January 2024: Resolve to Review Employee Classifications and Salary

Recent and upcoming changes to federal regulations and New York laws make this the ideal time and opportunity for employers to review – and possibly change – worker classifications.

Employers often suspect a certain percentage of employment-related misclassifications on their rosters – whether independent contractors who may be more appropriately classified as employees or employees whose positions have been designated as exempt but may actually hold non-exempt positions. Still, employers are often reluctant to analyze their workers’ classifications because of the challenges brought about by making such changes. READ MORE

76% of companies link pay to ESG performance in rising trend

The biggest U.S. companies are weaving ESG into pay incentives despite a backlash against the use of sustainability as a metric for corporate performance. The opponents — including Republicans such as former Vice President Mike Pence — have labeled the focus on ESG a cornerstone of “woke capitalism.”

Investors have cooled to ESG goal setting, with the flow of capital into sustainable funds worldwide waning during several quarters. Such inflows fell to $13.7 billion during the third quarter from $23.6 billion during Q2, according to Morningstar. Investors during Q3 pulled $2.7 billion from U.S.-based sustainable funds. READ MORE

36% of companies plan to raise pay in 2024 amid tight labor market

The U.S. labor market, while loosening in recent quarters, remains unusually tight. U.S. job openings fell to 8.8 million in November, the lowest level since early 2021 but still well above pre-pandemic levels, the Bureau of Labor Statistics reported this month.

Hiring declined to the lowest level since early 2020, while the ratio of openings to unemployed people remained at 1.4, the same level as in October. READ MORE

How tech can ‘democratize’ employee rewards and recognition

In terms of corporate success, the value of a company extends far beyond its financial indicators. Gallup reports that 84% of an S&P 500 organization’s worth is tied to its employees’ talents, skills, knowledge, work ethic and health. Unfortunately, only two in 10 U.S. workers strongly feel connected to their company’s culture, according to Gallup. This means that much of that value is at risk of leaving the company if employees become disengaged.

However, experts from Sapient Insights Group say there are ways HR can navigate around disengagement, particularly through technology designed to recognize employees positively. A tech-fueled recognition strategy, they say, can incentivize behaviors aligned with organizational culture and key performance indicators. READ MORE

It's Time for a Fresh Look at DEI Metrics in Executive Compensation

It is estimated that over 84 percent of companies in the S&P 1500 use some form of "social" metric when determining their executives' incentive compensation. Many of these social metrics set forth diversity, equity and inclusion ("DEI") goals—some quantitative, others qualitative—usually summarized to some degree in a company's publicly filed proxy statement. For calendar year-end companies, decisions regarding the metrics of incentive compensation programs are typically made in the first quarter of each year. READ MORE

Best Jobs To Get A Pay Raise in 2024

Healthcare, information technology, government and manufacturing are among the fields likely to see the most job growth and highest wage increases in 2024, according to research from Resume Genius. 

These fields in particular are expected to stand out in 2024 as broader economic trends improve in the U.S. Despite the rising cost of living, a recession appears less likely than a year ago. Inflation is trending lower, and the U.S. labor market is expected to hold steady in 2024. That’s good news for the economy and job seekers. However, the U.S. continues to experience shortages in skilled workers. READ MORE

Is $94,000 the Magic Number for Financial Freedom?

How much do you need to make in order to really feel like you’re in a good spot in life? The average American says “financial independence” means making upwards of $94,000 per year, and 60 percent feel optimistic they can reach this milestone.

In a recent poll of 2,000 adults, spenders and savers say financial freedom is synonymous with resilience and independence: not needing money from family and friends (47%), reaching a certain net worth (44%), and contributing to a 401(k) (42%). The new study by financial services company Empower, conducted by OnePoll, also reveals that more than two in five define “making it” as reaching financial independence (44%). READ MORE

35 Richest Countries by Median Income

The richest countries by median income in the world tend to have a strong economic system that offers a wide range of jobs and business opportunities. The world’s most developed economies have suffered since the COVID-19 pandemic as things have not been the same since the pandemic. Despite the economic disruptions, the world has gone through a transformative decade of development with the practical application of technologies such as AI, Cybersecurity, Blockchain, and Metaverse, among others. However, the global economy is set to end 2024 on a downward side - the slowest half-decade of GDP growth in 30 years, as per the World Bank’s latest Global Economic Prospects report.  READ MORE

3 Cold Weather States With the Most Jobs and Biggest Salaries

While southern states — such as Florida — have seen explosive migration growth in recent years, the heat is on for cold states in terms of job opportunities and high wages.

The new National Business Capital study — “Top U.S. States For Job Growth 2024” — found that job opportunities in these states are not just plentiful, but also tend to come with higher wages which often exceed the cost of living. READ MORE

These are the best flexible jobs with good salaries in America right now. Most aren’t in tech

If you’re looking for a new job in 2024—especially one with a higher-than-average salary and some chance of remote work—you’ll want to give Indeed’s 50 Best Jobs in the U.S. for 2024 list a look.

The jobs site tracks the best jobs in America annually, but this year’s list was compiled in a slightly different way. As Indeed points out, a recent Forrester study shows that those seeking jobs name “fair pay” as the primary factor that influences their well-being in the workplace, with the flexibility of the job a close second. READ MORE

How do I negotiate salary when I get a job offer?

It took me an embarrassingly long time to even realize that I could and should ask for more money when accepting a new job. But, as awkward as it can feel, you don’t get what you don’t ask for. 

The first step in any negotiation is to approach the conversation as a collaboration instead of a power struggle. Try statements like “I would love to understand what the opportunity is to get closer to this salary,” or “What is the flexibility in your salary range for this role?” READ MORE

Federal Contractors Can Soon Anticipate Rules on Pay Transparency and Salary History for Applicants and Employees

On December 4, 2023, the Federal Acquisition Regulation (FAR) Council submitted a proposed rule on “Pay Equity and Transparency in Federal Contracting” to the White House Office of Management and Budget (OMB) for approval. On January 11, 2024, OMB approved the proposal, thus clearing the way for the FAR Council to publish the proposed rule. READ MORE

Bank of America's cuts: "Compensation expectations have been butchered"

If you're looking for a way to moderate bonus expectations ahead of a tight bonus round, it helps to make people focus on something else. Like actually having a job. 

This is what Bank of America seems to have achieved with yesterday's surprise cuts three days before bonuses are announced. Before the cuts, it seems that people there were slightly optimistic. Since the cuts, they are not. "Compensation expectations have been butchered," says one recently departed MD. READ MORE

'Outrageous' CEO pay targeted in new bill from Bernie Sanders, US Democrats

U.S. Senator Bernie Sanders and a group of Democratic lawmakers are pushing to raise taxes for companies that pay their chief executives at least 50 times more than their typical worker's salary, saying the bill was needed to limit corporate greed.

The union-backed proposal, which could impact some of the nation's biggest companies and largest employers, would also require Treasury Department guidelines to prevent companies from avoiding the tax by using contractors rather than employees, the senators said in a statement on Monday. READ MORE

Will $20 minimum wage crush fast food in California?

California is on the cusp of putting the fast-food industry into a curious economic experiment – mandating a custom minimum wage for larger restaurant chains.

Come April, fast food’s biggest players will be paying workers $20 hourly vs. 2024’s statewide $16 wage floor. The thinking behind the legislation is that the industry’s workers have long been underpaid, and a bold move was required to get these poorly compensated workers some hope of surviving California’s high cost of living. READ MORE