foods CEO John Mackey: Store managers could be making ‘well over $100,000,’ without a college degree
At Whole Foods, every employee knows what everybody else is making. It’s a practice called “wage transparency.” The average pay of professional titles of employees is published on the Whole Foods website.
Whole Foods CEO John Mackey thinks of wage transparency as a source of motivation for employees. READ MORE
Five Things To Know About Tech-Sector Company Stock Options
When it comes to landing a coveted job at a tech startup, there are plenty of misconceptions around stock options. While the experience of working in the tech space can be invaluable, understanding and effectively negotiating the best stock options can make a difference to your income and net worth. If your tech employer offers company stock options, you might be wondering what they mean and how they work. READ MORE
Star-studded Time’s Up charities spent big on salaries, little on helping victims
Hollywood’s “Time’s Up” organization, set up to fight sexual harassment — with Reese Witherspoon, Amy Schumer, Brie Larson and other luminaries on its board — spent the bulk of its donations on executive salaries and only a fraction on legal costs to help victims, public records show. READ MORE
Facebook CEO Mark Zuckerberg Salary Beaten by Company Engineers
Given how he’s one of the world’s richest people, you might expect Facebook CEO Mark Zuckerberg to pull down a hefty annual salary—and you’d be wrong. However, Zuckerberg is also compensated in ways that outpace anyone else at Facebook. READ MORE
Let’s Talk About Higher Wages
One of the great successes of the Republican Party in recent decades is the relentless propagation of a simple formula for economic growth: tax cuts.
The formula doesn’t work, but that has not affected its popularity. In part, that’s because people like tax cuts. But it’s also because people like economic growth, and while the cult of tax cuts has attracted many critics, it lacks for obvious rivals. READ MORE
Report finds more shareholder support for exec pay in Silicon Valley than in S&P 100
Shareholders of Silicon Valley’s 150 largest public technology and life sciences companies were less likely than investors in large companies nationwide to object to executives’ compensation packages this year — one sign that Silicon Valley has fared well during the pandemic. READ MORE
More investors want executive pay tied to ESG
More than two thirds of investors want executive pay tied to ESG initiatives, a move that would pressure boards to achieve social and other key targets, according to the global Edelman Trust Barometer Special Report: Institutional Investors. Sixty-nine percent of stakeholders say they want to see a link between remuneration and ESG, a 17-point jump over 2019. READ MORE
